The protocol aims to climb Bitcoin with smart contracts

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7 Min Read

Ark Labs, the company behind Ark, the second tier of Bitcoin (L2), has announced Arkade, a tool aimed at improving the scalability of chains created by Nakoshi.

The Arkade protocol is a virtual execution layer for conversion purposes How transactions are created using Bitcoin,Potentially, allows for the creation of more advanced financial applications using intelligent contracts.

Through its protocol, L2 ARK, which already promotes out-of-Bitcoin payments, will evolve in Arkade (virtual execution environment) so that BTC funds can be managed. Programmable ways to intelligent contractMaintains security and simplicity that distinguishes Bitcoin’s main network.

However, Arkard is still in development and says it will be operating in the third quarter of 2025 by Arkrabo.

What is the Ark and how does Bitcoin work?

To understand Arkard, you first need to understand what Ark is and his role in the Bitcoin ecosystem. ARK is the second tier network based on the main tier of Bitcoin with the aim of easing and allowing the latter load. Faster and more economical transactions Just like what a network (LN) does, without compromising safety.

ARK is based on the key concept of VTXO (virtual transaction output). These VTXOs may allow users Create a payment for the chainThis means that you don’t need to send each move for immediate confirmation on the Bitcoin blockchain, where transactions are recorded by the network itself.

Instead, the Ark Organize these transactions A structure called a pre-circulating transaction tree. This “tree” consists of a set of possible transactions defined by an ASP (ARK service provider). This is an entity that coordinates and manages operations within the ARK network, which is used as a basis using rules established by user-delegated funds and protocols.

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In ARK, these transactions are organized in rounds. This is a regular event that ASP coordinates and allows users to attend to make payments, renew VTXOs, and manage funds.

For example, imagine Maria, Marcos and Juan being in the round. Creates a tree containing transactions If Alicia decides to leave, it will allow Alicia to charge 0.1 BTC, one for Marcos to renew the VTXO, and another for managing the funds of fans if the ASP expires.

These transactions are pre-filled by both the round’s participants (Alicia, Marcos, Juan) and the ASP. They are only activated in certain circumstanceswhen a user decides to unilaterally leave the network, or when VTXO reaches its expiration date.

Furthermore, another important element of the ARK is the connector. This ensures that the transaction is atomic, that is, that it is complete or not executed at all. Avoid the risk of loss of funds.

Additionally, ARK uses a regular rounding mechanism to update VTXOs that are about to expire. This allows users to always have access to active funds and continue to operate uninterruptedly.

Arkade: Operating System for Financial Applications

Using Arkade, Ark Labs bets to introduce possible virtual execution layers Program money with Bitcoin. Simply put, Arkade can act as an operating system for Bitcoin-based applications and enable developers Create an intelligent contract It runs outside the chain, but it is backed up by Bitcoin’s security.

An intelligent contract is a program that automatically executes actions. When certain conditions are methow to send payments and transfer assets. For example, you can program an intelligent contract to send Bitcoin to your supplier only after the product is confirmed.

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Therefore, Arkade is presented as a potential option for developers Build complex financial applications, Without sacrificing the security and simplicity offered by Bitcoin.

Second, Arkade (a virtual execution environment with intelligent contracts from ARK) is based on the same technical foundation as ARK (L2), such as VTXO and pre-circulated transaction trees, but combined with other tools for programming.

Arkard Tools for Developers

Ark Labs has made its developers available to them with a set of open source tools so that developers can start working in this new environment.

One of them is the Arkade compiler, which uses programming languages ​​inspired by tools such as Ivy and CashScript. This compiler may allow developers Write intelligent contracts with simpler syntaxthen it becomes an Arkade script, an optimized format for running outside the main Bitcoin chain.

Additionally, Arkard included an interpreter. script Personalization expands Bitcoin’s programming capabilities. This interpreter adds over 30 new items opcodes Data can be combined, such as (programming instructions), OP_CAT. and others related to introspection and arithmetic operations. These improvements make smart contracts more flexible and Handle more complex use casesnatively integrates ARK’s VTXE.

The team behind L2 Arc has developed a wallet for users

For users, Ark Labs has created an Arkade Mobile Wallet. This is a mobile wallet that runs in a progressive web application, i.e. a web browser, but works like a native app without being ejected from the application store. This means that users can access the wallet from any device with a browser, and according to an announcement from ARK Lab, it offers an experience similar to traditional app experiences, such as notifications and access in some cases without connection.

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As reported by Ark Labs, the wallet incorporates the latest certifications PassKeys Easily manage your (access key) and VTXOS.

Finally, Arkade offers software development kits. These tools have already been designed for users and developers to try to optimize them, and are preparing the land for the launch of an arcade on the main network. This is a step ARK Labs expects to deliver soon.

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