You can check out the research report of Merlin @MerlinLayer2 published by the top research institution @MessariCrypto. I will summarize the key points for you. I also like the title very much, "From sidechains to ZK-Layer2 solutions built for Bitcoin native asset expansion", which is a very accurate description and summary. The following is an overview of the key points:
1. Key points
- Merlin Chain is a leading Bitcoin-compatible sidechain that supports Bitcoin native assets
- Commitment to transition to ZK’s Bitcoin Layer-2 (L2) solution
- The ecosystem revolves around Bitcoin’s native assets
- Completed two rounds of financing
2. Technical Architecture
2.1 Current Architecture
- Validium sidechain based on Polygon CDK
- Using zkEVM and Data Availability Committee (DAC)
- Merlin Bridge for cross-chain assets
2.2 Proposed Future Architecture
- ZK-Rollup Network
- Decentralized Oracle Network
- Bitcoin native data availability
- Two-step ZKP submission mechanism
- Bitcoin-based fraud proofs
3. Strategic partnership
- Lumoz: Providing Rollup as a Service (RaaS)
- Cobo: Providing institutional-grade custody and staking infrastructure
- Particle Network: supports decentralized identity and data storage
- BitcoinOS: Provides BitSNARK technology and Grail Bridge
- Nubit: Supporting data availability solutions
4. MERL Token
4.1 Functionality
- Governance
- Staking/delegating to consensus nodes
- Pay transaction fees
- Providing native liquidity
4.2 Token Economics
- Total supply: 2.1 billion MERL
- Allocated to private placements, public offerings, Merlin's Seal events, advisors, teams, communities and ecosystems
-Currently, all pledge activities have been unlocked for circulation
5. Current status of Merlin Chain ecosystem
5.1 Key indicators
- Q3 2024 market capitalization increased by 47.5%
- Daily average new addresses decreased by 56.9%
- Average daily trading volume increased by 86.9%
- DeFi TVL dropped 53.8%
- DEX trading volume fell 76.9%
5.2 DeFi Ecosystem
- Solv Protocol: Bitcoin Liquidity Re-collateralization Protocol
- Avalon Finance: Decentralized lending platform
- Surf Protocol: Decentralized derivatives trading platform
- Merlin Swap: Leading Decentralized Exchange (DEX)
- Pell Network: Full-chain re-staking protocol
5.3 Games, NFTs, and other applications
- Over $35 million worth of Bitcoin-native NFTs have been bridged to Merlin Chain
- Dragonverse Neo: 3D open world fantasy anime game
6. Conclusion
- Merlin Chain is positioned as an important solution for Bitcoin expansion and practicality
- Currently the largest Bitcoin sidechain (by TVL)
- The ecosystem covers multiple fields such as DeFi, games, AI and SocialFi
- Working to expand Bitcoin’s role in the broader Web3 ecosystem
Original link: http://t.cn/A6EDc9MM
