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TRON Announces Roadmap for Layer-2 Development on Bitcoin

Web3 Station

14 Feb 2024 — 3 min read

TRON has set its sights on expanding the Bitcoin ecosystem by unveiling plans to build a new layer-2 solution for the world's largest cryptocurrency network.

TRON Announces Roadmap for Layer-2 Development on Bitcoin. Image: CCN

On the afternoon of February 15, TRON founder Justin Sun surprised the crypto community with a strategic pivot towards Bitcoin, unveiling a development roadmap aimed at creating a new layer-2 solution for BTC.

The project aims to interconnect a multitude of tokens operating within the TRON ecosystem—including USDT, TRX, BTT, JST, SUN, NFT, WIN, and USDC—with Bitcoin, thereby opening up new opportunities for both DeFi and Ordinals.

The BTC Layer 2 scene is on the rise!

Despite Ethereum championing Layer 2 for three years with 38 L2s (according to @l2beat), the number of Bitcoin L2s has surged to 25 in less than a year.

Check out the comprehensive list of Bitcoin L2s compiled by the Ventures team below 👇 pic.twitter.com/vWGDP7o0fQ
— DWF Ventures (@DWFVentures) February 7, 2024

Justin Sun declared TRON as a leading crypto network for stablecoins, boasting a circulating supply worth $55 billion USD, coupled with a DeFi TVL of $22 billion USD.

TRON's roadmap for Bitcoin layer-2 development is structured into three phases:

α (alpha): TRON will develop cross-chain bridges to migrate assets from TRON to Bitcoin.
β (beta): TRON will progressively announce partnerships with other layer-2 solutions on Bitcoin, enabling users to participate in restaking activities.
γ (gamma): TRON will launch a layer-2 integrating TRX and BTC, promising high transaction speeds and low fees akin to a Proof of Stake network, while maintaining the security typically associated with Proof of Work.

The TRON founder emphasized that this roadmap underscores the project's commitment to embracing and driving new blockchain advancements, setting industry standards in the process.

Since the emergence of Ordinals - Inscription in early 2023, the Bitcoin network has experienced a revitalization, with numerous applications and functionalities developed throughout the past year. Following NFTs and token creation, the next developmental trend is the construction of layer-2 solutions on Bitcoin, with many ambitious projects in the pipeline, as compiled by DWF Ventures.

#TRON Announces Its Bitcoin Layer 2 Solution and Road Map

Today is a significant day for #TRON.

Let's make #Bitcoin fun again!

As the protocol behind the world's largest stablecoin market, boasting $55 billion, and the decentralized finance Total Value Locked (TVL) of $22…
— H.E. Justin Sun 孙宇晨 (@justinsuntron) February 15, 2024

In 2023, the TRON network saw limited notable developments beyond its continued integration within Justin Sun's ecosystem, encompassing TRON and the TRX token, as well as the Poloniex and HTX exchanges (formerly Huobi).

Historically, TRON and Justin Sun have capitalized on crypto market trends, such as establishing a $100 million USD AI fund amid the AI wave at the end of 2022, and Huobi's announcement of regulatory registration in Hong Kong in preparation for recognizing cryptocurrencies within this economic zone, followed by the announcement of building a layer-2 solution on BitTorrent following Coinbase's Base development.

The TRX token price has shown slight gains following Justin Sun's announcement of TRON's plans to develop a layer-2 solution for Bitcoin. TRX has also impressively rebounded alongside Bitcoin's upward trajectory since mid-January.