GOAT Network: An Innovative Solution for Bitcoin Layer 2

With the continuous development of the Bitcoin ecosystem, Layer 2 built on BTC has become an important topic in the Web3 field. Data shows that in the second quarter of 2024, BTC L2 related projects received financing of 94.6 million USD, a quarter-on-quarter increase of 174%, reflecting the industry's high attention to this area.

Among the many BTC Layer 2 solutions, GOAT Network stands out for its innovation and potential. As the first BTC Layer 2 project to adopt a decentralized sorter and share network ownership, GOAT Network aims to become a universal L2 platform for various L1s.

GOAT Network Overview

GOAT Network expands the functionality of Bitcoin by implementing Bitcoin Rollup, obtaining security from the underlying Bitcoin blockchain. It introduces the optimistic challenge protocol GOAT-OCP and utilizes BitVM2 and ZKM interwoven Rollup technology to enhance transaction inclusivity and finality.

The GOAT Network plans to launch its testnet soon, with the mainnet expected to go live in the third or fourth quarter of this year. At the same time, the official GOAT Club points program will be introduced to provide lasting value and fair, sustainable rewards for Bitcoin holders.

Addressing the Three Major Challenges Facing Layer 2

GOAT Network has proposed the following solutions to the common issues of decentralization, security, and sustainable yields faced by L2 networks:

1. Decentralized Sequencer: GOAT will adopt a decentralized sequencer from the launch of the mainnet, initially having 7 sequencer nodes, each requiring the staking of BTC to secure the network. Currently, 5 founding sequencer nodes have been identified, committing over 5,000 BTC in initial liquidity.

2. Security: On the first layer of Bitcoin, GOAT Network has applied an enhanced version of Bitcoin's time-locking and one-time signature technology. In Layer 2, it uses the zero-knowledge virtual machine zkVM developed by ZKM to ensure that the system meets the native security standards of the Bitcoin base layer.

3. Sustainable Revenue Model: Decentralized sequencers can earn Gas fees in the form of BTC and mining rewards in the form of GOAT tokens by producing blocks, providing security, and being active around the clock. This provides various participants with the opportunity to obtain sustainable income.

The Vision of Becoming a Universal Layer 2

The long-term goal of GOAT Network is to become a universal L2 for all L1s. In addition to Bitcoin, there are plans to integrate ecosystems such as Ethereum, TON, and Cosmos in the future. Through its internal Entangled Rollup technology, GOAT Network aims to achieve seamless connectivity between different blockchains, addressing interoperability and liquidity fragmentation issues while avoiding the security risks associated with traditional cross-chain bridges.

Team Background

The core team of GOAT Network consists of experienced professionals:

• The technical team leader Professor Stephen Duan previously founded Baidu Blockchain and Eigen Network.
• Head of Economics Redouane Elkamhi is a finance professor at the Rotman School of Management at the University of Toronto, specializing in strategic asset allocation and DeFi.
• Chief Innovation Officer Dr. Eric Wang has extensive experience in financial derivatives and DeFi, responsible for designing GOAT's sustainable BTC yield model.

Ecosystem Construction

The GOAT Network plans to launch multiple key DeFi applications simultaneously upon the mainnet launch, including DEX, lending platforms, perpetual contract exchanges, and BRC-20 asset trading platforms.

GOAT Club Points Program

To encourage early participation, the GOAT Network has launched the GOAT Club Points Program, which includes three types of points:

• Community Points (CP): For community members holding at least 0.001 Bitcoin.
• Builder Points (BP): awarded based on the TVL or gas consumption of the smart contract.
• Node Points (SP): Node operators earn points based on the blocks produced.

Token holders will be eligible to participate in future token airdrop events.

With the upcoming launch of the GOAT Network mainnet, the industry anticipates that it will become a leading BTC Layer 2 project, bringing more practical scenarios and profit opportunities for Bitcoin holders.