Ligo

BTC Layer2 serves several key functions in the Bitcoin ecosystem:

Decentralized Infrastructure: It provides a decentralized infrastructure for Bitcoin-based Web3 applications, enabling them to operate efficiently and securely without relying on centralized servers.

Enhanced Scalability and Liquidity: By being EVM-compatible, BTC Layer2 offers scalability and integrates with the DeFi ecosystem on Ethereum, potentially offering greater liquidity.

Support for Decentralized Applications: The platform is designed to support various decentralized applications (dApps) in areas like DeFi, NFTs, GameFi, and SocialFi, using EVM and smart contracts.

High Transaction Throughput: BTC Layer2 claims the capability to support over 10,000 transactions per second (TPS), a significant improvement over Bitcoin's current capacity.