BitSNARK, a zero-knowledge (ZK) verification protocol for Bitcoin, has been open-sourced by BitcoinOS (BOS) to enable private transactions on the Bitcoin blockchain.
BitSNARK is the first protocol to introduce zk-SNARKs (Succinct, Non-Interactive Argument of Knowledge) to Bitcoin.
Cointelegraph received a press release that stated the protocol preserves privacy in smart contracts and transactions on the blockchain without modifying BTC’s fundamental protocol.
“BitSNARK is used alongside two other innovations, Grail Bridge and Merkle Mesh, to expand Bitcoin’s role in DeFi, cross-chain applications and privacy-first technology.”
Repercussions for the Bitcoin blockchain
Historically, the BTC blockchain has been restricted to fundamental transactions, which do not include privacy protection elements beyond cryptographic wallet addresses.
Zk-SNARKs enable the verification of data and BTC blockchain transactions without disclosing sensitive information, such as user personal and financial details.
By extending this technology beyond platforms such as Ethereum, the BTC blockchain will facilitate the development of more intricate decentralized applications (DApps) and privacy-oriented operations.
Edan Yago, CEO and co-founder of BitcoinOS stated in a Q&A with Cointelegraph that the development has the potential to assist BTC in “evolving into a network” that is both secure and adaptable.
“We hope that others can evaluate how it works, implement it, experiment with it and collaborate to improve and innovate together. We also believe it will create discourse and debate, which in turn will help innovation move faster.”
About BitSNARK’s integration
As per the press release, implementing the ZK verification protocol on BTC will facilitate decentralized atomic exchanges, cross-chain transactions, and two-way pegging.
Additionally, BitSNARK will implement “economic incentives” to preserve “honesty” on the BTC blockchain without overtaxing the network with computation.
“Provers and Verifiers both have something to lose, which keeps the system fair and prevents malicious actors from compromising the verification process.”
Things to take into account
The introduction of zk-SNARKs to the blockchain is a logical progression following successfully verifying the first ZK-proof on the BTC mainnet on July 24. However, there are a few factors to consider.
For instance, the Bitcoin Cash schism 2017 illustrates the Bitcoin community’s tendency to resist change despite the potential benefits of zk-SNARKS on BTC.
In a community that places a higher value on security and decentralization than functionality, the inclusion of zk-SNARKs could present adoption challenges and security risks due to the addition of what some may consider superfluous complexity.
