Lightning Labs Introduces Taproot Assets V0.2 on Bitcoin’s Lightning Network

Lightning Labs, the developer of Bitcoin Lightning Network, has introduced Taproot Assets v0.2 in the testnet phase. This release permits an infinite number of assets to be created and/or moved in a single on-chain transaction. Users can integrate their assets into Lightning Network, facilitating instant, low-fee transactions. Taproot Assets v0.2 offers essential features for developers, including asset issuance, receipt, transfer, and detection on the bitcoin blockchain.

The protocol is designed to operate primarily off-chain, eliminating blockchain congestion and enabling seamless scalability. The user-friendly Taproot Assets protocol employs a familiar address format while leveraging the well-known PSBT framework. Unlike other asset issuance protocols, it is light-client compatible, thus increasing access to global users. These features simplify asset issuance and reduce on-chain fees while offering developers access to the rapidly growing Lightning Network. Ultimately, this will result in lower congestion and broaden bitcoin’s appeal, bringing it closer to global adoption.