Aurora Labs revealed the release of Bitcoin Light Client and Relayer, which connects the Bitcoin network to the NEAR protocol for the first time. The integration increases web3 compatibility and opens the door for new DeFi use cases.
On the NEAR network, Aurora Labs’ Bitcoin Light Client functions as a smart contract. It guarantees that NEAR can access the most recent Bitcoin chain state and enables NEAR dapps to verify Bitcoin transactions. The light client serves as the cornerstone for a potential Bitcoin bridge that would enable the usage of Bitcoin assets on NEAR.
Furthermore, Aurora Labs has made available a Relayer Service, which makes sure the light client stays in sync with the Bitcoin network. By serving as a bridge, it keeps the NEAR smart contract up to date with the most recent Bitcoin transactions.
Alongside the introduction of these Bitcoin products, Proximity Labs has launched a chain signature service for NEAR. By facilitating the transfer of Bitcoin to and from the NEAR network, this makes it possible to create native Bitcoin bridges.
An essential first step toward creating a unified web3 experience is the release of the Bitcoin Light Client, which enables assets to transfer between NEAR and Bitcoin with ease. With its introduction, several advancements that will increase the use cases accessible to developers developing on top of NEAR are made possible.
This capacity will be further expanded with the subsequent Satoshi Bridge deployment, which will enable direct Bitcoin deposits into NEAR and interaction with its dapps. Apart from enabling BTC to be accessed on NEAR, the bridge will facilitate the integration of Rune and Ordinals and pave the way for the development of novel DeFi applications that combine the advantages of NEAR and Bitcoin.
Alex Shevchenko, Aurora Labs’ CEO, said in a quote:
“There’s a lot of untapped value in the Bitcoin ecosystem. NEAR Chain Signatures are a solid step forward, but to really unlock Bitcoin’s potential, we need the ability to read and act on its state. That’s why we created a trustless Bitcoin Light Client that works as a smart contract. With this and Chain Signatures together, we’re opening the door for Bitcoin to finally enter the DeFi world.”
Kendall Cole, founder of Proximity Labs, added:
“The BTC light client is a critical part of the Bitcoin stack that NEAR now enables. When combined with chain signatures, developers will be able to create an entirely new set of applications for Bitcoin users, including money markets, DEXs, launchpads, stablecoins, and more, all with seamless user experiences.”
After starting work on the project, Aurora Labs is turning it over to NEAR One, the center for infrastructure research and development for NEAR Protocol, so that it may continue to expand and advance.
The network of Virtual Chains known as Aurora, which combines the scalability of NEAR with robust infrastructure to enable the simple deployment of preconfigured blockchains, is being developed by Aurora Labs. Beyond complete Ethereum compatibility, Aurora unlocks the doors to a multichain future by fusing a high-performance EVM, the trustless Rainbow Bridge, and cutting-edge Cross Contract Call technology.
