Bitcoin

Bioniq: Revolutionizing Bitcoin NFT Market to Tackle Network Congestion Head-On!

A New Bitcoin NFT Marketplace Aims to Reduce Network Fees with Internet Computer Protocol

A new Bitcoin nonfungible token (NFT) marketplace called Bioniq plans to address the network fees associated with Bitcoin Ordinals inscriptions by leveraging the Internet Computer Protocol (ICP). Bioniq operates on the ICP and utilizes its native Bitcoin integration to facilitate the trade of Bitcoin-based Ordinals inscriptions.

Bioniq CEO and co-founder Bob Bodily revealed that the project has been in development since February 2023. The marketplace features Ordinals smart contracts auctions on the ICP, a cross-chain wallet between Bitcoin and the ICP, and an inscription tool.

The surge in market capitalization of BRC-20 tokens since their inception in January 2023 has led to increased Bitcoin network congestion and a rise in transaction fees. Bioniq aims to mitigate these issues by offering a platform that provides a smart wallet for users to manage private keys using Web3Auth. This enables users to log into the platform using conventional Web2 Google accounts while maintaining control of their wallets and assets. Additionally, Bioniq utilizes partially signed Bitcoin transactions (PSBTs) through the ICP’s Bitcoin network integration, eliminating the need for centralized cross-chain bridges.

Bioniq’s choice to build on the ICP is due to its efficient transaction finality times, zero gas or network fees, and optimized storage costs. Bodily stated that the ICP is a “fantastic Bitcoin sidechain” with powerful Bitcoin primitives at the protocol layer. The ICP operates a Bitcoin light node running fully on-chain, allowing for the reading of the Bitcoin blockchain through smart contract calls. It also utilizes a threshold digital signature algorithm that enables ICP smart contracts to sign layer-1 Bitcoin transactions and broadcast them to the mempool.

While Bioniq’s wrapping process may present a potential barrier to entry for users, Bodily explained that the integration of open Nostr PSBT listings into Bioniq addresses this issue. Users can list directly on Bioniq using open PSBTs stored on Nostr through decentralized Ordinals marketplaces OpenOrdex or Deezy Place, eliminating the need to wrap Bitcoin transactions. However, Bodily acknowledged that wrapping Bitcoin to ICP requires trust assumptions on both protocols, which may deter some Bitcoin users concerned about counterparty risk.

Looking ahead, Bioniq aims to enhance user experience and eventually transition to becoming a Bitcoin sovereign rollup on the ICP, minimizing trust assumptions. This would enable Bioniq to inherit the full security and decentralization of Bitcoin while operating on the ICP. Bodily emphasized the demand for Bitcoin NFTs, citing Bitcoin’s widespread recognition, its dominant market position, and the significant volume generated by Ordinals.

Bioniq joins other Bitcoin-only Ordinals marketplaces such as Ordinals Market and Gamma. While existing platforms have made efforts to incorporate Ordinals, Bioniq aims to provide a dedicated marketplace specifically designed for Bitcoin users.

Related posts

The Great Escape: Estonian Court Blocks Extradition of Crypto Scammers to the US!

George Rodriguez

Breaking News: Cyber Hackers Strike Again, Unveiling a Heist from Coin Cloud’s Crypto ATM Firm!

George Rodriguez

BlackRock’s Bitcoin ETF: A Hundred Grand Start to a Revolutionary Investment Journey

George Rodriguez