Nakamoto Upgrade Release Date Set: Bitcoin L2 Stacks Prepares For Major Update

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To bring about a major change in its structure, Stacks, the Bitcoin (BTC) Layer 2 (L2) network, is planning to roll out an upgrade named Nakamoto. The launch could happen as soon as April 16.

The long-awaited update, which has been in the works for years, is set to make waves in the Bitcoin L2 world by significantly boosting the project’s speed. In an insightful analysis, crypto expert Sly Odogwu explains the intricacies of this upgrade and previews what the Stacks community can look forward to.

Stacks Unveils Nakamoto Upgrade

Previously called BlockStack and rebranded in 2021, Stacks now functions as a secondary layer (L2) for Bitcoin that simplifies the creation of decentralized apps (DApps) and smart contracts directly on the Bitcoin blockchain.

Yet, Odogwu pointed out that the Stacks platform has faced hurdles because of its intricate design. Among these obstacles are the lengthy process of validating Bitcoin transactions through cryptographic sorting before selecting a miner to form new blocks.

Furthermore, Stacks provides an affordable way to rearrange data, but encounters challenges with determining the correct order of transactions in the Stacks blockchain’s chain of blocks. Consequently, this can result in forks in the Stacks blockchain as miners exclude one another and independently manage their mining activities.

The Nakamoto update is expected to tackle these problems head-on and significantly transform the Stacks system, with a focus on enhancing block creation speed and ensuring definitive Bitcoin transactions.

An essential improvement brought about by the Nakamoto Upgrade is anticipated to be quicker block generation. This update will distinguish block production from cryptographic lottery, consequently permitting swifter block formation.

Research suggests that miners can now mine multiple blocks concurrently, while stackers take over the role of validating these blocks, thereby eradicating the requirement for sortition. This modification is expected to markedly boost the speed of the Stacks blockchain.

Additionally, the Nakamoto Upgrade in Stacks enhances Bitcoin’s finality by making it harder to reverse Stack transactions, which is comparable to the difficulty of reversing a Bitcoin transaction. Furthermore, eliminating forking within the Stacks blockchain strengthens its immutability and security.

Attracting Builders And Boosting Potential

An important part of the update is its commitment to combating Miner Extractable Value (MEV) advantages in Bitcoin mining. This will be achieved by modifying the selection process, ensuring that Bitcoin miners and Stack miners have equal footing.

With this change, the Stack ecosystem is expected to offer a fairer playing ground for all participants, minimizing opportunities for manipulation of Market Execution Value (MEV).

An significant advancement arising from the update is the direct correlation between the generation of Stack Blocks and Bitcoin blocks. As explained by Odogwu, this alignment leads to quicker block production and enhanced security, making fork occurrences unnecessary in the Stacks blockchain.

In essence, the upcoming Nakamoto upgrade is believed to bring well-known developers into the Odogwu community, resulting in the creation of Decentralized Applications (DApps) and fresh projects. The fact that this upgrade occurs around the same time as Bitcoin’s halving adds optimism to Odogwu’s future prospects.

On April 16, the Stacks community is looking forward to the rollout of this update. This development signifies a fresh start for the second-layer Bitcoin solution and may potentially impact its associated token, STX, which has experienced notable declines in value lately.

Nakamoto Upgrade Release Date Set: Bitcoin L2 Stacks Prepares For Major Update

At present, STX is priced at $2.37 on the market. However, its value has decreased by more than 13% in just the past day, and a significant drop of over 30% has occurred within the previous two weeks.

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2024-04-17 04:11