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    Home»Bitcoin»RGB Consortium Releases Formal Specification for Scalable Bitcoin Good Contracts
    RGB Consortium Releases Formal Specification for Scalable Bitcoin Good Contracts
    Bitcoin

    RGB Consortium Releases Formal Specification for Scalable Bitcoin Good Contracts

    By Crypto EditorAugust 4, 2025No Comments3 Mins Read
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    The RGB Consortium has formally launched the RGB Yellow Paper, presenting a formally specified design for RGB I.0, a scalable and privacy-focused good contract protocol for Bitcoin and the Lightning Community. 

    RGB yellow paper is launched: the primary formally specified scalable good contract system for Bitcoin & Lightning, made with client-side validationhttps://t.co/JVK4HqEc8u

    Observe us for extra updates! pic.twitter.com/dmNyOnZ6ow

    — RGB Consortium (@rgbconsortium) July 31, 2025

    The paper outlines a system constructed on client-side validation, designed to beat elementary limitations of blockchain-based good contracts.

    RGB I.0 introduces a novel consensus structure based mostly on the separation of contract logic from the blockchain itself. 

    Contracts are validated solely by immediately concerned members, utilizing cryptographic commitments and a mechanism generally known as single-use seals. 

    This design permits every good contract to operate as its personal impartial shard, avoiding the scalability and privateness challenges seen in world state methods like Ethereum.

    On the coronary heart of the protocol is the SONIC (State machine with Possession Notation Involving Capabilities) structure, which implements capability-based entry management over contract state and leverages the zk-AluVM, a digital machine appropriate with zk-STARK zero-knowledge proofs. 

    This permits excessive ranges of scalability and formal verifiability, whereas sustaining sturdy privateness ensures and quantum resistance.

    Not like conventional good contracts that replicate state globally, RGB contracts use partially replicated state machines (PRiSMs), that means state is saved and processed solely by related events. 

    The protocol doesn’t use the underlying Bitcoin blockchain for transaction ordering or world state replication, however relatively as a finality layer for seal commitments.

    In response to the yellow paper, RGB contracts may be deployed on Bitcoin, Liquid, and the Prime blockchain. 

    On Bitcoin, the system makes use of transaction output (TxO)-based seals and embeds commitments in Taproot outputs or OP_RETURN scripts. 

    These improvements allow RGB to pack a number of good contract operations and even a number of contracts right into a single Bitcoin transaction with out revealing delicate particulars.

    Dr. Maxim Orlovsky, the lead creator of the paper and long-time contributor to the RGB undertaking, describes RGB I.0 as “the primary common client-side validated distributed good contracting system” that’s scalable, safe, and formally verifiable.

    With this launch, RGB strikes from years of analysis right into a production-ready system. The Consortium encourages builders, researchers, and establishments to observe future updates—and notes that the consortium is open to new members who want to contribute to the evolution of the protocol.

    The yellow paper is obtainable at: github.com/RGB-WG/yellowpaper.

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