Key Points
- Marathon Digital is launching a multichain layer-2 network named Anduro to boost Bitcoin development and adoption.
- Anduro, which offers the creation of multiple sidechains, will utilize a system called merge-mining, allowing miners to earn from sidechain transactions while continuing to mine Bitcoin.
Marathon Digital, a leading crypto mining company, has announced its foray into Bitcoin scaling with the introduction of a new multichain layer-2 network called Anduro.
The firm disclosed in a blog post on February 28 that it has been nurturing the scaling platform, which is designed to expedite Bitcoin development and adoption.
Anduro: A Catalyst for Bitcoin Innovation
Anduro is designed to function as an application layer, fostering innovation within the Bitcoin ecosystem by facilitating the development of multiple sidechains.
The programmable layer-2 is engineered to "systematically incorporate decentralized governance, aiming to become the most reliable, developer-centric Bitcoin layer-two," the company explained.
Although Marathon has supported the growth of Anduro, it is meant to be led and driven by the community, the company added.
Marathon also noted that it is currently working on the first two sidechains on Anduro, named Coordinate and Alys.
Coordinate provides a cost-effective UTXO (unspent transaction output) stack for the Ordinals community, while Alys is an Ethereum-compatible sidechain designed for institutional asset tokenization.
Anduro employs an innovative system known as merge-mining, allowing miners like Marathon to generate revenue from Anduro sidechain transactions while concurrently mining Bitcoin.
As per the Litepaper, governance is conducted through a "diverse consortium of Bitcoin-forward entities known as the Collective."
This will be phased out once trustless alternatives achieve production readiness.
Marathon's Chairman and CEO, Fred Thiel, stated that the company is committed to backing innovation in the Bitcoin ecosystem, including initiatives like Anduro.
"We believe in testing, iterating, and letting the market decide what ideas succeed," he said, adding that "Anduro is one of those ideas that provides value to Bitcoin holders and application developers, all while reinforcing the long-run sustainability of Bitcoin’s Proof-of-Work."
The company's next step is to attract "influential and aligned partners" to invest at the forefront of Bitcoin adoption, according to the Litepaper.
Earlier this month, Marathon introduced a new direct Bitcoin transaction submission service named “Slipstream.”
Bitcoin layer-2 narratives are gaining traction following the Ordinals and BRC-20 hype of 2023.
As a result, tokens for projects scaling Bitcoin or providing functionality such as smart contracts have seen a significant increase in recent weeks after Bitcoin's rise to new multi-year highs.
