OP_CAT may bring Bitcoin layer 2 within 12 months

StarkWare CEO Eli Ben Sasson anticipates the OP_CAT upgrade, a significant addition to the Bitcoin (CRYPTO:BTC) network, could be live within the next 12 months.

Speaking at Devcon 2024 in Thailand, Ben Sasson explained that OP_CAT would introduce new functionalities, including covenants, zero-knowledge (ZK) rollups, and native Bitcoin layer 2 networks.

Ben Sasson highlighted that OP_CAT could transform Bitcoin’s capabilities, likening it to adding a new function to an old scientific calculator that enhances its operational range.

“OP_CAT adds one button to this scientific calculator, a button that can ‘concatenate’ or merge together strings of characters,” he explained, noting this simple change allows Bitcoin to handle more complex operations such as inspecting files and running programs.

Originally proposed by Satoshi Nakamoto, OP_CAT was removed from the Bitcoin network in 2010 due to concerns about security risks.

The idea was revived in October 2023 when cryptographer Ethan Heilman and Botanix Labs engineer Armin Sabouri proposed re-activating OP_CAT via a soft fork.

Ben Sasson emphasised that the reintroduction aligns with Bitcoin’s original intent as a payment network, making transactions more cost-effective.

“[It would see Bitcoin become] a payment network, which currently is just too expensive to be that. So you can buy your cup of coffee without needing to spend a fee that is 10 times that cup of coffee,” he noted.

Experts believe that OP_CAT’s introduction could propel Bitcoin into competing more closely with Ethereum in decentralised finance (DeFi) activities.

While Bitcoin sidechains have become more common, they are not considered true layer 2 networks because they don’t settle directly to the Bitcoin network.

Lachlan Feeney, founder of Web3 development firm Labrys, remarked that sidechains often lack the security that traditional Bitcoin supporters demand.

At the time of reporting, the Bitcoin price was $89,874.12.