Bitcoin Magazine Editorial Policy for Bitcoin Layer 2 (L2)

I think Bitcoin Script is very underrated.

Since the launch of the Ordinals protocol and the BitVM whitepaper in 2023, the concept of what is possible on the Bitcoin base layer is changing, and it is now clear that Bitcoin is absorbing the demand from other blockchains in the wider cryptocurrency ecosystem.

Of course, developers have been eager to add additional features to Bitcoin since the beginning of the protocol’s 15-year history. From early sidechains like Liquid and Rootstock to the future of L2, Bitcoin Magazine has always covered legitimate expansion plans.

However, there are new imitators looking to leverage this development to sell arbitrary crypto tokens. Amid this Bitcoin L2 gold rush, Bitcoin Magazine’s editorial board believes there is a need to clarify its position on L2 coverage.

To be guaranteed, Bitcoin L2 must:

• Using Bitcoin as the primary asset: L2 should be designed primarily as a mechanism for using Bitcoin as the native token or unit of account and paying system fees. If there is a token, it must be backed by Bitcoin.

• Transactions are executed using Bitcoin as a payment mechanism. L2 users must be able to exit the system through a mechanism that returns unilateral control of their funds at layer 1.
• Demonstrates functional dependency on Bitcoin. If Bitcoin experiences a complete failure and the system in question continues to operate, our position is that that system is not Layer 2 of Bitcoin.

Bitcoin-based protocols that do not fall into the Layer 2 category but may still be subject to coverage include:

• Metaprotocol: Systems such as Counterparty (XCP) or Ordinals are protocols outside the scope of the Bitcoin protocol and although they exist and operate on Bitcoin Layer 1, they do not have their own separate blockchain. Bitcoin Magazine has historically covered news and events related to those protocols and will continue to do so in the future.

• ‘Parasite’ layer: These systems depend on Bitcoin and cannot operate independently without it, but they do not meet the other criteria required to be considered Layer 2. Bitcoin Magazine does not currently cover these protocols.

This policy statement does not apply to our stablecoin or token coverage decisions.

Additionally, it relates only to BitcoinMagazine.com and its print publications and does not represent the policies implemented by The Bitcoin Conference, Rare BTC or UTXO Management, which are institutional funds owned and operated by BTC Inc. L2.