🔐Taproot Assets

Taproot Assets is a new asset issuance protocol introduced by Lightning Labs, specifically designed for the Lightning Network, to provide an efficient, low-cost, and highly scalable asset issuance solution. This protocol leverages Bitcoin’s latest upgrade—Taproot—to facilitate more complex and flexible asset transactions on the Lightning Network.

Taproot Assets minimizes its on-chain footprint by storing all necessary metadata off-chain. It further optimizes how UTXOs are used by allowing multiple assets to be controlled by the same output, and aggregate multiple transactions into a single UTXO. Taproot Assets on the Lightning Network vastly improves on the scalability of other on-chain or sharded off-chain protocols while allowing for the highest degree of self-sovereignty.