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Why are Alkanes and radFi considered innovative new platforms?
In the traditional Bitcoin ecosystem, users could mainly place orders for trading, and ordinary users couldn't enjoy liquidity benefits.
Later, some platforms started to do things similar to liquidity pools, such as dotswap @linzheming @swap_on_nexus, but operationally, users had to deposit their funds into their platforms.
Mechanically, this is akin to dot establishing its own centralized pool, further advancing the financial liquidity of Bitcoin.
Additionally, there are some Layer 2 solutions, but since they are not native Layer 1 financial implementations of Bitcoin, they haven't gained widespread popularity and acceptance.
The emergence of truly native Layer 1 financial operating systems for Bitcoin should be the platforms launched last year, Alkanes and radFi (now also called Bound), which allow direct DEX and liquidity pool operations on Layer 1, providing a better trading experience.
Unlike the era of inscriptions and runes, where gas fees caused congestion and there were issues with replacement trades, these platforms offer smoother transactions.
Other Bitcoin ecosystem bloggers have written about their specific mechanisms; I’ve also taken some time in the past few days to organize my understanding again.
In summary: native Layer 1; seamless trading; a financial ecosystem.
The development and evolution of these things happen step by step; the Bitcoin ecosystem cannot disappear and will continue to progress.
I once said that if only 10% of BTC participates in the Bitcoin ecosystem, it would become a financial market worth over a trillion dollars.
So, the current top assets like Diesel and Bound with market caps of a few hundred million are not unreasonable.