Okay, hi everyone. I've been asked to speak about BIP300, which is one of my ideas for taking Bitcoin to the next level.

So, it is in one slide. BIP300 proposes these new layer twos that some call sidechains.

Sidechains are a response to the threat of altcoins, but they're also a response to the desire of Bitcoiners for more creativity and innovation.

You know, the desire to try things without asking for anyone's permission.

So, the deal is, how can we let everyone try ideas that they like?

And how do I keep other people's bad ideas away from me?

So, that's the dilemma. So, here you see we have the world of altcoins on the left, and then the revenge of BIP300 on the right.

We've copied Ethereum and Monero into our own projects that respect the 21 million coin limit of BTC.

So, there's no inflation.

So, ideally with BIP300, if some annoying person asks,

Oh, sure, Bitcoin seems great, but can it do whatever? Smart contracts, DeFi, ZK-SNARKs, whatever, blah, blah, blah.

You just say, yes, Bitcoin can do that. See BIP300. That's the idea.

Similarly, if some innovator dreams up a crazy idea, like, hey, I can improve Bitcoin.

It only needs my new idea, which is, you know, the larger block size or KYC miner coins or whatever.

Then, similarly, they can now do that without anyone's permission.

They just don't do it on the Bitcoin base layer. They do it on a BIP300 sidechain.

So, that is the goal.

Developers can write any code they want. Users can use the code if they like.

Everyone gets what they want.

So, now I'm going to try to explain it with more detail and see if it makes any sense to anyone.

So, I'm going to go through three aspects of the idea.

Their full autonomy, protect the base layer, and improve mining incentives.

But before continuing, I did want to mention that this project is not vaporware at all.

We've had working code for a while.

So, the code is open source on GitHub right now.

And there's downloads with a GUI that regular people can use.

We even have a Windows version now.

And finally, there's a YouTube video of me, that's March 1st, using BIP300 on Testnet to copy the Zcash altcoin.

So, the software can be downloaded today. It's very usable.

So, this project is very far along, is what I'm trying to say.

Okay, now back to these three aspects.

Aspect number one is this full autonomy.

So, each BIP300 sidechain has its own app.

And you can change the sidechain software however you like.

So, it's just like making a new iPhone app.

So, this is a metaphor here.

Each app has its own development team.

The software they write can have any validation rules or no validation rules.

You can do whatever you like.

So, for example, you could add zk-snarks, larger block size, whatever.

Turing-complete scripts, taproot or SegWit, mimblewimble, monero, ring signatures.

You can do whatever you like.

Any idea, good or bad, can be done and no one can stop the person.

It's just like releasing a new iPhone app.

So, that's the idea.

The only constraint imposed on the BIP300 sidechain is that they respect the 21 million coin limit of BTC.

So, the project, when you make a new project, it starts with zero coins on it.

And then the coins, you have to send the coins from layer one to these other networks.

So, users have to voluntarily choose to send their BTC over to your software.

It's kind of like a lightning app.

So, I have like the lightning apps there and then I have the BIP300 sidechain over there.

By comparison, the Zcash altcoins don't move anywhere because that's just an altcoin.

There's not a BIP300 or anything.

This is going to be like a mega abridged for simplicity.

But the point of these next two slides is to try to show that an evil sidechain can't cause problems on the base layer,

which is obviously extremely important.

So, will it make any sense?

I don't know, but we're going to give it a try.

So, there are two blockchains here.

The squares are block headers and the trailing rectangles are transactions in each block.

And time is flowing from left to right.

And even though there would normally be tens of thousands of blocks in this period from December to April,

that wouldn't have fit on the slides.

Instead, there are only 17 blocks on layer 1 in blue beneath and 17 blocks above on layer 2 in red.

And so, now I'm going to add these things in green here,

which is to represent that three months of sidechain activity are compressed into this one little 32-byte hash

and 64-character string here.

And that string is put into layer 1 transaction.

The BIP300 operates entirely off of the little string plus a lot of logic.

So, therefore, the full nodes on layer 1 do not check anything that is happening on the sidechain.

So, they can ignore everything that is happening up there, which is the point.

The sidechain doesn't even need to be a blockchain.

It doesn't need to be written in C++. It doesn't need to be decentralized.

It could be anything.

The Bitcoin full nodes that are below won't have any idea what's going on on layer 2, and they won't care.

So, the point is that they can't be harmed by layer 2 because they are not looking at it at all.

BIP300 just looks at this little hash and does some very simple calculations on it, like addition and subtraction.

And that will tell layer 1 who wants their coins back.

But the hash is inside a layer 1 transaction that your full node is already looking at anyway.

So, I realize this is a little dense, but the first two aspects combined make a cool asymmetry.

So, this is very important.

Pay attention to this part if you ignore the rest of this.

The users can move coins among the networks.

So, like I was saying before, they can move the coins among the networks immediately and trustlessly

using the same HTLCs that are in the Lightning Network, actually, if you wanted to do that.

But they wouldn't be as fast, but you could still do that.

But in order for anything to go wrong, something very difficult has to happen.

And what needs to happen is a majority hash rate needs to attack the upper network here

for at least three consecutive months.

So, 100% of the blocks misbehaving, or whatever you want to call it,

for three months consecutively every block, or six months if they do it half-heartedly.

So, the point is it's extremely asymmetric.

It's very easy to use it right, and it's very hard to use it wrong.

So, that was the difficult part. We're almost through that.

We'll get better, I think.

Anyway, the third aspect is that we want to improve mining incentives.

This is technically BIP301, actually.

I separated the two BIPs to make them easier to read.

But I think anyone with a brain who uses BIP300 would use BIP301 also.

But you don't actually have to.

Anyway, with Blind Merged Mining BIP301,

the miners don't need to pay attention to sidechains at all, either.

So, the users were already not paying attention to any sidechains that they didn't like.

But the miners can also ignore sidechains, if they like.

They still collect all of the transaction fee revenues from the sidechain transactions,

even though they're ignoring it.

And, you know, how does that work?

Unfortunately, I don't have enough time to explain it.

But you'll have to take my word for it.

The design is that if the miners just do what they normally do,

and include this set of transactions on layer one,

and pay the highest fees to them,

which is exactly what they already do today,

then they'll automatically mine all the sidechain blocks

and collect the revenue from the transactions.

So, even if you did this today,

it would boost the transaction fee revenues to miners by at least 10x.

And I actually think it could boost fees by 1,000x, or even more.

But I don't have time to tell you about it.

I did write an article called Security Budget in the Long Run

that you can type into Google and find, if you like.

Security Budget in the Long Run.

But there's not enough time to explain it out here.

I will mention one thing, though.

If miners upgraded to activate BIP300/301,

that might be the last time they ever need to upgrade their Bitcoin software ever again.

Because they would start to automatically take care of the new software put on layer two.

So, that's more convenient for them,

but also more secure, as well, if you're worried about what happens on layer one.

Okay, so that was a little dry, but now it's better.

Because that was the idea, and I'm going to get into the examples,

the concrete use cases.

So, basically, these are some altcoins I think we should consider ripping off via BIP300.

So, obviously I mentioned the Zcash video already,

but Zcash has these transactions where the sender and the receiver and the amount are all private.

So, then we Bitcoiners have to put up with these comparisons like this,

where someone puts up this thing and says Bitcoin versus Zcash or whatever.

But if we had BIP300, this infographic wouldn't even make any sense at all,

because we would have our own bit Zcash that would do exactly the same thing that Zcash does.

Similarly, apparently there's this darknet market.

I don't actually know if this is true, but it seemed true enough to me, and I tried to figure it out.

Apparently there was this darknet market that decided to only accept Monero,

so they dropped support for BTC, which is kind of a slap to the face.

I mean, if we had BIP300, then there would be no reason for them to accept Monero at all,

let alone exclusively.

So, that's the idea behind that.

This is something that's really interesting, I actually think.

BitDNS was this idea that was proposed on Bitcoin Talk in 2010,

and it later became the altcoin Namecoin that many people have not heard of anymore.

This thread where it's proposed is something that really everyone should look up and read if they can.

It doesn't take that long, and it's very interesting.

So, in the thread, Satoshi just invents single-handedly what is now known as regular merge mining,

not the Blind Merged Mining I said before, but Satoshi just invents that in a post.

And then he casually assumes that there will be many different blockchains that pay different fees.

As if this were non-controversial.

This was 11 years ago, but now it's considered a very bizarre thing to say.

So, Satoshi just kind of makes some offhand remark that says something like,

people probably won't want to pay the high, expensive Bitcoin fees.

They will want to use a blockchain with cheaper fees.

And Satoshi just says that in 2010 or something, which I think is really amazing.

It's very different than what you would expect in 2021 today.

And also, people may use the CERN sidechain numerous times.

Back in 2010 with the space, which I found to be interesting, and someone was interested in that.

Before I had thought it, it had really started in like 2014, 2015.

Anyway, that's enough about that.

So, the concept of BitDNS is a weird idea, but I think it has tremendous potential.

So, I don't have enough time to talk about it, because I'm watching that time very carefully.

But, I did write an article about it a few months ago.

And this is the URL, Truthcoin.info.blog.bidnames, and you can find it.

And I'm going to try to give you a few images from the article,

and maybe you can then read more about it if you're interested.

So, this is a guy pretending to be Elon Musk on Twitter.

Are you all familiar with this?

Probably, it's not really Elon Musk, it's E-L-I-O-N-esque Musk-esque.

So, that's a problem that I think we can solve.

This is the Liberty Reserve website domain name

being seized by the United States Global Illicit Financial Team.

And this is a guy who does a YouTube video about chess.

He has a YouTube channel.

But, you can see in the bottom corner, he has to put all of his names,

and all of his names are like Facebook, Instagram, whatever.

And to add insult to injury, his Facebook name,

he couldn't quite get the exact same name as he had for the other things.

With BidDNS, or with BidNames, whatever you want to call it,

he wouldn't have to do this at all,

and everyone would just know that he has just the one name.

He would just have the one name everywhere, which is pretty cool.

And then we have our digital assets.

People like to collect things. They like tokens.

Even just for fun, it's fun to collect things.

But we have this problem that most of the NFTs are on Ethereum,

which is embarrassing, and it's terrible.

So if we had BIP300, we could just have a whole ERC-20 chain

that just specialized in that.

This is David Vork's project. I saw him earlier today, maybe in the room.

We're ripping off his project now.

But his project is very impressive. I like this project.

A lot of people know about it.

It's decentralized P2P cloud storage managed and enforced by the blockchain.

So it's been running for five years.

It would keep running if everyone there quit.

The storage cost is one-tenth of what it is on Amazon.

You can just sit at a blank computer, type in your seed phrase,

and automatically regenerate all your files on the computer.

It's very neat.

People never hear about this because 99% of projects,

the altcoin projects, are scams.

And so it drowns out all the useful projects, which is too bad.

But that is another thing that would be solved by BIP300

because no scammer would make a BIP300 sidechain

because you can't use it to extract money from people.

So I'm getting near the end.

This is the last example.

This is my own project, my other project.

I designed it to be a Bitcoin sidechain from the very beginning.

But if BIP300 never activates or something else like it doesn't activate,

then it will have to be an altcoin, which is horrible.

But please check out my cool project, bitcoinhivemind.com.

And I'm very passionate about it.

I gave some screenshots.

It's a cool website with a lot of information.

The software can do a lot of things, but a crowd favorite is Futarky,

which are futures markets for how well certain leaders would perform

if they were in charge.

And this idea is very distressing to bad leaders

because we can learn about exactly how bad they are going to be

before we vote for them.

So that's obviously very distressing.

On top of that, finally, though,

there's a lot of different things we could rip off.

BIP300 might improve Layer 1 because we might choose

to intentionally never change Layer 1 again.

Matt Corral was talking about this earlier.

This would have some serious benefits.

The big one is no drama

because right now there are people whose job it is to decide

which software changes make it into Bitcoin and which don't,

which is a horrible mess.

And people have very strong feelings about that kind of thing,

and they have to all agree, so the process is very dramatic.

But with BIP300, anyone can make their own Layer 2 blockchain,

and people can just go back to working on the ideas that they like.

I'm just going to skip the last slide because I have 10 seconds.

Final thought.

If you want to get BIP300 faster, the best thing is to learn,

and the best way to learn is to actually download the software and use it,

and then talk to other people about your experience.

So the software has a GUI.

We even have Windows executable, so that's the best thing.

Don't ask someone else.

Just download it for yourself and give it a try, and then talk about it.

And then also, final thought.

You might want to change the way you view altcoins.

They're not like weird rivals that are inherently evil.

Instead, they're just like this place where the technology is previewed

and tested out before we copy it into BTC.

So there we go. So that's the talk.

Okay, thanks very much.

Thank you.

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