Developed to add a new dimension to Bitcoin’s long history and wide user base, this DAO is considered an important step towards further expansion of the Bitcoin blockchain.

The emergence of NFTs on Bitcoin last year has opened the door to further innovation on Bitcoin’s blockchain. The arrival of NFTs in Bitcoin has shown that this oldest blockchain can support not only valuable digital assets but also various applications and protocols.

Bitcoin has also been expanded with staking projects powered by fungible tokens and other layer-2 networks. This expansion has increased the use of Bitcoin not only as a store of value but also as a basis for a variety of financial and digital applications.

RootstockCollective stands out as the first DAO launched on Rootstock, Bitcoin’s layer-2 network. This new DAO is designed to encourage collaboration and interaction between users and developers in the Rootstock ecosystem.

Rootstock is a layer-2 network built on top of Bitcoin and compatible with EVM, Ethereum’s smart contract programming standard. This compatibility theoretically makes it possible for applications developed on Ethereum and related chains to be used on Bitcoin. This feature of Rootstock makes it easy to build new projects on top of Bitcoin and integrate existing projects into the Bitcoin network.

DAOs are blockchain-based organizations in which token holders can exercise voting rights, removing decision-making processes from a central authority. This system enables greater participation and interaction of users and communities.

DAOs, which are commonly found on blockchains such as Ethereum and Solana, could not be integrated into Bitcoin’s network due to its more limited programmability features. However, the RootstockCollective DAO, launched on Rootstock, aims to change this situation and expand the decentralized management approach in Bitcoin.

The “Build-on-Bitcoin” trend attracted attention with the Ordinals protocol in early 2023. This protocol enabled the use of non-fungible tokens (NFTs) on Bitcoin and demonstrated Bitcoin’s potential in this area.

This trend continued with memecoins and other fungible tokens through the Runes protocol. Additionally, the BitVM computing paradigm has further expanded the functionality of this blockchain by enabling smart contracts on Bitcoin.

RootstockCollective DAO will offer a staking mechanism that will grant voting rights to RIF holders of the Rootstock token. Staking refers to users participating in verification processes on the blockchain by locking their tokens and in return receiving more tokens as a reward. This mechanism will enable the DAO to operate effectively and allow users to contribute more to the ecosystem.

The launch of the RootstockCollective DAO is considered an important step that expands the innovative developments and decentralized management approach in Bitcoin’s layer-2 ecosystem. This step stands out as an important step taken to increase the functionality of Bitcoin and offer a wider range of applications.