What about using OP_MUL on an altcoin, to have it connected with Bitcoin, instead of using it on Bitcoin directly? If you have connected coins, it doesn't matter if you initiate things on ALT, and it is broadcasted into BTC, or if you initiate it on BTC, and broadcast it into ALT. And because of that, maybe it is not needed to introduce OP_MUL at all, but instead, start for example from implementing OP_ZKP on that altcoin, and make it easier for the users?
Also note that if you want to introduce any feature on BTC, you can now do so, without any forks (not even a soft-fork is needed). Because all you need, is to sign coins, to transfer them from BTC to ALT, and then just move them on BTC, to transfer them back. And then, if you apply Homomorphic Encryption on your BTC transaction, then you can process it in encrypted form on your altcoin, and then the last owner can decrypt it, and broadcast on BTC, to do a successful peg-out if needed. And then, the whole "sidechain" implementation can be simplified into "Lightning Network", where channel closing transactions are publicly known, but stored in encrypted form, and where "punishment transactions" are broadcasted by the community, so the altcoin nodes can just act as a huge watchtower in this case.
So, if you want to introduce anything new, I would rather think about complete implementation of OP_ZKP, than about OP_MUL alone. Because then, it will be easier to avoid XY problem, if you promote it as ZKP, rather than multiplication.
A sidechain could definitely be built in this way, but it kind of defeats the whole purpose of we want to use
succint zero knowledge proofs, specifically to allow large stateful computations (such as processing a layer 2 block) to have the
same security of Bitcoin consensus/Bitcoin PoW (with ZKP the user only has to trust proof of math + the security of Bitcoin). Unless the watch towers have the same security/decentralization as Bitcoin (never been done, likely never will be), then the user is essentially at the mercy of the watch towers for peg-out.
A similar argument can be made as to why use Bitcoin in the first place, and of course the answer is that is that Bitcoin is far and along the safest, most decentralized place to transact.
Perhaps the next most secure is Ethereum, but I need only point to the
terrifying rise of Lido which seems to be indicitive in chains which have
security which depends on anything other than Proof of Work + Proof of Math. The watch towers could of course use a PoW system, but this has its own pitfalls as again it is highly unlikely that an alt/layer 2 could reach anything like the decentralization and security of Bitcoin.