Hi all, I’ve been working on an experimental metaprotocol using OP_RETURN outputs that defines a dynamic sub-denomination of sats called the “util,” which can adapt to changing economic conditions. The objective is to define a credibly-neutral unit of account that can provide price stability to goods and services traded in the Bitcoin economy.
A few key ideas:1. Users price goods and services in “utils,” settling payments in the corresponding amount of bitcoin
2. The definition of the “util” is controlled by an interest rate, set by the open market through the relative quantity of two interconvertible assets, Tighten and Ease
3. Users convert between Tighten and Ease according to a constant function conversion rule, ensuring the relative quantity reflects the relative price
4. Tighten and Ease are issued steadily over time, through a free mint that halves every four years
The implementation is written in Rust and is available on Github:
https://github.com/BitOMC/BitOMCIt’s all open source and developed by myself. The codebase is forked from the ord repo, but everything related to ordinals has been removed. For more details, see:
https://bitomc.org/bitomc.pdfThe protocol is currently live on testnet3, and mainnet launches at block 855,000. A synced Bitcoin Core node is required, but it can be pruned below block 855,000, and manually pruned thereafter once indexed by BitOMC.
