Lightning Labs Releases Bitcoin Non-Custodial Scaling Solution LayerTree

According to a report by Jinse Finance on October 16, Lightning Labs announced its Bitcoin-based non-custodial scaling solution, LayerTree, via its official X account. This solution uses covenant restrictions to allow multiple users to share a single UTXO, with member shares recorded in an off-chain Merkle sum tree, while only the tree root is submitted on-chain. The official statement noted that any user can exit at any time with a single transaction, without requiring pre-signed transactions, time locks, or expiration dates. Receiving funds also does not require being online. According to the official website, in a tree with 65,536 slots, a single exit transaction is approximately 1,020 vB (about nine times the size of a regular transaction), which is lower than the approximately 2,511 vB of Ark-like solutions. The per capita cost for batch onboarding of around 1,000 members is less than 1 vB. The website also clarified that this solution relies on Bitcoin consensus layer changes that have not yet been activated and is currently not operational on Bitcoin.