Development status, use cases and properties of the RGB protocol: Atlas21 interviews Maxim Orlovsky, CEO of the LNP/BP Standards Association.
During the Tuscany Lightning Summit in Viareggio, the state of the art of solutions for bringing other assets onto Bitcoin, in particular onto the Lightning Network, was discussed.
Among these solutions there is certainly RGB carried out by, among others, Maxim Orlovsky with the LNP/BP Standards Association and Bitfinex.
To talk about this and more, Atlas21 interviewed Maxim Orlovsky, CEO of the LNP/BP Standards Association.
At what stage is the development of the RGB protocol?
The development of RGB works as follows: we prepare the new version of the software, release it, and then work closely with various projects that want to build applications on top of the RGB protocol. Based on the feedback we receive, we improve the system. The goal of RGB is not to develop tokens on LN or create shitcoins on Bitcoin. The real goal of RGB is to solve the problems that blockchain technology presents, which partially limit Bitcoin. The first problem with a blockchain is privacy. A blockchain is not private, but it is a ledger where all transactions are public. The second problem with a blockchain is that it is not scalable.
The aim of RGB is to create a way to build true private applications that adhere to cypherpunk principles without using the blockchain, but using a client-side validation model, which is more challenging to achieve.
With the client-side validation model, after the software is released, no hard fork or soft fork can be performed. That is why our development proceeds in the way I described earlier.
The first version of RGB that was actually tested for building applications was 0.5. Today we have reached version 0.10 and we are now developing version 0.11, which might also be the last. This is because the Bitfinex team working on RGB has developed a suite of tools to test the protocol’s security. Additionally, we have conducted internal audits and resolved bugs in the code. Now, with Bitfinex’s support, we will undergo a public audit process. Therefore, version 0.11 will be the first to have both an internal audit and an external audit.
For about a year, users have been able to try RGB through the use of Iris Wallet. Do you believe that the next version of RGB could encourage the development of real applications on a larger scale?
It’s hard to say in the software development business. During the Tuscany Lightning Summit speech, we announced that we would integrate Tether into the RGB protocol thanks to my company’s intermediation. This means I have decided to put myself, my company, and my investors at financial risk by betting on the security and stability of version 0.11.
Do you think there will be a specific predominant use case for the RGB protocol?
Certainly. I think the main use case will be related to scams. Any technology that has strong censorship-resistance and good privacy will be predominantly used for scams. I believe it’s inevitable; it happens with Bitcoin today. I don’t decide how the protocol is used. I have no ethical problem if people decide to use it for scams.
I think any technology that aims to be censorship-resistant must be developed to handle spam. So, even if it will be a good technology, I believe the main use of RGB will be related to scams and spam.
Of course, there will be other use cases for real applications. My desire is to see RGB as the basis for a new legal system for a decentralized society. Essentially, the way RGB works makes a State’s legal system obsolete, just as Bitcoin makes the financial system of central banks obsolete.
Do you think RGB could be a way to move inscriptions, BRC-20 tokens, and other protocols recently seen on Bitcoin off the blockchain?
Absolutely. It wouldn’t surprise me to see people from the Taproot Wizards movement moving to RGB in the future. As I’ve said before, if RGB works well and keeps its promises, every form of scam will move there.
