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Ever since the Bitcoin community embarked on discussions surrounding the optimization of covenants, there’s been a growing interest in learning more about their tradeoffs and the covenants already deployed on the Liquid Network.
In light of this renewed interest and to encourage further discussion, let’s review some of Liquid’s current covenant offerings, comparing them with the leading proposals on Bitcoin and examining their respective use cases.
History of Covenants on Liquid
Covenants on Liquid can be traced back to the deployment of the first Elements sidechain, Alpha. This sidechain introduced the opcodes OP_CHECKSIGFROMSTACK (CSFS) and OP_DETERMINISTICRANDOM along with a number of…
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