Lightning Labs details how Wavelength VTXOs carry Taproot Assets
- —VTXOs anchor an asset's off-chain history to an on-chain commitment via compact proofs
- —Early caps are 300,000 sats per account and 50,000 sats per VTXO
- —Lightning payments routed through the service carry a 0.25% fee
- —Users can exit cooperatively or unilaterally via CSV timelocks
Why it matters: If stablecoins ship on Bitcoin rails without giving up custody, it could widen the network's use beyond BTC itself.
Source: Crypto Briefing