How Zero-Knowledge Proofs Are Turning Bitcoin into a Settlement Layer

Author: Cryptonews AU

Source: Cryptonews AU

2026/01/21 14:10

ZERO$0.00000474-0.02%

LAYER$0.1385-2.46%

ZK$0.02754-1.39%

Boundless has introduced a cross-chain system that settles zero-knowledge proofs from Ethereum and Base on Bitcoin without changing Bitcoin’s protocol.
The design uses BitVM and Citrea to verify off-chain computation while keeping execution on smart contract chains.
The approach reflects a broader shift toward using Bitcoin as a neutral settlement and security layer for rollups.

The Boundless team has unveiled a cross-chain verification system that allows Bitcoin to serve as the settlement and verification layer for zero-knowledge proofs generated on Ethereum-based networks. Developed by the ZK network launched by RISC Zero, the system is intended to settle computation-heavy proofs on Bitcoin while leaving execution on smart contract platforms such as Ethereum and Base.

Under the initial rollout, ZK proofs produced on Ethereum mainnet and Base Layer 2 are verified and finalised using Bitcoin, effectively linking programmable execution environments to Bitcoin’s security model. Boundless CEO Shiv Shankar stated that the design is not intended to replicate Ethereum on Bitcoin, saying, “Bitcoin serves as the final verifier and settlement layer for ZK proofs”.

Related: ‘Bitcoin Lottery’ Buzz Fizzles After Untagged Blocks Traced to NiceHash Test

Anchoring ZK Proofs to Bitcoin

The system relies on Bitcoin Virtual Machine, or BitVM, an off-chain verification framework that enables validation of complex computation without modifying Bitcoin’s protocol. First proposed in 2023 and launched in mid-2025, BitVM allows computation outcomes to be anchored to Bitcoin through its scripting model rather than native execution.

“What BitVM unlocks… is the ability to anchor real computation to Bitcoin without changing Bitcoin in any way”.

Boundless has also integrated Citrea, a Bitcoin-native ZK rollup that is part of a broader effort to extend Bitcoin’s functionality as a verification layer. According to Shankar, the Bitcoin ecosystem is shifting beyond a pure store-of-value role toward increased verification without consensus changes, driven in part by growing demand from rollups for stronger and more neutral settlement layers. Boundless intends to expand integrations beyond Ethereum and Base, laying groundwork for Bitcoin to act as a shared settlement layer across multiple blockchain networks.

Related: Crypto Investment Products See Largest Weekly Inflows Since October 2025

The post How Zero-Knowledge Proofs Are Turning Bitcoin into a Settlement Layer appeared first on Crypto News Australia.

Market Opportunity

ZeroLend Price(ZERO)

$0.00000474

$0.00000474$0.00000474

-1.47%

USD

ZeroLend (ZERO) Live Price Chart

Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact [email protected] for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.