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Understanding Hemi: A Comprehensive Overview

Efforts to extend Bitcoin’s capabilities through wrapped assets or merged-mined sidechains have introduced tradeoffs in custody, decentralization, and developer flexibility.
Hemi is a modular Layer-2 (L2) protocol designed to address these limitations. Its architecture embeds a full Bitcoin node within an Ethereum Virtual Machine (EVM), enabling Solidity contracts to observe and respond directly to Bitcoin’s UTXO state.