Computing on Bitcoin #71
January 09, 2026 - Week 02

Welcome to the first 2026 edition of Computing on Bitcoin News!
This week brings fresh advancements across garbled circuits, trustless BTC vaults, and bridge design.
Let’s dive in.

01

Fairgate introduced OHMG (One Hot Modular Garbling), a new garbled-circuit construction aimed at reducing the cost of verifiable off-chain computation for blockchain protocols. The paper describes a scheme that represents arithmetic natively using one-hot encodings, achieving up to ~100× improvements in garbled circuit size.

fairgate.io/publications
🔗 OHMG: One Hot Modular Garbling

OHMG is explicitly designed for privacy-free authenticity-preserving applications. While the evaluator learns all cleartext wires, the protocol guarantees that outputs cannot be forged without possessing valid garblings for the corresponding inputs.

02

A new video explores how Bitcoin can integrate with regulated financial systems via BitVM, highlighting Metallicus’ BitVM testnet on Metal Blockchain to enable compliant interaction with bank-issued stablecoins and payments, without changing Bitcoin’s base layer.

babylonlabs.io/blog
🔗 Trustless BTCVault 101

Unlike most other crypto assets, only 1% of Bitcoin is using DeFi, which is a pity for both Bitcoin and DeFi. Why so low?
In this article, we unfold the problem behind this low engagement and introduce Babylon’s solution to this problem: a trustless BTCVault protocol that allows native Bitcoin to use DeFi in a self-custodial and trustless way.

03

Researchers from Korea University published “Bithoven: Formal Safety for Expressive Bitcoin Smart Contracts”, introducing a high-level, type-safe language that compiles to native Bitcoin Script while eliminating common script-level vulnerabilities at compile time. Bithoven targets practical on-chain contracts and complements recent advances like BitVM by improving developer safety and expressiveness.

arxiv.org
🔗 Bithoven: Formal Safety for Expressive Bitcoin Smart Contracts

The rigorous security model of Bitcoin’s UTXO architecture often comes at the cost of developer usability, forcing a reliance on manual stack manipulation that leads to critical financial vulnerabilities like signature malleability, unspendable states and unconstrained execution paths.

04

GOAT Network outlined how BitVM2 enables Bitcoin-enforceable bridges without forks, using optimistic verification with permissionless challenges and Bitcoin as the dispute layer.

05

Several companies published their 2025 reviews and recaps, reflecting on technical progress, ecosystem growth, and strategic direction. We selected a few to provide a glimpse of what is being built in the ecosystem.

fairgate.io/blog
🔗 Fairgate’s 2025 Recap: Leading the way to a new era of Universal Computation on Bitcoin

2025 marked a turning point for Fairgate. What started as a research-driven exploration around BitVMX matured into a coordinated ecosystem of protocols, real-world integrations and global collaborations.

alpenlabs.io/blog
🔗 Inside Alpen's 2025

2025 was a defining year in Alpen’s journey to become Bitcoin’s financial system. We released test versions of the platform, published groundbreaking research, Alpen pilled industry-leading partners into our vision, and so much more.

blog.citrea.xyz
🔗 2025 in Review: Technical Milestones, Community and Growth

2025 was a year of ecosystem development and community growth for Citrea. From launching testnet campaign and incubating the first wave of ₿apps, to refining our bridge infrastructure and preparing for mainnet, Citrea has firmly established itself as Bitcoin’s application layer. As we prepare to move into 2026, the Citrea Mainnet launch is up next, and the ecosystem of ₿apps is ready to scale.

medium.com/@Fiamma.io
🔗 Fiamma 2025 Annual Review

2025 was a year of ecosystem development and community growth for Citrea. From launching testnet campaign and incubating the first wave of ₿apps, to refining our bridge infrastructure and preparing for mainnet, Citrea has firmly established itself as Bitcoin’s application layer. As we prepare to move into 2026, the Citrea Mainnet launch is up next, and the ecosystem of ₿apps is ready to scale.

gobob.xyz/blog
🔗 Best of BOB 2025

2025 was a transformative year for BOB. We celebrated our first full year of mainnet, became the first hybrid ZK rollup, and took major steps toward building the Bank on Bitcoin.
Just in the last few weeks BOB token went live, we published a blueprint for native Bitcoin vaults that will reshape native Bitcoin lending, and also launched native BTC Swaps via BOB Gateway.

Thanks for reading!
We’ll be back next week with more updates, insights, and projects shaping the future of the ecosystem.

The Fairgate Team