@playfulpanda
Merlin Chain is one of the first attempts to build a zkEVM Rollup for Bitcoin, combining zero-knowledge proofs, BitVM-based Bitcoin security, and a decentralized oracle network.
It batches off-chain transactions, generates ZK proofs of state transitions, and submits these proofs to Bitcoin's Layer 1 for finality. To address data availability (which Bitcoin cannot natively provide), Merlin uses a Data Availability Committee (DAC), comprised of oracle nodes that store and attest to off-chain data. In its proposed architecture, these DAC nodes must stake BTC and face slashing if they sign invalid state updates that are later disputed.