Why JIT Liquidity + Splice Are Critical for Atomic Swaps @BitlightLabs has released the latest update on staying in sync with Lightning development progress, while also introducing several new features planned for future support. @rgbstashlabs provides an in-depth explanation of two key features from this roadmap, along with further context on their significance for Stash Labs products such as RLSP, and Flash Dex. 🔥 Two Core Capabilities Explained: • JIT liquidity for RGB: just-in-time RGB asset channel opening • Splice for RGB: dynamic capacity adjustment of RGB asset channels Building on our RLSP + Atomic Swap capabilities, is about to launch native asset swap trading. However, the current RGB Lightning Network pipeline has key pain points: When a user completes a $RGB buy order via RLN and RLSP, two channels must be opened sequentially: ✅ User opens a BTC channel to pay BTC to the RLSP ✅ RLSP opens a BTC/RGB composite channel to deliver $RGB to the user Three Major Drawbacks of the Current Model: 1⃣ Dual channel opening requires waiting for Bitcoin mainnet block confirmations — typically 6 confirmations — resulting in extremely high transaction latency. 2⃣ Channel capacity is fixed. Once the balance is insufficient for the next transaction, the old channel must be closed and a new one rebuilt — a costly process with high fees and a fragmented user experience. 3⃣ The current model is completely unable to support high-frequency continuous trading scenarios like FlashDex perpetual contracts, severely limiting the RGB ecosystem's trading experience. 🚀 JIT Liquidity | On-Demand RGB Channel Opening JIT (Just-In-Time) liquidity — the core principle is to create on demand, with no pre-lockup required: ▸ Users don't need to pre-fund or manually create RGB asset channels; ▸ When initiating a $RGB receive/swap request, the RLSP instantly generates a virtual off-chain channel — no immediate on-chain settlement needed; ▸ After the first transaction is completed, it is automatically anchored on-chain and converted into an official RGB Lightning channel. 💡 Core Value: • Zero-barrier entry to RGB asset swaps — no idle capital lockup. • Dramatically reduced transaction wait times, eliminating mainnet block confirmation delays. • Enables users to complete $RGB transactions as seamlessly as Lightning BTC, while maximizing RLSP capital efficiency. 🛠 Splice for RGB | Dynamic Capacity Adjustment for RGB Asset Channels Built on the Lightning Network's native Channel Splicing technology, allowing RGB asset channels to be resized without closing or rebuilding: ▸ Splice-in (expand): Add BTC/RGB assets directly to an existing channel; ▸ Splice-out (shrink): Withdraw idle funds from the channel as needed; ▸ The channel remains uninterrupted throughout — no trading pauses required. Only the funding transaction is updated via signatures, requiring a single on-chain confirmation. 💡 Core Value: • Permanently eliminates the old pattern of "close and reopen a channel when the balance runs out". • Seamlessly supports high-frequency continuous trading, enabling FlashDex perpetual contract scenarios. • Significantly reduces on-chain fees from repeatedly opening/closing channels, improving capital turnover and utilization. 🔗 Synergy of Three — Redefining the Atomic Swap Experience • RLSP + Atomic Swap: Powers the underlying asset swap logic. • JIT: Solves the "0 to 1" problem — no pre-built channels, instant trade initiation. • Splice: Solves the "1 to N" problem — dynamic channel scaling to support high-frequency continuous trading. With JIT + Splice landing together, the current pain points of RGB channels — high latency, cumbersome workflows, and the inability to support high-frequency trading — will be fully resolved. This lays a solid infrastructure foundation — high performance, low barriers, and high liquidity — for upcoming Atomic Swap and ecosystem derivatives trading. 🚀 It is worth noting that these two features will not affect the launch timeline — they serve purely as a leap forward in user experience.

# 🚀 Sharing Our Team's Recent RGB Protocol Learnings With the stellar documentation from @aaronzhang and the dev environment built by the bitlightlabs team, we successfully validated the RGB v0.11 token transfer demo and gained a grasp of the protocol’s transfer mechanics. Docs reference: ## 🧩 Current Problem To date, no developer has rolled out a fully functional integration environment for RGB v0.12. What’s more, devs struggle to get a clear picture of the key feature upgrades from v0.11 to v0.12. ## 💻 Our Improvements Building on the rgb-sandbox repo and existing demo code (incompatible with v0.12) from the @RGBAssociation organization, we revamped the legacy ` script to enable seamless execution of complex RGB v0.12 demo scenarios. We also created a comprehensive walkthrough report for the demo, breaking down core logic to ease the learning curve for new developers. ## 🎁 Open Source Contributions ✅ Code PR submitted to the official RGB-WG repo: [RGB-WG/rgb-sandbox#1#]( ✅ RGB v0.12 demo walkthrough report: [rgbstashlabs/rgb-sandbox/demo-analysis-en.md]( 💡 💡 New developers can dive into the demo mechanics by reading the report, or simply run the ` script locally.

🔥 Stash Labs successfully completed an end-to-end demo for RGB assets natively on the Lightning Network! Powered by Bitlight Labs' rgbldkd node implementation, we nailed a full RGB20 token lifecycle in 13 steps: ✅ RGB20 token issuance & off-chain distribution ✅ Dual-asset Lightning Channel setup (BTC + RGB) ✅ Instant RGB LN transfers (no on-chain confirmations, millisecond settlement) ✅ BTC ↔ RGB atomic swaps via Hold Invoices This RGB + Lightning fusion leverages Bitcoin's underlying security, unlocking a new era of Bitcoin-native DeFi with unrivaled privacy and scalability! 📄 Full Validation Docs: 💻 Open Source Code: #Bitcoin# #LightningNetwork# #RGBProtocol# #BitcoinDeFi# #BitlightLabs#

Bitlight Labs publishes a complete disaster recovery solution for RGB assets on Lightning Network channels. The wire-level specification is formalized as bLIP-0072, complementing bLIP-0070. Standard Lightning channels already have a well-defined recovery path for BTC: recover from backup, sweep your funds on-chain using your seed. Solved. RGB assets in Lightning channels are a different problem. Allocations are client-side validated and stored locally—not on-chain. When a channel loses state, the RGB allocation cannot be reconstructed from chain data alone. It exists only in the counterparty's local stock. bLIP-0072 defines how to retrieve it. Make Bitcoin Smart.

Bitlight Labs has completed its Bitcoin Infrastructure Modernization — upgrading from Bitcoin Core 28.x to v31.0 and deploying Cluster Mempool across our stack. Full technical write-up: What changed: → Cluster Mempool replaces per-transaction tracking with cluster-based evaluation. Transactions are now grouped and ordered by chunk feerate, enabling more accurate block template construction and stricter RBF semantics. → Fee estimation precision improved from 1 sat/vB to 0.1 sat/vB — reducing overpayment in low-fee environments for wallets and protocol-level settlement. → mempool-electrs upgraded to v3.3.0 with multi-tier fee estimation (fastest / halfHour / hour / economy / minimum), while preserving full backward compatibility with existing electrs endpoints. → Private broadcast support via Tor/I2P for transaction relay, reducing originating IP leakage. → Default dbcache increased to 1024 MB on 4GB+ systems, improving sync and validation performance. For RGB Layer2 infrastructure, this means more predictable CPFP/RBF behavior, cleaner fee selection for on-chain settlement, and a stronger foundation for commitment transactions. Our approach: stay close to upstream, reduce unnecessary abstraction, build where the protocol is actually moving. Make Bitcoin Smart.

Bitlight Labs Technical Update – February 21, 2026 We are pleased to announce significant updates to our RGB Lightning Network (RLN) infrastructure and the release of a new developer sandbox. 1. RLN Node & CLI Enhancements Repository: We have refactored payment logic to a resource-oriented architecture. Key updates include: - Expanded Payment Controls: Added specific subcommands for pay invoice, offer, refund, and keysend. - BOLT12 Support: Integrated BOLT12 capabilities along with wait and abandon payment states in the API and TypeScript SDK. - Documentation: Updated all examples and docs to reflect the new node topology. 2. New Developer Sandbox Repository: We have released a React + TypeScript web frontend for the Bitlight LN Hub to facilitate testing and development. Features include: - RPC Proxy: A backend implementation (in src/app/api) to securely proxy RPC calls and resolve cross-domain restrictions. - Dockerized Environment: Includes a pre-configured Bitcoin regtest container (bitcoind) with scripts for wallet creation and rln-ldk-node server initialization. Developers are encouraged to review the repositories and update their local environments accordingly. Make Bitcoin Smart

Bitlight Wallet & RGB Faucet - Reclaim Permanently Reopened We are reopening the Reclaim process on a permanent basis. All anomalous asset data has been audited and consolidated, and a Reclaim queue has been established according to the amount of the affected assets. From now on, Reclaim processing will not interfere with Claim activities. Who should use Reclaim: 1) Users with corrupted wallets or Failed transfer receipts, as detailed in our prior notice. 2) Users who experienced asset loss and whose previous cases remain unresolved. Key points: - No fees are required for Reclaim; all associated costs are covered by Bitlight Labs. - Ensure your wallet has available UTXOs to receive assets. Eligibility is determined by the verified anomalies linked to your xpub or sender/recipient addresses. The Reclaim amount will match the original affected amount. If you believe you were affected but are not shown as eligible for Reclaim, submit the relevant details in our Telegram channel. We will investigate your case promptly and reconcile it against our records to confirm eligibility. We appreciate your patience and cooperation. Our support team remains available to assist throughout the process.

Lightning RGB: Making Channel Closes Observable Bitlight Labs closed the asset visibility gap during channel closure in RLN with a dedicated closing view: every channel between "close initiated" and "funds back in the wallet" stays visible, with its exact stage, its remaining outputs, and—for colored channels—the RGB asset amounts and their recovery progress. This matters because RGB assets on Lightning need the same operational confidence as on-chain — especially during the most sensitive lifecycle event. Make Bitcoin Smart.

$LIGHT Airdrop Claiming — Phase I is now live. In this phase, eligibility includes $RGB holders and users who have created mainnet UTXOs and interacted with the RGB Faucet. The RGB Faucet—Bitlight Labs’ first interactive application on RGB mainnet—supported the protocol’s first million-scale stress test. As the first test asset on RGB, $RGB will continue to receive long-term airdrop incentives as the RGB protocol and the Bitlight ecosystem grow. It will also serve as a core asset across key initiatives, including (but not limited to) a decentralized RGB asset marketplace, RGB–Lightning integration, RGB–zk integration, and a Lightning Network–based stablecoin payments network. If you weren’t eligible in this phase, don’t be discouraged. Our commitment to the RGB protocol and the Bitlight ecosystem is long-term and unwavering. A total of 50.64% of $LIGHT has been allocated to the RGB protocol, the Bitlight ecosystem, and the community, to be released gradually as the ecosystem matures. We build in cycles, not weeks. The RGB protocol and the Bitlight ecosystem are at the very beginning of their journey; realizing a global stablecoin payment network will take the steady, collective effort of Bitlight Labs, our peers across the RGB ecosystem, and dedicated community builders and supporters. We’re here for the long haul—focused, patient, and hopeful. We’ll keep shipping, listening, and improving. Thank you for being early and for believing in what we’re building. Together, we’ll make the vision real. Make Bitcoin Smart.

Let there be $LIGHT. $LIGHT is now available on Binance, Bitget, Gate, and KuCoin. Market pairs and availability may vary by venue. Pricing and liquidity are determined by the open market. Digital assets are volatile and may result in partial or total loss. Do your own research and make independent decisions. You are solely responsible for your trading and investment outcomes. Access to and use of cryptoasset services may be restricted or prohibited in certain jurisdictions (including the UK, Mainland China, and others). Please comply with the laws and regulations applicable in your place of residence. Where prohibited, do not trade. Bitlight Labs respects and complies with applicable global laws and expects users to transact safely, lawfully, and in compliance with local regulations. Nothing in this announcement constitutes investment, legal, accounting, or tax advice, or a solicitation to buy or sell any asset. Verify official tickers and links through our official channels to avoid impersonation or fraud.