Side Protocol, a modular settlement layer designed to enhance Bitcoin’s scalability, has recently launched its first incentivized testnet, named S2. This new phase marks a significant step in the implementation of the Side Chain, a Bitcoin sidechain that supports Bitcoin addresses and integrates Bitcoin Connect functionality along with a native decentralized exchange (DEX).

Concurrently with the rollout of this testnet, Side Protocol has unveiled the Insider Point System. This innovative system allows users to earn points by completing various tasks within the platform. These points may potentially qualify users for future airdrop rewards, adding an additional layer of engagement and incentive for participants.

To get started, users are encouraged to engage with the incentivized testnet by achieving Insider status through participation in social quests via its Galxe campaign. This status provides access to the Insider Point System, where users can monitor their engagement and rewards. Participants need to enter the Side Station, link their cryptocurrency wallets, and update their Side Chain addresses to Native SegWit, starting with the prefix ‘bc1q’.

Earning Rewards Through Engagement and Participation

Once set up, users can begin acquiring keys by completing activities on the platform. These keys can be exchanged for boxes that, when unlocked, yield SIDE points. Users have the option to use their keys immediately for boxes or save them to unlock higher-tier boxes later. Additional keys can be earned by inviting new users, providing feedback, or through increased engagement with the platform’s features.

Activities that reward users with SIDE points include using the SIDE testnet faucet, token swaps, providing liquidity, participating in liquidity staking incentives, withdrawing liquidity, placing limit orders, and voting in governance proposals. These activities are designed to foster a robust interaction with the testnet and deepen user involvement.

Ongoing Development and Strategic Partnerships

The total token supply for the S2 testnet is yet to be determined, and the duration of the testnet's operation remains open-ended, reflecting the dynamic nature of this developmental phase.

Side Protocol aims to provide a scalable infrastructure for Bitcoin through the Side Chain, which not only supports traditional Bitcoin operations but also introduces advanced functionalities like rollups within its modular stack. Additionally, Side Protocol has recently partnered with Nubit to develop a Bitcoin-native data availability layer tailored for rollups, further expanding its ecosystem and capabilities.

This series of initiatives by Side Protocol highlights its commitment to enhancing Bitcoin's utility and scalability, promising a more versatile and powerful blockchain infrastructure. The incentivized testnet and Insider Point System represent strategic steps forward in engaging the community and refining the platform’s features through real-world testing and user feedback.