Taproot Assets in Amboss

Amboss integrates Taproot Assets to enable Lightning-native stablecoin liquidity, decentralized trading, and multi-asset routing on Bitcoin. This document explains how Taproot Assets power Amboss products: Rails, RailsX, and Magma.

What Are Taproot Assets?

Taproot Assets is a protocol built on Bitcoin and Taproot that enables scalable, secure issuance of digital assets — such as stablecoins, FX tokens, and other primitives — directly on Bitcoin. These assets can be transferred over the Lightning Network and settle trustlessly using Bitcoin’s Layer 1.

How Taproot Assets Integrate into Amboss

Rails - Lightning Liquidity Infrastructure

Rails lets users provide self-custodial Lightning liquidity and earn routing fees. With Taproot Assets:

Users can open channels with Taproot-native stablecoins
Earn routing fees in BTC or stablecoins
Maintain full control over their assets

Learn more about Rails

RailsX - Lightning-Native DEX

RailsX is a decentralized exchange built directly on Lightning. With Taproot Assets:

Users can perform atomic swaps between BTC and stablecoins
All swaps are trustless and peer-to-peer
No custodians, bridges, or centralized order books required

Explore RailsX
Read the RailsX announcement

Magma - Liquidity Marketplace

Magma is Amboss’s Lightning liquidity marketplace. Taproot Assets expand its capabilities:

Buy and sell channels funded with BTC or Taproot Assets
Create new multi-asset channel markets
Use stablecoins for channel leasing or liquidity deployment

Explore Magma

Why Taproot Assets Matter

Lightning Liquidity Beyond BTC

Support for stablecoins and FX assets makes Lightning more usable in volatile markets.

Bitcoin-Native Stablecoins

No bridges, sidechains, or wrapped tokens — assets live on Bitcoin and move via Lightning.

Trustless Financial Infrastructure

RailsX and Magma enable self-custodial finance directly on the Bitcoin stack.

What’s the Lift to Mint and Burn Taproot Assets?

Taproot Assets use a simple on-chain commitment model. Issuers mint and burn via signed Bitcoin transactions.

Minting

To issue Taproot Assets:

Run a Bitcoin node (bitcoind) and the Taproot Assets daemon (tapd)
Define the asset using tapcli or the gRPC API
Commit the asset via a Bitcoin transaction
(Optional) Broadcast proofs via a universe server

Burning

To burn assets:

Spend the Taproot output associated with the asset
(Optional) Publish a proof to reflect the burn

Setup Requirements

Bitcoin full node
tapd and tapcli
Lightning node (lnd) if using over Lightning
Asset proofs optionally served via a universe server

More info: Lightning Labs Taproot Assets Docs

Resources

Amboss is building decentralized infrastructure for the Lightning economy — powered by Bitcoin and Taproot.