# Phase 1

#### **Phase 1: Initial Development & Architecture Design**

**1. Project Kickoff and Planning**

* Define the project scope and key milestones.
* Set up a core development team and project management tools.

**2. Architecture Design**

* Design the overall architecture of the Zeno Layer 2 solution for the BTC network.
* Define key components: Validator nodes, consensus mechanisms, tokenomics, gas model, and smart contract design.
* Design and review system security architecture, including DDoS protection, node communication, and private key management.

**3. Virtual Machine (VM) Development**

* Develop and implement a custom virtual machine (VM) designed to execute smart contracts on the Zeno network.
* Optimize VM for BTC network compatibility and scalability.

**4. Layer 2 Protocol Development**

* Implement the BTC Layer 2 protocol (e.g., channels, rollups, state channels).
* Design efficient transaction aggregation and on-chain settlement mechanisms.

**5. Testing & Initial Integration**

* Deploy the testnet for internal use.
* Conduct unit testing and integration testing for all core components, including smart contracts and VM.
* Test BTC Layer 2 transaction processing, block production, and gas management.

**6. Initial Block Reward Mechanism Design**

* Design the initial mining reward structure and staking mechanism.
* Implement early block reward distribution logic for nodes and validators.

**7. Documentation and Community Engagement**

* Prepare initial technical documentation for developers and users.
* Engage early community members through forums and social media to gather feedback and build awareness.

**8. Security Audits and Code Reviews**

* Perform security audits on all core protocols and smart contracts.
* Conduct peer reviews and vulnerability testing to ensure robustness and security.
