Arkade enables users to seamlessly shift between preconfirmation and Bitcoin finality Ebased on their security and performance requirements.

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Preconfirmation

Funds in the Virtual Mempool operate under the preconfirmation trust model. All Virtual Transaction Outputs (VTXOs) are cosigned by the Arkade Signer, enabling instant transaction execution and rich programmable flows.

This model requires users to trust the Arkade Signer won’t double-sign conflicting transactions. Any misbehavior can be cryptographically proven, while economic incentives and verifiable execution ensure reliable operation.

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Bitcoin Finality

Finality is achieved when users settle their preconfirmed VTXOs into a new Batch Output confirmed onchain.

Users can balance security needs against convenience by choosing when to settle.

Settled VTXOs, while structurally identical to preconfirmed ones, are solely traceable back to Batch Output transactions, ensuring full Bitcoin-level immutability and censorship resistance.