Demystifying Discreet Log Contracts (DLCs)

The Firefish Team • 18 March 2026

Discreet Log ContractsBitcoin Smart ContractsPrivacy-Preserving ProtocolsOracle-Based ContractsSchnorr Signatures

Abstract

This document provides an educational overview of Discreet Log Contracts (DLCs), a Bitcoin-native smart contract protocol. DLCs enable conditional payments on Bitcoin without revealing contract details on-chain, offering enhanced privacy and scalability. The paper explains the technical architecture, cryptographic foundations, and practical applications of DLCs in the Bitcoin ecosystem.

Demystifying Discreet Log Contracts (DLCs)
Citations (.bib)

Details

Type

Whitepaper

Publisher

Firefish

Language

English