In next generation GNSS signal design,the increasingly various services draw a strong demand to the technique of multiplexing,among which the dual‐frequency constant envelope multiplexing is one of the hottest issues and has been attracted great attention from researchers and system builders.ACE‐BOC is a recently proposed technique,which allows multiplexing four or less arbitrary signals into a composite signal with constant envelope.In this paper,an optimization based low‐complexity simplification is made for ACE‐BOC.To meet the design requirement and constraints of BeiDou satellite navigation system (BDS),a typical implementation for B2 band is provided by using the optimized ACE‐BOC.Analyses shows that the optimized ACE‐BOC achieves superior tracking performance to other representative dual‐frequency CEM such as AltBOC and TD‐AltBOC,and have equal or lower complexity in the implementation of signal generating.The optimized ACE‐BOC provides a competitive alternate for BDS B2 signal with good performance on both transmitter and receiver.