Bitcoin was a nuclear part of the Starknet ecosystem on Tuesday, as the Ethereum Low-2 network It started to use it actively as a way to secure itself, according to a press release.
Starknet users can now participate in validating transactions by delegating Bitcoin to the network to earn rewards, said Starware, the developers of the network. Previously, Starknet users could only use his native strk -token.
The company also said that RE7, an investment company based in London, is building a Bitcoin-bound interest rate broduct on Starknet. The Starknet Foundation is planning to use 100 million STRK to encourage Bitcoin-related activities on the network added.
If Bitcoin has a mistake, it is that it is active ‘too much is being hoded’, co-founder of Starware and CEO Eli Ben-Sasson told DecryptThe use of a spelling mistake from “Hold” that has emerged in recent years as a rally for steadfast cryptocurrency investors.
Ben-Sasson said that Bitcoin is ‘unspoilt capital’, but the use of the active has so far been limited within the empire of Decentralized financingOr Defi, because centralized exchanges have traditionally had a superior scale, good user experiences and dirty cheap prices.
As the use of Bitcoin becomes more common when borrowing, Ben-Sasson said that Starknet “is perfectly coordinated to make Starknet the financialization layer and the version layer for Bitcoin”, a scenario that Ben-Sasson thinks will be winner-branches.
This year Crypto Exchange Coinbase has lean In a service that connects its customers with the Morpho credit protocol on his Ethereum Layer-2 network base. According to a dune, almost $ 1 billion in loans were due to the scheme, according to a dune dashboard.
Starware emphasized that Bitcoin setting on Starknet does not require users to give up custody of their assets, with the argument that the approach is not for the considerations of security.
Although Starkare Starknet positions as a Bitcoin-Laag-2, the expansion function of the network of networks that do not fully match Bitcoin-Maximalists, who often believe that all other cryptocurrencies are inferior and must be seen as “shitcoins”.
Those who use Bitcoin on Starknet receive Strk, the native token from Starknet, for example as a reward. Other projects that try to bring the programmability to Bitcoin, such as Goat Network, pay rewards mainly in Bitcoin, but still use a native token for stimuli.
From Monday, Strk had a market capitalization of $ 498 million, according to Crypto Data Provider Coentecko. The price of the active one last year fell by 74% to $ 0.122. In 2024, Strk reached a record high of $ 4.41, a month after the debut.
The company established in Israeli said Last June it raised $ 1 million to enter the Bitcoin-scaling space. At that time it came to support the repair of the On_catA command within the Bitcoin programming language that some think they can unlock innovation.
Starknet uses a specific Zero-knowledge-resistant system that Ben-Sasson introduced in 2018. Ethereum co-founder Vitalik Buterin has said The form of advanced cryptography can be the key to balancing privacy against compliance with regulations.
Ben-Sasson said he was interested in using zero knowledge certificates to scale Bitcoin since he discovered it in 2013, but Ethereum was the easiest blockchain to start with.
“I think there is a much higher need for this stuff on the Bitcoin side,” he said. “We don’t leave Ethereum, but certainly our main objective in 2025 and 2026 is to operate Bitcoin in the best possible way we can.”
