Bitlayer, a Bitcoin layer 2 based on the BitVM paradigm, and Sui Blockchain work together to make Bitcoin (BTC) more convenient in the sui -eco system.
The collaboration includes Sui who integrates the BitVM bridge from Bitlayer to launch PEG-BTC (YBTC), a Bitcoin-stundled token, on its platform, according to an exclusive announcement shared with Coindesk.
This allows Bitcoin holders to transfer their BTC via the BITVM bridge to Sui. The bridged version, PEG-BTC, can then be used in the SUI defi-eco system to achieve extra yields.
“Bitcoin’s Dominance as a Store of Value is unmatched, but its utility in Defi remains untapped. By integrating Bitcoin’s Liquuidity Into Sui’s ecosystem, PEG-BTC (YBTC) Empowers Users to Earn Yield Maintaining Direct Maintaining BTCFI, ”Charlie Hu, Co-Founder of Bitlayer, Said in a Press Release Shared Exclusively With Coindesk.
Bitcoinfi, or BTC users to allow extra yields to be obtained via Defi, was one of the most popular topics on the Token2049 conference in Dubai. Franklin Templeton supported the idea during the event and said that it will stimulate the attraction of BTC beyond the long prevalent store of value story.
Bitlayer is the Bitcoin security equivalent layer 2 built on the BITVM paradigm to bring smart contract options to Bitcoin without affecting the core consensus. It is based on off-chain calculation and fraudstades on chains to keep the network safe and decentralized.
Bitlayer’s BITVM-driven ZK Bridge is a special tool that facilitates a safe movement of BTC on various blockchain ecosystems without trusting centralized intermediaries or intermediaries. Trust is minimized, which means that it is designed to be very safe and decentralized.
Sui is a layer 1 blockchain that focuses on offering fast and cheap transactions through parallel processing. From the writing, the Defi -Ecosystem consisted of 49 projects, with more than $ 2 billion in crypto deposits, per data source Defillama.
Integration of PEG-BTC (YBTC) in the SUI ecosystem opens various new possibilities for users, such as setting up PEG-BTC to earn interest through various Bitcoin strike protocols. Users can also borrow or borrow PEG-BTC by lending it to earn yields or use it as collateral for loans. In addition, PEG-BTC can be traded on popular decentralized exchanges within SUI, allowing users to exchange and offer liquidity to earn trading costs.
HU said they are planning to work with SUI’s top protocols, with the greatest traction in terms of total value locked, fully diluted value and user base within the sui -eco system.
Adeniyi Abiodun, co-founder and CPO at Mysten Labs, the company behind Sui, said they are following a holistic approach while they meet the growing demand for bitcoinfi.
“Sui uses a holistic approach through a full stack of infrastructure and btcfi asset options in the ecosystem in boarding, including bets, recovering, bridge integrations, WBTC, SBTC, SBTC, SBTC and soon PEG-BTC (YBTC) to serve to Bitcoin grows,” Bitcoin grows, “,” Coindesk.
“Important integrations, such as the BITVM bridge with Bitlayer, transform the experience for Bitcoin holders by enabling them to earn them, communicate with Defi and allowing their power to work on sui,” Abiodun added.
From today, BTC assets include more than 10% of the total TVL that is locked in the SUI ecosystem, with more than 587 BTC that has been flows in Defi since February. “With support for leading BTCFI integrations, the advanced programmability of Sui activates Bitcoin’s utility, so that users can continue than retain and to a safe, powerful chain,” noted Abiodun.
