Bitcoin (BTC) Market capitalization has solidified its position as the largest cryptocurrency, and the underlying network is distant from the overwhelming growth of the broader blockchain ecosystem.
The presence of decentralized finance (DeFi) products and services on the Bitcoin network is minimal due to the lack of smart contract capabilities.
Solutions, including Layer 2 projects and sidechains, are embodied, each aimed at unlocking smart contract features and adding functionality to the Bitcoin network.
BTC’s widespread awareness can play an important role in leading DeFi to new plateaus, and third-generation projects are beginning to take advantage of unrealized possibilities.
Accelerate DeFi growth
In an ongoing effort to bring more financial products to the Bitcoin network, the Layer 2 Decentralized Exchange (DEX) portal uses a lot of DeFi in the Bitcoin blockchain via the sidechain protocol Mintlayer. Busy and unleashed.
Earlier this week, a Coinbase-backed portal revealed that its uncensored cross-chain DEX capabilities would integrate with Mintlayer to accelerate the growth of Bitcoin-based DeFi activities.
Dr. Chandra Duggirala, Executive Chairman of Portal, said: “Portal DEX supports many layers of financial and non-financial applications on Bitcoin, which means that you do not need to upgrade the Bitcoin protocol to achieve new features. Improves Bitcoin adoption, security budgets, and ease of use as a truly global monetary system. Mintlayer sidechain asset support is natural for an ecosystem approach to bring many layers to Bitcoin. Fits. “
Compared to other ecosystems, Bitcoin’s DeFi is just getting started and this new direction represents an important milestone in the growth of these activities. As more developers and projects enter the Bitcoin DeFi ecosystem, the collaboration between Portal and Mintlayer will help users avoid experiencing the challenges currently facing networks like Ethereum. ((ETH) And third party bridges.
Together, they aim to drive DeFi momentum by providing users and developers with access to Bitcoin’s security and liquidity.
Enrico Rubboli, CEO of Mintlayer, further details the benefits of this strategic partnership over the entire Bitcoin ecosystem, stating: The portal’s cross-chain DEX helps make multi-chain implementations more viable and allows token issuers to take advantage of the unique features of various protocols, including Bitcoin sidechains such as Mintlayer. This connects the entire web3 ecosystem to the most decentralized and valuable blockchain. The most difficult money in the world. “
Both Mintlayer and Portal are committed to providing users with a private, secure and affordable way to interact with the DeFi ecosystem. Currently, BTC holders include relying on third-party intermediaries to create wrapped tokens (such as wBTC and wETH) and to take advantage of staking, harvest farming, and other similar opportunities. There are many steps you need to take to participate in DeFi, not just these.
Portal DEX overcomes these challenges by leveraging atomic swaps. The platform supports both Layer 2 and Layer 3 technologies, eliminating the need for bridges or wrapping assets to transfer to other networks. At the same time, the portal distributes liquidity to all Bitcoin sidechain assets and layered applications.
Mintlayer, on the other hand, is designed to act as a sidechain for Bitcoin, improving direct interoperability of tokens and enabling native BTC swaps. It also provides some other features to enhance network security, increase node inclusiveness, and ensure long-term sustainability.
Adding sidechain assets to Mintlayer benefits Mintlayer by increasing the number of trading pairs available in Portal DEX and allowing a broader customer base to access the assets through Portal’s censorship-resistant cross-chain exchanges. I have.
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