The DeFi solution for Bitcoin is called BitcoinOS
Blockchain developers unveiled a new platform on Thursday aimed at bringing Bitcoin into the modern era of decentralized finance (DeFi). The new platform, known as BitcoinOS, is said to be capable of sparking the Defi revolution on Bitcoin, using “sovryn rollups” to create a foundation layer for dapps on Bitcoin. The founders say any developer can contribute to it and build new tools in any programming language they want.
Edan Yago, a core contributor to BitcoinOS, told Decrypt: “Sovryn rollups will use Bitcoin as the data availability (DA) layer, as opposed to ZK rollups where aggregation controlled by a smart contract on the root chain” . “Because Bitcoin does not have such smart contracts, ZK rolling is impossible for Bitcoin.” Despite its high security, Bitcoin's main blockchain is notoriously slow compared to other blockchains and very expensive during high uptime. Meanwhile, its limited programming language has long deprived it of truly decentralized transaction scaling solutions. While existing technologies like sidechains—Liquid, Rootstock, etc.—can enable faster transactions, they require users to trust centralized, interconnected bridges to not steal or freeze funds their.
They also suffer from a lack of liquidity compared to other blockchains, and it is difficult to create liquidity pools for DeFi projects that have yet to take off. By contrast, BitcoinOS says it has everything developers want from a scaling solution with minimal trade-offs: scalability, programmability, interoperability, and a near-security model. like no need to trust. Furthermore, BitcoinOS's built-in anti-fraud system "allows even a novice to prevent fraudulent transactions," according to a Thursday press release from Sovryn, the DeFi project behind after BitcoinOS. “It enables complete smart contracts and allows any developer to launch their own rollup and for all the applications built on top of these different rollups to be possible,” Yago explains. combines and interacts with all other scrolls.” That means all projects built on BitcoinOS can seamlessly share users and operations because all compilations are built from the same modular components.
Sovryn started as a protocol on Roostock, but Yago said they started to feel limited by the network's technology. However, it processed $2.2 billion in transactions and carried a total value locked (TVL) of $46.82 million, according to DeFi data Llama. BitcoinOS represents “phase 2” of Sovryn's plan to expand Bitcoin's utility beyond being a global reserve currency. Phase 3, according to Yago, is “building a world on Bitcoin – a real alternative to today's stagnant centralized economic, corporate and state interests.
” With the advent of BitcoinOS, users and developers can hope for a stronger and richer decentralized financial future. Expanding the potential of Bitcoin through this platform will provide great opportunities for DeFi projects and other decentralized applications to grow and create value for the user community. BitcoinOS is not only a major step forward in expanding Bitcoin's capabilities, but also a major step in accelerating the democratization of DeFi and decentralized finance.
With its combination of security, scalability, and interoperability, BitcoinOS promises to be one of the most important platforms in the future world of decentralized finance. Above all, BitcoinOS opens the door for developers and creators, regardless of the language they use, to participate in the process of building and growing the DeFi ecosystem on the Bitcoin platform.
This will help create a rich and diverse development environment, while promoting innovation and progress in the cryptocurrency industry.
