Sui Goes Full Bitcoin Maxi with YBTC—A Pegged Asset via BitVM Bridge
Sui just pulled a fast one on purists—launching YBTC, a Bitcoin-pegged asset, through Bitlayer’s BitVM bridge. Because what’s decentralization without a little centralized wrapping?
How it works: BitVM’s bridge acts as a trust-minimized custodian, locking up real BTC while minting its Sui-chain doppelgänger. Traders get Bitcoin exposure without the speed bumps of Layer 1.
The fine print: This isn’t your grandpa’s wrapped BTC. BitVM’s system uses fraud proofs to keep validators honest—assuming anyone’s watching the watchers.
Wall Street smirk: Another day, another synthetic asset pretending to solve Bitcoin’s ’problems’ while adding layers of counterparty risk. But hey—liquidity is liquidity, right?
Sui, the prominent L1 blockchain to boost digital asset ownership, has announced a new partnership with Bitlayer, a Bitcoin L2 and the pioneer Bitcoin VM for DeFi. The collaboration takes into account the integration of the BitVM bridge of Bitlayer into the Sui ecosystem to release a Bitcoin-backed crypto token “Peg-BTC ($YBTC).” The platform announced this development on its official X account.
Bitcoin meets sui DeFi.@BitlayerLabs is bringing Peg-BTC (YBTC) — a trust-minimized BTC asset powered by BitVM — to life on Sui, giving hodlers yet another choice for utilizing their BTC.
YBTC lets BTC holders tap into staking, lending, trading, and more on Sui.
BTCfi on Sui… https://t.co/SdFLwOpgR4
Sui Integrates Bitlayer’s BitVM Bridge to Release $YBTC
As a part of this collaboration, Sui is integrating the BitVM bridge of Bitlayer to release Peg-BTC ($YBTC). The development permits those holding $BTC coins to transact them into Sui by using the BitVM bridge. As a result of this integration, $YBTC can be utilized within the DeFi ecosystem of Su to get more yields.
Despite being dominant in the market as a key store of value, bitcoin lacks utility when it comes to decentralized finance (DeFi). However, the latest integration provides a solution for this by adding the $BTC liquidity into the ecosystem of Sui. $YBTC strengthens consumers to get yield parallel to maintaining an unmediated exposure to Bitcoin’s value.
Driving Bitcoin’s Participation in DeFi Sector with Secure DeFi Operations
As per Sui, the BitVM-led ZK bridge of Bitlayer is a cutting-edge tool to facilitate secure and efficient $BTC movement onto diverse blockchain networks. Additionally, by staking $YBTC, the holders can generate notable yields via diverse Bitcoin staking service providers. Overall, this initiative is a crucial step to increase Bitcoin’s participation in the DeFi world in an efficient and secure way.
