Tron founder unveils Bitcoin layer-2 answer as BTC DeFi breaks $1.2 billion in TVL

Tron blockchain founder Justin Solar has unveiled plans for a Bitcoin-based layer-2 answer.

In a Feb. 15 publish on the social media platform X (previously Twitter), Solar revealed his intent to foster decentralization and seamless integration of various token codecs throughout the TRON community and the broader Bitcoin ecosystem. This strategic transfer would improve interoperability and permit Bitcoin to faucet into Tron’s $55 billion stablecoin pool.

“This revolutionary strategy goals to decentralize and intertwine numerous token sorts throughout the TRON community, together with stablecoins, with the Bitcoin community and its constructed Layer 2s, just like the Bitcoin Ordinals, in quite a few combinatory methods,” Solar defined.

Whereas particular timelines stay undisclosed, TRON’s Bitcoin layer-2 roadmap delineates three pivotal phases.

The preliminary part concentrates on integrating numerous TRON token codecs with the Bitcoin community by way of cross-chain know-how. Concurrently, Tron DAO goals to bolster Ordinals and Bitcoin layer-2 options by investing in intuitive wallets and supportive instruments for BRC-20 tokens.

In stage two, TRON will collaborate with a number of Bitcoin layer-2 protocols to permit its customers to take part in staking actions throughout various BTC-based layer-2 networks.

The community will launch a layer-2 answer interfacing TRON, BitTorrent Chain (BTTC), and the Bitcoin community for the ultimate part. Notably, this answer will introduce a Bitcoin-compatible protocol characterised by the agility of a proof-of-stake (POS) blockchain system and the sturdy safety supplied by proof-of-work (POW) networks.

Bitcoin’s speedy TVL improve

Bitcoin’s whole worth of belongings locked (TVL) has surpassed the $1 billion mark, marking a notable milestone within the crypto panorama.

Based on information from DeFiLlama, Bitcoin’s TVL skilled a staggering surge of almost 300% over the previous week alone, reaching $1.232 billion. This surge catapults Bitcoin into the highest 6 networks by way of TVL, outpacing good contract-enabled blockchains like Cardano and Avalanche.

The speedy progress in BTC’s TVL will be attributed primarily to the current Merlins Seal occasion hosted by Merlin Chain, a local Bitcoin layer-2 community developed by Bitmap Tech. This occasion launched its governance token, MERL, which incentivizes customers to stake belongings to earn M-points. Over $800 million, from over 16,000 BTC, has been staked since Feb. 9.

This milestone displays the expansion of DeFi actions throughout the Bitcoin ecosystem and additional solidifies its place because the premier blockchain within the evolving crypto panorama.