@Hemi With Tunnels enabling secure cross-chain transfers, a host of practical DeFi use cases come into sharper focus. Here are several that can redefine what users expect from Bitcoin-anchored DeFi on a single, cohesive network.
Bitcoin-backed lending: Borrow against real BTC without wrapping, allowing lenders and borrowers to participate in DeFi with true Bitcoin collateral and Bitcoin-native security.
Cross-chain collateral swaps: Move collateral between Bitcoin, Ethereum, and Hemi-native assets in a single workflow, reducing liquidation risk and slippage.
BTC yield strategies: Earn yields by providing BTC liquidity to Hemi-native pools or by staking BTC-backed derivatives, all settled with robust finality guarantees.
Decentralized liquidity mining: LPs can add liquidity to multi-chain pools that span Bitcoin and Ethereum ecosystems, benefitting from unified incentives and reduced cross-chain friction.
Synthetic assets and derivatives: Create byte-for-byte synthetic representations of BTC or ETH that can be traded on Ethereum-native interfaces while still anchored to Bitcoin’s security.
The common thread across these use cases is security plus accessibility. Users don’t need to manage multiple bridges or juggle wrapped versions of their assets. Developers gain a broader playground to craft innovative products that leverage Bitcoin’s security and Ethereum’s flexibility. As more DeFi protocols come online within the Hemi ecosystem, the cross-chain liquidity and composability promise to accelerate adoption and capital efficiency.
