Rootstock is among several initiatives aiming to enhance Bitcoin’s functionality by enabling decentralized finance (DeFi) through the use of smart contracts.
Decentralized finance (DeFi) on the Bitcoin network is evolving into a more secure and cost-effective ecosystem, thanks in part to the growing impact of layer-2 platform Rootstock, according to a recent report from crypto analytics firm Messari.
Rootstock, one of Bitcoin’s earliest layer-2 solutions, is now secured by 81% of Bitcoin’s total hashrate, a significant increase from 56% earlier this year—boosted by the addition of major mining pools Foundry and Spiderpool.
The Messari report highlights that transactions on Rootstock are 95% cheaper than standard Bitcoin transactions and 55% cheaper than Ethereum’s, making it an increasingly attractive option for DeFi applications.
Rootstock leverages BitVMX, a modified version of the BitVM programming language, to support smart contracts and extend Bitcoin's utility. It’s part of a broader movement to build DeFi on Bitcoin (BTCFi), alongside other layer-2 projects like Stacks and BOB (Build on Bitcoin).
In addition, Rootstock has integrated with LayerZero, enabling its ecosystem to interact with other major blockchains such as Ethereum and Solana. Messari suggests this growing interoperability and reduced cost base positions Rootstock to help lead BTCFi adoption through the rest of 2025.
"As BTCFi expands, Rootstock is positioned for broader traction through key upgrades—like a 60% cut in transaction fees—alongside ongoing support for developers and ecosystem incentives," said Messari analyst Andrew Yan.
#ETHCrossed2500 #AltcoinSeasonLoading #StrategyTrade #BinanceAlphaAlert #AltcoinTrade
