While most Bitcoin (BTC) is currently sitting idle in investors' wallets or only traded on exchanges, BounceBit emerges with a different vision: to transform BTC from a passive asset into a security resource and value generator for the entire Web3 ecosystem. This is achieved through a novel BTC Restaking model, combining the security power of Bitcoin and the application scalability of modern blockchains.

1. Core: What is BTC Restaking?

BTC Restaking is a mechanism that allows Bitcoin to be used as a common security layer for various blockchain applications. Instead of just holding or trading, BTC will be 'restaked' to provide security for:

  • Sidechains & Fast-Finality Layers

  • Oracle Network

  • Cross-Chain Bridges

  • Virtual Machine (VM)

  • Data Availability Layers

This helps concentrate the security power of BTC and distribute it to many components in the network, rather than each application having to build its own security system.

2. The Combination of CeFi + DeFi: The Foundation of BounceBit

A unique aspect of BounceBit is that they do not only operate purely DeFi, but also combine CeFi (Centralized Finance) elements to ensure safety and transparency.

BTC (in the form of native BTC, BTCB on BNB Chain, or WBTC) will be sent to managed and audited custodial units. These units provide:

  • On-chain transparency through integrated technology

  • Audited financial reports

  • Safely generate profits from strategies like delta-neutral funding rate arbitrage

BTC sent in will be wrapped into a blockchain-compatible form, called bounceBTC (BBTC), to be used throughout the BounceBit ecosystem.

3. Shared Security Clients (SSCs) – Shared Security Clients

SSCs are applications or networks that utilize security from BTC Restaking, including:

  • Sidechains

  • Oracle

  • Cross-Chain Bridges

  • Keeper Networks

  • Virtual Machine

  • Data Layer

With SSCs, developers do not need to build security infrastructure from scratch, but can leverage the 'security power' of BTC, enabling faster, safer, and more diverse application launches.

4. What can users do with BTC in BounceBit?

When BTC is brought into the BounceBit ecosystem, users have many options:

  1. Delegate BTC to Validators

    • Network operators receive BTC to maintain consensus.

    • Senders receive Liquid Staking Derivatives (stBBTC), which can continue to restake to earn additional rewards or participate in DeFi.

  2. Stake directly into SSCs

    • Locking BTC into applications like oracle, bridges, etc.

  3. Participate in DeFi

    • AMM trading, farming, leverage trading, or other yield strategies.

5. First Application – BounceBit PoS Chain

BounceBit Proof of Stake (PoS) Chain is the first proof for BTC Restaking. This system operates with a 2-token model:

  • BTC: serves as liquidity & security

  • Native BounceBit Token: used for governance & staking

Process:

  1. BTC sent in is securely held.

  2. Users mint BBTC on the BounceBit chain.

  3. BBTC delegates to validators to receive stBBTC.

  4. stBBTC can:

    • Restake into SSCs (oracle, sidechain, etc.)

    • Participate in DeFi strategies

  5. Meanwhile, the staked BTC continues to earn profit safely from funding rate arbitrage strategies.

6. Long-Term Vision

BounceBit aims to redefine the role of Bitcoin – from a mere store of value asset to a key economic driver for Web3.

By combining the safety of CeFi with the flexibility of DeFi, along with the BTC Restaking model, BounceBit opens up a multi-chain ecosystem secured by BTC itself, where new applications can develop quickly, safely, and efficiently.

♡𝐥𝐢𝐤𝐞💬 ➤ #BounceBitPrime @BounceBit $BB