Institutions love Bitcoin because it’s liquid, regulated in many jurisdictions, and widely recognized as a legitimate asset. But they’ve avoided DeFi because of custody risks and regulatory uncertainty.
Bitlayer changes the equation.
Why Institutions Will Pay Attention
Non-Custodial by Design: The trust-minimized bridge means no need to hand over BTC to a third party.
Provable Compliance: Smart contracts on Bitlayer can be audited and programmed for regulatory reporting.
Yield Opportunities: YBTC offers a secure way to generate returns on BTC holdings.
Market Impact
When institutional BTC — worth hundreds of billions — enters DeFi through Bitlayer, the liquidity and market depth could dwarf existing DeFi ecosystems.
