#Web3Finance
*Bitlayer* is an innovative Layer 2 solution for the Bitcoin network, aimed at expanding Bitcoin's capabilities in decentralized finance (DeFi) by enabling smart contracts without the need to modify the underlying Bitcoin protocol.
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🧠 What is Bitlayer?
Bitlayer was developed using the *BitVM* framework, which allows for the execution of smart contracts on the Bitcoin network without substantial changes to the protocol. Bitlayer relies on an architecture that combines proof of stake (PoS) to accelerate block production, and a Rollup system that ties security directly to the Bitcoin network. [1]
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🔗 BitVM Bridge: A secure bridge for Bitcoin
Bitlayer launched the *BitVM Bridge*, which enables users to transfer Bitcoin to other networks in a secure and trust-minimized manner. This bridge issues YBTC tokens pegged at a 1:1 ratio with Bitcoin, allowing them to be used in various DeFi applications. [2]
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📈 Ecosystem Growth
- Bitlayer launched over 200 decentralized applications (dApps) on its network.
- The total value locked (TVL) reached $850 million. [3]
- A $50 million incentive program was launched to support developers and new projects. [4]
🤝 Support from Mining Pools
Bitlayer is supported by major Bitcoin mining pools such as Antpool, F2Pool, and SpiderPool, which represent over 31% of the hash rate of the Bitcoin network. [5]
🧩 Diverse Applications
Bitlayer supports a wide range of applications, including:
- Lending platforms like Trustin Finance and ENZO Finance.
