The Secret of YBTC: How #Bitlayer Enables Bitcoin to 'Clone Itself' in a Multi-Chain World
One of the pain points of Bitcoin is the difficulty in freely navigating the multi-chain DeFi ecosystem—every cross-chain interaction may face trust risks, high fees, or cumbersome processes. The YBTC launched by #Bitlayer is the key to solving this problem, allowing Bitcoin to 'clone itself' in a multi-chain world, maintaining security while also providing high liquidity.
The core of YBTC is '1:1 pegged to Bitcoin, available across all chains.' After users deposit Bitcoin through the BitVM Bridge, they receive YBTC at a 1:1 ratio, a process based on cryptographic proof that doesn’t require trusting any intermediaries. As a fungible asset, YBTC can seamlessly connect to the #Bitlayer network and partnered public chains such as Sui, Base, and Arbitrum, allowing Bitcoin to be freely used in multi-chain DeFi and avoiding the trust risks and friction costs associated with traditional cross-chain methods of 'multiple bridges and repeated wrapping.'
@BitlayerLabs has designed a rich array of use cases for YBTC. In lending protocols, YBTC can serve as high-quality collateral, and due to its peg to Bitcoin, it has stable value and high recognition; in liquidity pools, market-making YBTC with other assets can yield stable returns, and the low fees of Layer 2 make high-frequency trading more cost-effective; even in the derivatives market, YBTC can be used as margin to support complex trades such as perpetual contracts. This characteristic of 'one coin, multiple scenarios' greatly enhances the capital efficiency of Bitcoin.
The Rollup architecture of #Bitlayer allows for more efficient circulation of YBTC. Transactions are executed on Layer 2, with confirmation speeds reaching millisecond levels. When users want to convert YBTC back to Bitcoin, they only need to initiate a redemption request, and the system will release the corresponding assets on the Bitcoin mainnet according to the rules, all in a transparent and traceable manner with very low exit costs.
Through Binance Wallet, users can easily acquire YBTC and participate in related DeFi activities; joining mining pools provides ample liquidity support for YBTC, making its circulation across multiple chains smoother.
#Bitlayer proves with YBTC that Bitcoin does not have to be trapped on the 'island' of the mainnet. Through trust-minimized cross-chain interactions, efficient Layer 2 execution, and the collaboration of the multi-chain ecosystem, every Bitcoin can create more value in a multi-chain world under secure conditions—this is the ultimate significance of YBTC.
