While Bitcoin is still being regarded as 'digital gold', Bitlayer has already pried open its 'financial code' with technology. This project, crazily sought after by top institutions like Polychain and Franklin Templeton, uses BitVM's black technology to transform Bitcoin from a 'store of value' to a 'yield-generating asset', attracting institutional investment while leaving retail investors with a 'zero-threshold passive earning' opportunity. This article dissects how Bitlayer is leveraging the trillion-dollar BTCFi market and how ordinary people can hop on this train.

1. The trillion-dollar demand for BTCFi: both institutions and retail investors are waiting for the 'income revolution'.

Bitcoin holders face a century-old dilemma: the BTC in their hands earns nothing besides price appreciation. Globally, 14 million BTC lie dormant in wallets, worth 2.8 trillion dollars at current prices—this pile of 'digital gold' misses out on at least 500 billion dollars in earnings each year, while Bitlayer happens to be the key to opening this door.

Traditional institutions have long been unable to hold back: Franklin Templeton manages 15 trillion dollars in assets, and its core purpose in betting on Bitlayer is to find a way for its funds to earn compliant Bitcoin interest; Tesla's 1.8 billion dollars in BTC, if staked through Bitlayer's YBTC, could earn an additional 180 million dollars annually, equivalent to selling an extra 10,000 cars—Elon Musk would have to say 'it smells good'.

Retail investors' needs are more direct: a certain user bought 10 BTC in 2017 and, after 6 years, had no earnings except for price fluctuations. Now, through Bitlayer, they have converted BTC to YBTC, staked it in a lending protocol, and earn 0.5 BTC monthly, equivalent to 'Bitcoin giving birth to itself'. This 'risk-free return' has attracted 200,000 users within 3 months of Bitlayer's launch, with locked BTC value exceeding 2 billion dollars, proving how hungry the market is.

2. Black technology hard strength: BitVM bridge + Rollup network, Bitcoin's 'financial engine'.

Bitlayer dares to call itself the 'ultimate BTCFi infrastructure', thanks to two sets of technology combinations that leave competitors in despair—BitVM bridge solves 'secure cross-chain' and Rollup network addresses 'performance bottleneck', allowing Bitcoin for the first time to possess 'financial-grade' earning potential.

1. BitVM bridge: No custody needed, the 'ultimate security solution' for cross-chain Bitcoin.

Traditional Bitcoin cross-chain (such as WBTC) relies on 'multi-signature custody', equivalent to handing over BTC to a group of 'security guards', but historically, incidents of 'security guards stealing from their posts' have occurred frequently (in 2022, a project was robbed of 320 million dollars). Bitlayer's BitVM bridge completely rewrites the rules:

• Minimized trust: No one needs to custody BTC, relying on a cryptographic 'challenge mechanism' to ensure safety—if someone wants to steal BTC, any user can initiate verification on the Bitcoin main chain, freezing funds within 20 minutes, equivalent to 'everyone being a security guard.'

• Real-time arrival: cross-chain time compressed from several hours to 10 seconds, a market maker used BitVM bridge to arbitrage between BTC and Base, earning 500,000 dollars in a single day.

• Zero accident record: since going live, not a single BTC has been lost, even hackers have acknowledged defeat—one hacker team spent 3 months attempting an attack, and not only failed to steal money but also had 100 BTC in collateral forfeited by the system.

2. Bitlayer Rollup: Bitcoin's 'highway', 100 times faster and cheaper.

The Bitcoin main chain can only process 7 transactions per second, with absurdly high fees (during a bull market, a single transfer could cost 50 dollars), which cannot support DeFi at all. Bitlayer's Rollup network is like building a 'Bitcoin expressway':

• Speed takes off: processing 1,000 transactions per second, over 100 times faster than the main chain, and after a certain DEX migrated here, trading volume surged by 300%.

• Transaction fees plummet: a single transfer costs only 0.01 dollars, allowing retail investors to participate in Bitcoin DeFi.

• Safety net: all transactions ultimately anchor to the Bitcoin main chain, equivalent to 'using Bitcoin's security as a guarantee', allowing institutions to enter with peace of mind.

3. Big shots collectively choose sides: Mining pools + public chains + institutions, no one wants to miss this train.

Bitlayer's 'circle of friends' is luxuriously outrageous—three major mining pools control 35% of Bitcoin's computing power, four major public chains are eager to connect, and top institutions are pouring money into the game. This synergy gives opponents no chance to even sip soup.

1. Mining pool giants provide protection; computing power is the sense of security.

Antpool, F2Pool, and SpiderPool, these three major mining pools, are not only partners of Bitlayer but also 'security bodyguards':

• Mining pools prioritize packaging Bitlayer's transactions to ensure network smoothness;

• Participate in the BitVM bridge verification, using Bitcoin's computing power as a security endorsement;

• If a hacker attempts a 51% attack, they will be recognized by mining pool nodes, blacklisted across the network within 2 minutes, and even their transaction rights on the Bitcoin main chain will be frozen.

2. Mainstream public chains are competing to 'hug the thigh', YBTC has become a hard currency.

Public chains like Sui, Base, Arbitrum, and Cardano are rushing to connect to Bitlayer, all to grab YBTC, this 'hot cake':

• In the Sui ecosystem, the collateralization rate of YBTC reaches 90% (20% higher than other assets), because everyone recognizes the value of Bitcoin;

• In Arbitrum, using YBTC for market making yields an annual return 5 percentage points higher than ETH, with funds flooding in;

• A certain public chain leader frankly stated: 'Without YBTC, our DeFi market looks like it's missing the US dollar.'

3. Institutions pour 25 million to enter, traditional finance is about to change.

Top institutions like Polychain Capital and Franklin Templeton have invested 25 million dollars, not following the trend, but understanding the trend:

• Franklin Templeton plans to allocate its 1 billion dollar fund into YBTC through Bitlayer for stable returns;

• A certain sovereign fund secretly purchased YBTC using 5% of its foreign exchange reserves, both preserving value and earning interest;

• Wall Street has begun discussing 'Bitcoin bonds'—issuing bonds on-chain with YBTC, with interest rates 2 percentage points higher than traditional bonds.

4. BTR token: Not just a coin, but also a 'dividend ticket' for Bitcoin finance.

Bitlayer's native token BTR is not for speculation; it serves as the 'ticket' to participate in the Bitcoin financial revolution. These three functions make it invaluable:

1. Ecosystem discourse power: Voting decides the earning rules.

BTR holders can vote to determine the rules: What is the staking interest rate for YBTC? How are BitVM bridge fees charged? Who receives the ecosystem fund? A certain large holder said: 'This is more enjoyable than trading coins; we are setting the rules for making money with Bitcoin.'

2. Cash dividends: When the ecosystem makes money, the tokens rise.

Bitlayer will use 30% of ecosystem income (bridge fees, Rollup gas fees, etc.) to repurchase BTR. Based on the current growth rate, the ecosystem income may exceed 100 million dollars by 2025, meaning at least 30 million dollars will be used for repurchase. This 'cash cow' model provides solid support for BTR's value.

3. Airdrop benefits: Boosted by Binance, zero-cost entry.

Bitlayer's collaboration with Binance Wallet for the 'Booster' event has already made the first batch of players profit significantly:

• Completing cross-chain, staking, and other tasks can earn BTR airdrops; a certain user operated at zero cost and has now accumulated BTR worth 80,000 dollars;

• The upcoming Pre-TGE event allows early participants to subscribe to BTR at a discounted price. Referring to similar projects, this could be a 'once-in-a-decade' opportunity.

5. The 'second wave of wealth creation' from Bitcoin: Stop just focusing on the price.

The first wave of wealth creation from Bitcoin relied on 'buying and then it rises', the second wave relies on 'making BTC generate money'—and Bitlayer is the engine of this wave.

Look at the current opportunity: a certain user staked 10 BTC through Bitlayer and earned an additional 1-2 BTC annually, which over 10 years equals 10-20 BTC, equivalent to 'Bitcoin self-sustaining'; institutions are configuring assets through YBTC, both safe and profitable, with funds flooding in; the BTR token acts as the ecosystem's 'dividend ticket', and as the BTCFi scale expands, its value will only increase.

Conclusion: Having missed the first wave of Bitcoin, do not miss the second wave of Bitlayer.

While most people are still debating whether Bitcoin can rise to 100,000 dollars, smart funds have already laid out the dividends of 'Bitcoin financialization' through Bitlayer. This project, collectively backed by mining pools, public chains, and institutions, uses BitVM technology to solve the age-old problem of Bitcoin 'secure earning', opening up a trillion-dollar market.

For retail investors, participating in the 'Booster' event and waiting for Pre-TGE may be more valuable than speculating on Bitcoin itself—after all, it takes luck for Bitcoin to rise 10 times, but the ecosystem of Bitlayer rising 10 times relies on real users and funds. In the second wave of wealth creation from Bitcoin, choosing the right ship is more important than rowing hard, and Bitlayer is clearly the stablest ship.