Since the launch of the Bitcoin ETF, market funds have been continuously flowing in, and institutions are increasing their positions. The significance of the ETF is to bring BTC to Wall Street, but questions arise: can these funds play a role on-chain?
After all, ETF investors only receive shares, not usable BTC.
The solution provided by Bitlayer is quite interesting. It releases the liquidity of BTC through the BitVM Bridge; then provides a smart contract environment through Rollup; and finally uses the YBTC model to allow BTC to circulate across chains.
In other words, the ETF brings in the funds, while Bitlayer truly brings these funds to on-chain applications.
This is also why so many institutions are willing to invest in Bitlayer. Because in their eyes, the ETF is the "entrance", but Bitlayer is the "exit". Without on-chain financialization, the story of BTC is incomplete.
If the ETF is the first step for Bitcoin to enter traditional finance, then Bitlayer is the key step for it to enter on-chain finance. The combination of the two represents the real new cycle of BTC.
