Bitcoin possesses a market value of $1.3 trillion but has long been trapped in a 'value transmission deadlock'—stuck under the triple constraints of the mainnet's inability to carry financial functions, high cross-chain losses, and the lack of compliance pathways for institutional entry, rendering its vast market value a 'static asset.' Bitlayer's core innovation is to use technology to construct the 'superconducting channel' of Bitcoin's value: just like superconducting materials transmit electricity with zero resistance, it allows BTC's value to flow between multiple chains, institutions, and retail scenarios with 'zero loss, real-time, and interruption resistance.' This breakthrough is not just a functional supplement but fundamentally rewrites the value transmission logic of Bitcoin's financialization.
I. Technological superconductivity: BitVM breaks the 'trust-efficiency' paradox.
The core contradiction of traditional Bitcoin value transmission is the incompatibility of 'trust security' and 'transmission efficiency': multi-signature cross-chain (like WBTC) sacrifices decentralization for efficiency, while the mainnet's native function sacrifices efficiency for security. Bitlayer's BitVM technology achieves a 'superconducting-level balance' through the architecture of 'off-chain computation + on-chain verification.'
1. Zero trust cost: From 'institutional endorsement' to 'mathematical anchoring'
WBTC relies on 21 institutional nodes to custody assets, with trust costs equivalent to 'the collective default risk of institutions.' Historically, it has exposed risks of $320 million in assets due to node vulnerabilities. BitVM anchors trust to the Bitcoin mainnet's computing power: users lock BTC into UTXO contracts, and when generating YBTC, nodes must submit cryptographic proofs; any anomalies can be challenged by the entire network, with a determination made within 24 hours, and 100,000 BTR staked by malicious nodes will be destroyed.
Key data: The attack cost of BitVM bridging reaches $230 million (11 times that of WBTC). By Q4 2025, YBTC's cross-chain success rate will be 100%, with zero security incidents, reducing trust loss by 99% compared to traditional solutions.
2. Zero-latency transmission: 'Superconducting acceleration' of Rollup architecture
The TPS of the Bitcoin mainnet is only 7, with transaction fees of $10 per transaction, which cannot accommodate high-frequency financial scenarios. Bitlayer's Rollup network is deeply adapted to Bitcoin: transactions are executed first on Layer 2 (TPS peak of 3000+), and every 10 minutes a 'state snapshot' is submitted to the mainnet through SPV, preserving Bitcoin's computing power security while reducing transaction fees to 0.001 BTC per transaction (1/50 of the mainnet), and cross-chain verification time is shortened from 15 minutes to 90 seconds (BitVM 2.0 test data).
Scenario validation: Market makers conduct YBTC arbitrage via Bitlayer between Base and Sui, reducing operation time from 45 minutes (traditional cross-chain) to 3 minutes, increasing arbitrage profits by 28%.
II. Asset superconductivity: YBTC activates the 'liquidity neural network.'
The liquidity of Bitcoin is long-term dispersed across the mainnet, Ethereum, Solana, and other ecosystems, like 'isolated lakes' that cannot interconnect. YBTC, as the core asset of Bitlayer, is not a simple 'cross-chain duplicate,' but has built a 'multi-chain liquidity neural network' that allows Bitcoin's value to flow seamlessly across different scenarios.
1. 'Superconducting aggregation' of multi-chain liquidity
YBTC natively integrates 18 public chains including Base, Sui, and Cardano, enabling real-time capital dispatch through the 'cross-chain liquidity pool interconnection protocol.' In the Base ecosystem, YBTC accounts for 68% of Bitcoin DeFi trading volume (compared to only 22% for WBTC), with YBTC staking pools on Aave yielding 5.2% annually, attracting 12,000 BTC (accounting for 18% of Base's total TVL); in the Sui ecosystem, the YBTC-USDC exchange pool has a 24-hour liquidity of $80 million, with a slippage rate of 0.1% (traditional cross-chain slippage is 5%-8%).
Core data: The total cross-chain volume of YBTC exceeds 30,000 BTC (worth $1.2 billion), accounting for 45% of the total flow of Bitcoin DeFi, with a liquidity depth 4 times that of WBTC, forming a superconducting cycle of 'more users → deeper liquidity → lower costs.'
2. 'Compliance superconducting interface' for institutional entry
Traditional institutions entering Bitcoin finance face the triple hurdles of 'custody difficulties, audit difficulties, and risk control difficulties.' Bitlayer has customized three major compliance tools for YBTC:
◦ On-chain audit system: Real-time tracing of YBTC flow to meet SEC anti-money laundering requirements;
◦ GAAP financial interface: Automatically generates reports that comply with traditional accounting standards;
◦ Computing power securitization module: Antpool has tokenized 5000 PH/s of computing power through YBTC, which has been subscribed by a certain US pension fund (scale of $120 million).
Case study: Franklin Templeton launched a 'Bitcoin Fixed Income Fund' based on YBTC, with an annualized return of 4.7%, locked for 6 months, with the first phase of $200 million sold out in 72 hours, validating the urgent demand from institutions for the 'compliance superconducting channel.'
III. Ecological superconductivity: Building a 'value transmission closed loop.'
Bitlayer's 'superconducting channel' does not exist in isolation but forms a synergy with the Bitcoin ecosystem (Lightning Network, mining pools) to create a closed-loop value transmission system of 'payment-finance-settlement,' transforming Bitcoin from a 'static asset' to a 'dynamic financial unit.'
1. 'Superconducting complementarity' with the Lightning Network
The Lightning Network excels at small, high-frequency payments (channel capacity of $150 million), while Bitlayer focuses on large financial transactions (single transaction limit of 10,000 BTC). Both communicate through the 'YBTC Lightning Channel': users can convert small amounts of BTC to YBTC via the Lightning Network to participate in DeFi, or withdraw YBTC from Bitlayer as BTC via the Lightning Network, achieving a closed loop of 'payment-wealth management-settlement.' Currently, the daily transaction volume of this channel reaches $8 million, with 60% being 'payment-wealth management' cycle users.
2. 'Superconducting interest binding' with mining pools.
Miners have transformed from 'bystanders' to 'superconducting channel guardians': Antpool and F2Pool operate Bitlayer verification nodes and earn BTR rewards in addition to Bitcoin rewards (currently accounting for 12% of mining pool income). Currently, 23% of Bitcoin's computing power is connected to Bitlayer, forming a positive cycle of 'computing power growth → channel security enhancement → financial application expansion,' further lowering the trust costs of value transmission.
IV. Value reassessment: From 'market value' to 'transmission network value'
Bitlayer's 'superconducting channel' is expanding Bitcoin's value dimension from 'single market value' to 'transmission network value.' Its long-term potential can be evaluated through two aspects:
• Short-term (1-2 years): If Bitcoin DeFi penetration increases from 6% to 15%, corresponding to a YBTC scale of $195 billion, Bitlayer network's annual transaction fee income could reach $1.95 billion, and a conservative valuation of BTR’s market value could reach $8 billion (based on similar infrastructure token market value to revenue ratio);
• Long-term (3-5 years): If 5% of global cross-border trade (approximately $1.5 trillion) settles through YBTC, with Bitlayer as the core channel, its value will be deeply tied to the scale of global trade, potentially becoming a trillion-dollar financial infrastructure.
Conclusion: The superconducting channel is the ultimate solution for Bitcoin's financialization.
Bitlayer's innovation is not to add 'yield-generating functions' to Bitcoin, but to use technology to open up the 'capillary' of value transmission, allowing the $1.3 trillion market value to transition from 'sleeping' to 'liquid.' When Bitcoin's value can flow between multiple chains, institutions, and retail investors with zero loss like electric current through superconducting materials, its potential as 'global financial infrastructure' can truly be released—this is not only a victory for Bitlayer but also a milestone for Bitcoin's evolution from 'digital gold' to 'value transmission hub.'
