Hemi is a modular Layer 2 that fuses Bitcoin’s settlement assurances with Ethereum’s programmability. It introduces a Bitcoin-aware EVM runtime, a consensus design that anchors to Bitcoin, and a native, bridge-free cross-chain system called Tunnels. The aim is simple but ambitious: unlock Bitcoin liquidity for DeFi without sacrificing developer familiarity or user safety. Mainnet went live on March 12, 2025, and the network has since focused on growing core infrastructure, liquidity rails, and security hardening.
Technology Core: The Bitcoin-Aware hVM
At the heart of Hemi is the Hemi Virtual Machine (hVM), an EVM upgraded with direct awareness of Bitcoin. Hemi maintains an EVM-visible Bitcoin node (via a “Tiny Bitcoin” daemon), exposing Bitcoin’s state to smart contracts through precompiles. That means contracts on Hemi can read UTXOs, headers, and other Bitcoin data trustlessly—no relayers, no external oracles. This architecture makes Bitcoin data a first-class citizen inside the EVM, enabling new BTC-centric dapps.
Consensus and Security: Proof-of-Proof Anchoring
Hemi’s consensus combines a PoS-style validator set with Proof-of-Proof (PoP), which periodically commits Hemi state into Bitcoin blocks. These on-chain commitments serve as externally verifiable checkpoints that mitigate long-range attacks and create what Hemi calls “superfinality” once the anchoring to Bitcoin lands. Analyses from independent researchers and ecosystem partners describe how PoP complements sequencing and finality governors to anchor history and resist censorship.
Cross-Chain Design: Tunnels Instead of Bridges
Rather than relying on custodied bridges, Hemi ships Tunnels—protocol-level mechanisms that move assets between Bitcoin, Ethereum, and Hemi while each side remains aware of the other’s state. Because the hVM sees Bitcoin and Ethereum directly, Tunnels can enforce rules without trusted third parties, reducing common bridge risks (like depegs and validator collusion) and improving recoverability. In practice, this design has been pitched as a safer way to mobilize BTC and EVM assets for DeFi.
Developer Experience: EVM Tools With Bitcoin Primitives
Builders on Hemi use familiar EVM tooling—Solidity, standard frameworks, and RPCs—while gaining native access to Bitcoin data. Hemi’s “Bitcoin Kit” (hBK) bundles primitives and examples for integrating BTC logic into dapps, from reading UTXOs to building flows that react to Bitcoin mempool or inscription data. This lets teams reuse their Ethereum skill set while designing products around Bitcoin liquidity.
Infrastructure and Access: Partners and RPC
To reduce friction, Hemi is integrated by infrastructure providers so developers can spin up endpoints quickly. Infura lists Hemi among supported networks and highlights core features—Bitcoin-integrated EVM, PoP anchoring, and decentralized RPC via DIN—so projects can boot nodes or access managed RPC as they prototype. Streamlined infra access is key to lowering the cost and time to first deployment.
Security Posture: Real-Time Threat Detection
Beyond consensus-level anchoring, Hemi partnered with Hypernative to implement real-time threat detection and automated response across the network and deployed protocols. This layer aims to catch exploits early—monitoring bridges, mempools, and contract interactions—to protect liquidity and users. It’s part of a defense-in-depth strategy that acknowledges DeFi’s active threat landscape.
Ecosystem Growth: TVL and Activity
Since mainnet, Hemi has grown a multi-sector stack of dapps (DEXs, perps, and stable assets) riding on BTC and EVM liquidity. As of October 29, 2025, DeFiLlama reports roughly $260 million TVL on Hemi, with stablecoin market cap around $46.6 million and steady DEX and perps volumes, indicating real usage rather than just idle capital. TVL and flow naturally fluctuate, but the trend shows traction for BTC-denominated finance in an EVM environment.
Token and Utility: What HEMI Is For
According to public research summaries, HEMI is the network’s native token for securing the chain (staking/validators), paying fees, and participating in governance and incentive programs. Centralized listings and trackers cover circulating supply and market data, but the core design aligns HEMI with economic security and ecosystem coordination—standard roles for a modular L2 focused on sustainable throughput and liquidity depth.
Funding and Backing: Building for the Long Haul
Hemi announced a $15 million seed round in September 2024 and a $15 million growth round in August 2025, bringing total funding to about $30 million. Investors across both rounds include YZi Labs (formerly Binance Labs), Republic Digital, HyperChain Capital, Breyer Capital, Big Brain Holdings, and others. Funding has been directed toward core R&D (hVM, Tunnels, PoP), security, and ecosystem growth.
User Benefits: Lower Friction, More Possibility
For users, the pitch is straightforward: transact with lower fees than L1s, access Bitcoin and EVM assets in one place, and do it without trusting opaque bridge operators. The hVM’s direct line into Bitcoin unlocks use cases like BTC-collateralized lending, rate markets, and new derivatives that reference native Bitcoin data, while still feeling like the EVM apps users already know. The design aims to make “Bitcoin DeFi” feel as usable as “EVM DeFi,” not a separate, brittle experience.
How Hemi Fits Next to Linea and Other L2s
Linea is a zkEVM L2 by Consensys focused on proving the full EVM with zero-knowledge circuits, steadily decentralizing its stack while keeping costs low and UX familiar. In that landscape, Hemi is complementary: whereas Linea pushes the frontier of zk proof systems for Ethereum scalability, Hemi’s differentiation is deep Bitcoin integration inside an EVM plus Bitcoin-anchored finality. Many dev teams build multi-L2 strategies; a BTC-aware execution layer like Hemi can sit alongside zkEVMs such as Linea to serve portfolios of apps that need both zk throughput and native BTC logic.
Roadmap and What to Watch
From Hemi’s public materials, priorities include scaling Tunnels, broadening perps and liquidity venues, and expanding the set of Bitcoin-centric primitives available to smart contracts. On the network side, expect continued work on PoP economics and validator roles, plus additional security partners and monitoring. For the broader EVM landscape, watch how Hemi interleaves with zk-centric L2s and whether BTC inflows accelerate TVL and fee markets on Hemi, validating the thesis that Bitcoin liquidity belongs natively in programmable finance.
