#Bitlayer is a Bitcoin Layer-2 (L2) protocol built on the emerging BitVM framework, designed to bring EVM-compatible smart contracts, interoperability, and DeFi capabilities to the Bitcoin ecosystem—without compromising its native security. Key components include:
BitVM Bridge: A trust-minimized bridge allowing BTC to be locked and represented as a programmable asset (like YBTC) on Bitlayer or other supported chains. It minimizes trust assumptions compared to older centralized or multisig wrapping methods.
YBTC: A yield-bearing Bitcoin asset—BTC locked into Bitlayer becomes YBTC, enabling yield-generating DeFi use cases like lending or staking.
