Cardano's research and engineering division, Input Output Global (IOG), has introduced Cardinal, a groundbreaking protocol enabling native Bitcoin UTXOs to circulate within Cardano's DeFi markets without intermediaries. The protocol, described as a new primitive for Bitcoin, ensures the security of satoshis on the Bitcoin base layer while allowing them to be utilized on Cardano through a cross-chain Ordinal wrap. Cardinal's innovative design includes a MuSig2 multi-signature for Bitcoin security, an HTLC for fund reclamation, and an eUTXO smart contract for minting pegged tokens on Cardano. This protocol aims to enhance security and efficiency in the bridging sector, offering programmable assets for DeFi activities. With plans for expansion to other blockchains, Cardinal represents a significant step towards decentralized interoperability in the crypto space. Read more AI-generated news on: https://app.chaingpt.org/news

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