The Bitcoin decentralized application (DApp) ecosystem has seen a resurgence with the introduction of native protocols following the creation of Ordinals and Inscriptions. One project leading the way is SolvBTC, an omnichain yield-generating protocol, which has achieved a total value locked (TVL) of $700 million. This TVL comes from the yield-bearing Bitcoin (BTC) minted on platforms like Arbitrum, Merlin, and BNB Smart Chain. According to SolvBTC, the protocol has already attracted over 10,000 BTC staked and more than 92,000 participants since its launch earlier this month.
Ryan Chow, the founder of SolvBTC, believes that the liquidity revolution of Bitcoin is crucial for the true explosion of BTCFi. He also mentioned that in the near future, SolvBTC will be launched on additional networks, connecting BTC users, chains, and protocols.
SolvBTC uses BTC as collateral and sources staking and DeFi yields from various blockchains, including Ethereum, Arbitrum, Merlin, and BNB Smart Chain. The protocol estimates that users’ BTC deposits can generate annual returns of 5% to 10%.
BEVM, a Bitcoin layer-2 solution, recently received an undisclosed investment from Bitmain, a Chinese Bitcoin mining rig manufacturer. BEVM plans to explore Bitcoin hash rate and the application of the proof-of-work (PoW) ecosystem on BEVM, which could facilitate the migration of PoW hash rate assets and a significant quantity of BTC to BEVM. Since its mainnet launch on March 28, BEVM has gained over 700,000 user addresses and is currently valued at $200 million.
Orders Exchange, a Bitcoin decentralized exchange (DEX), and MicroVisionChain, a sidechain, have also unveiled their 2024 roadmap. The Bitcoin DEX plans to integrate with the Web3 wallets of two major exchanges and create a Bitcoin nonfungible tokens marketplace. Previously, Orders Exchange integrated with the Bitcoin Runes protocol and built a Bitcoin asset bridge with MicroVisionChain.
Despite a market sell-off, the Bitcoin Ordinals market has grown to $2.3 billion, partly due to ecosystem development, memecoin frenzy, and listings on major exchanges like Binance. BRC-20 tokens, which are tokens on the Bitcoin network, reached a market capitalization milestone of $1 billion on May 9, 2023, shortly after their introduction.
In other news, Hong Kong Bitcoin and Ether exchange-traded funds (ETFs) had a challenging debut on their first day of trading.