Introduction
Babylon Labs claims a significant development in decentralized finance (DeFi) with a system that allows the use of native Bitcoin as collateral in asset borrowing on Ethereum.
Key Highlights
- Babylon’s co-founder, David Tse, announced on Wednesday that the firm has demonstrated a proof-of-concept enabling “trustless” Bitcoin collateralization for Ethereum loans.
- This concept is substantiated by a recent white paper detailing a Bitcoin vault system that utilizes smart contract verification through BitVM3 to secure BTC within individual vaults.
- No custodians or bridges are essential for interacting with this system, providing a more secure method for users.
Bitcoin Vault Lending System
Illustration of the Bitcoin vault-based lending system. Source: Babylon Labs
BNB Chain Activity Surge
BNB Chain witnessed a 151% increase in transactions over the past month, reaching a record of 500 million successful transactions and 3.46 million daily active addresses.
BNB Chain Transactions
Active sending addresses on BNB Chain. Source: Nansen
Hyperliquid’s Update
Hyperliquid has updated its platform enabling users to independently deploy perpetual swap contracts with a token stake requirement.
Hyperliquid Announcement
Announcement of the update via Discord. Source: Hyperliquid
Uniswap Supports Solana
Uniswap’s recently added support for Solana allows users to trade Solana-based tokens through its web application.
Uniswap Solana Integration
Source: Uniswap Labs
Market Summary
Despite challenges, a token identified as the BNB Attestation Service (BAS) surged by 456%, achieving exceptional gains this week.
DeFi Overview
Total value locked in DeFi. Source: DefiLlama
Join us for further insights into the evolving world of DeFi next week.
