Decentralized finance (DeFi) platform Sushi has announced its expansion into ZetaChain, a layer-1 blockchain, facilitating native support for bitcoin (BTC) transactions. This integration enables users to directly trade bitcoin across 30 networks within the DeFi space, eliminating the need for wrapping, a process usually required for using a coin on a different blockchain.
Jonathan Covey, a pivotal contributor to ZetaChain, emphasized the aim of empowering Bitcoin holders. The expansion intends to enable them to engage in various DeFi activities such as trading, lending, and borrowing. Covey highlighted the potential for Bitcoin to transcend its traditional role as solely a store of value within the DeFi landscape.
Bitcoin’s Role in DeFi Applications
Covey noted the significance of leveraging Bitcoin, the largest liquidity pool, in diverse DeFi applications. This development aligns with the recent surge in bitcoin’s price and trading volume, coinciding with heightened expectations surrounding the approval of a bitcoin exchange-traded fund (ETF).
Ankur Nandwani, founder of ZetaChain and co-founder of Basic Attention Token, highlighted the groundwork laid by previous initiatives like Colored Coins and Mastercoin. These efforts set the stage for current innovations, enabling the development of applications that utilize Bitcoin beyond mere transaction recording on the blockchain. Nandwani highlighted the increasing community of developers focused on enhancing Bitcoin’s utility within various applications.