The Problem

As illustrated in the image above, there is a Bitcoin dilemma that has yet to be solved.

• Native BTC Staking is secure and decentralized but lacks utility and liquidity. Users benefit from security but miss out on opportunities to use their BTC in DeFi across multiple blockchains.

• Wrapped Solutions provide more utility and liquidity, enabling BTC holders to participate in DeFi ecosystems. However, they introduce drawbacks such as centralization and reduced security.

This creates a dilemma for BTC holders:

Option 1 - Choose native BTC staking, which offers security and decentralization but lacks liquidity and utility.

Option 2 - Opt for wrapped solutions that provide greater utility at the cost of security and decentralization.

Currently, no solution effectively combines the best of both worlds, leaving BTC holders without a satisfactory option for staking their assets while maintaining both security and utility.