Bitcoin infrastructure company Babylon Labs said it has developed a system that enables native Bitcoin for use as collateral for borrowing assets on Ethereum.
David Tse, co-founder of Babylon Labs and a professor at Stanford University, said on Wednesday that the corporate had created a proof of concept that will allow native Bitcoin for use “trustlessly” as collateral for loans on Ethereum.
The comments follow the corporate's release of a white paper revealing a trustless Bitcoin vault system that leverages Bitcoin smart contract verification BitVM3 to lock BTC in per-user vaults. Here, withdrawals are controlled by evidence of external smart contract status verified on Bitcoin.
This system allows users to lock Bitcoin and transfer it to Ethereum without counting on a custodian or bridge.
A schematic of the Bitcoin Vault based credit system. Source: Babylon Labs
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BNB Chain Sees Record User Activity, Transactions Increase 151% in 30 Days
BNB Chain each day energetic addresses hit an all-time high on Monday because the network's native crypto token hit a brand new price record.
According to Nansen, energetic sender-only addresses on the blockchain reached a record 3.46 million on Monday, surpassing its previous peak of three.44 million in December 2023.
The data analytics platform also showed that BNB Chain's successful transactions reached 500 million within the last 30 days, a rise of 151% over the previous 30-day period. This puts the network second behind Solana, which takes the highest spot in transactions.
In terms of energetic wallet addresses, BNB Chain ranked third with almost 200 million energetic addresses in the course of the same period. This record brought it near surpassing the Layer 2 network Base.
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With Hyperliquid, anyone can now stake perpetual futures at a particular price
Decentralized exchange Hyperliquid has rolled out a brand new update that enables third parties to enter into their very own perpetual swap contracts on its platform.
On Monday, Hyperliquid Improvement Proposal 3 (HIP-3) got here into effect, allowing for permissionless, builder-provided listings of perpetual futures contracts.
This update allows anyone who has staked 500,000 HYPE tokens, roughly $20 million, to stake their very own perp swap contract with independent margins, order books and parameters.
Operators can set a fee share of as much as 50% along with the bottom fee rate and define the markets, including Oracle and contract specifications. They can even set Oracle pricing and leverage limits and settle as needed.
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Uniswap adds Solana support for web app as a part of $140 billion opportunity
Uniswap has added support for the Solana network to its web app, allowing Solana users to link their wallet and trade Solana-based tokens alongside those of other networks.
In a blog post, the DEX said it’s exploring bridging, cross-chain swaps and full Uniswap wallet support for the network. Transactions made via the online app are routed through the DEX aggregator Jupiter.
A Uniswap engineer said the team didn’t design the mixing specifically for Solana, but relatively designed “architect layers” which are platform-agnostic.
Danny Daniil, head of trading engineering at Uniswap, said the launch of Solana will help Unichain, a Layer 2 network from Uniswap Labs, grow to be the “best chain” for trading.
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Overview of the DeFi market
Most of the highest 100 cryptocurrencies by market capitalization ended the week within the red, in accordance with data from Cointelegraph Markets Pro and TradingView.
A token called BNB Attestation Service (BAS) posted a 456% gain to grow to be the most important gainer of the week after hitting a brand new all-time high on Thursday. The token was followed by Nockchain (NOCK), which saw a 379% gain last week.
Thank you for reading our roundup of probably the most influential DeFi developments this week. Join us next Friday for more stories, insights and knowledge on this dynamically evolving field.
