DFINITY Basis, the not-for-profit group contributing to the event of the Web Laptop (IC) — a high-speed, internet-scale public blockchain — has introduced immediately the Web Laptop’s mainnet integration with Bitcoin, bringing sensible contract performance to the cryptocurrency.
Now, the Web Laptop can function a layer-2 for Bitcoin the place sensible contracts on the Web Laptop can maintain, ship and obtain bitcoin natively, with out the necessity for bridges or different Third-parties. This supplies a trustless basis for diverse DeFi and web3 functions in search of to code Bitcoin.
“Blockchains are like walled gardens, incapable of interplay between each other. When this involves Bitcoin, functions, corresponding to DeFi functions, that might profit most from interacting with the world’s largest cryptocurrency should not have the power to take action. The Web Laptop’s integration with Bitcoin is a real game-changer for the trade, lastly bringing sensible contract performance to Bitcoin and enabling an entire new panorama of DeFi and dapp growth by no means earlier than doable utilizing BTC.”
– Manu Drijvers, Director of Engineering on the DFINITY Basis
With IC integration, bitcoin can be utilized for DeFi actions like yield farming, lending, funds, and extra…
That is achieved by way of the Web Laptop’s enhanced Chain-key cryptography. The direct integration with Bitcoin averts the necessity for bridged and wrapped Bitcoin, a method used to facilitate interplay between totally different blockchains, however one that’s error-prone and sometimes hacked.
To allow quick bitcoin transactions between sensible contracts on the Web Laptop, the DFINITY Basis is now engaged on Chain-Key Bitcoin (ckBTC). Right here, ckBTC will act as a neighborhood ledger facilitating quick transactions with low charges and solely settle transactions on the Bitcoin community when crucial.
Advantages / Builders
The Web Laptop’s integration with Bitcoin additionally supplies a safer different to centralized bridges within the type of threshold ECDSA (Elliptic Curve Digital Signature Algorithm). The implementation of ECDSA empowers the Web Laptop’s canister sensible contracts, to immediately conduct bitcoin transactions with out an middleman or bridge.
ICP’s developer neighborhood has lengthy expressed a powerful demand for this characteristic…
DEX initiatives corresponding to Helix or IC Lighthouse are already constructing on the Bitcoin and Chain-Key signing options to supply bridgeless inter-chain token swaps. Furthermore, a number of ecosystem dApps are additionally able to launch some artistic use circumstances past DeFi.
Amongst them is the crowdfunding platform, CrowdfunNFT – which is able to settle for funding for initiatives in BTC. The goal is to increase the crowdfunding market general and usher in a contemporary set of undertaking backers to crypto. Different examples of use circumstances in growth are transactions in BTC on NFT marketplaces and peer-to-peer switch of BTC immediately on social media and messaging dApps.
Bringing new programmability to Bitcoin will open extra distinctive and imaginative use circumstances sooner or later.