BOB announced the introduction of native BTC to DeFi systems on the BitVM testnet, with support from 10 institutions including Lombard, Solv Protocol, and Fiamma

On July 2, hybrid Layer 2 project BOB (Build on Bitcoin) announced that it has officially launched native BTC in its BitVM testnet, which is supported by ten industry leaders including P2P.org, Lombard, Solv Protocol, Amber Group, Ankr, RockawayX, Fiamma, UTXO Management, Luganodes, and SatLayer Backed by leading DeFi institutions. After the testnet goes live, the BitVM bridge and native BTC will go live on the BOB mainnet in Q4 2025.

The launch of native BTC on the BitVM testnet successfully solidifies BOB's position as the "home" of Bitcoin DeFi as it introduces native BTC (rather than wrapped BTC) to its broad Bitcoin DeFi ecosystem, which is fundamentally different from other wrapped BTC currently used in DeFi that rely on centralized custody or multisigs. BOB's BitVM bridge uses a fraud-proof "1-of-N" security mechanism to provide Bitcoin security. Just as ETH remains "ETH" on Ethereum scaling chains such as Optimism and Arbitrum, BTC on BOB also remains native, simply referred to as "BTC".

It is reported that BOB BitVM testnet partners are all members of the BitVM Alliance, the BitVM Alliance is committed to advancing BitVM from theoretical research to practical application stage, and the alliance members are working together to support testnet trials by running or launching BOB BitVM nodes, and the participation of these leading DeFi "players" has greatly accelerated the practice and implementation of BitVM.

It also marks the first time that a partner other than the BitVM Alliance, a collaborative group of leading BitVM builders, has run BitVM infrastructure, demonstrating that the BitVM Bridge is actually usable in real-world development.

Alexei Zamyatin, co-founder of BOB and founding member of the BitVM Alliance, said: "Our vision has always been to put Bitcoin at the heart of the DeFi system, and BitVM makes that vision possible. With the launch of native Bitcoin on BOB and guaranteed by Bitcoin's native network, there is no need to trust any third-party centralized authority. ”

In addition, Alexei Zamyatin predicts that Bitcoin DeFi will explode in the near future, and the BitVM infrastructure will help unlock the trillions of dollars of liquidity in Bitcoin's multi-chain ecosystem. Alexei Zamyatin said, "The launch of the BitVM testnet covers a wide range of partners – investment institutions, infrastructure, liquidity providers (LPs), and DeFi protocols. Here, I would like to give special thanks to the BitVM Alliance partners: P2P.org, Lombard, Solv Protocol, Amber Group, Ankr, RockawayX, Fiamma, UTXO Management, Luganodes, and SatLayer, for their support and feedback on BOB's newly designed BitVM Bridge. ”

"Joining the BitVM Alliance and participating in BOB's latest BitVM testnet is a natural extension of Solv's mission: to unlock trillions of dollars in liquidity and yield on native Bitcoin assets. We believe BitVM represents a path to trustless BTC DeFi, and BOB's BitVM testnet confirms that. BitVM's trustless architecture aligns perfectly with our vision: to achieve institutional-grade yields that are entirely based on the Bitcoin protocol itself, and bring that yield to Bitcoin. Ryan Chow, co-founder and CEO of Solv Protocol, said.

"At P2P.org, we have always believed that Bitcoin's potential lies in its ability to be the foundation of a DeFi system, not just a dormant digital gold. BOB's BitVM bridge represents a fundamental breakthrough that allows native BTC to participate in DeFi systems without having to overcome the trust issues that hinder the growth of the BTC DeFi ecosystem. We're excited to contribute our expertise to the BitVM testnet, as we've always believed that BitVM is the missing piece of the puzzle to unlock Bitcoin's trillions of dollars in liquidity. Artemiy Parshakov, Vice President of Institutional Business at P2P.org, said.

As a hybrid Layer 2 chain, BOB combines the advantages of the Bitcoin and Ethereum networks to provide the best on-ramp to Bitcoin DeFi. This unique hybrid Layer 2 model makes substantial improvements to existing BitVM bridge designs:

Ethereum-based data availability: Instead of relying on Bitcoin for data storage, use lower-cost Ethereum blocks for fraud-proof data access. As a result, BOB-based BitVMs inherit the same censorship-resistant features as Ethereum sidechains like Arbitrum or Base.

The operator role is split into two: the operator node is responsible for calculations, and the operator liquidity provider (LP) is responsible for providing BTC liquidity for withdrawals. Borrowing from the Proof-of-Stake (PoS) system, the system enables role specialization to match institutional offerings, increasing efficiency and lowering capital barriers.

Collateral Reuse: Based on research by Citrea and CommonPrefix, BOB allows operators to reuse BTC collateral across multiple BitVM instances, significantly improving scalability.

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