Velar is a pioneer in the field of Bitcoin DeFi. The company has just reached a major milestone by launching the first decentralized exchange (DEX) of Bitcoin (BTC) perpetual swaps on the Bitcoin blockchain.
This historic launch, announced very recently on BOB (Build on Bitcoin), opens up new prospects for BTC holders.
A New Lease of Life for Bitcoin with Perpetual Swaps
Thanks to this new DEX, dubbed Velar Artha, users will now be able to generate returns. To do so, they will have to provide liquidity or carry out transactions directly on Bitcoin.
This is a significant advance, as it brings the functionalities of decentralized finance (DeFi) directly to Bitcoin. There will be no need for complex wrapping or bridging mechanisms.
According to Velar co-founder Mithil Thakore, Bitcoin holders can now earn money with their cryptocurrency, without having to transform it. It’s like putting your money in the bank to earn interest, but with Bitcoin. This innovation makes Bitcoin even more useful and interesting.
This innovation is part of a wider movement. It aims to develop decentralized finance on Bitcoin, also known as BTCFi.
Numerous companies are actively working to extend the DeFi capabilities of the first cryptocurrency. They are opening up new possibilities for users.
Is Bitcoin Ready to Dominate DeFi?
According to Mithil Thakore, this dynamic could well lead to Bitcoin dominating the DeFi landscape in the next few years.
Ethereum’s lead in DeFi is set to fade. This is as users and developers recognize Bitcoin’s superior monetary properties and true decentralization.
This wave of innovation will attract a flood of users and capital to Bitcoin DeFi. It will eclipse all previous cryptocurrency adoptions, according to Thakore.
Velar Artha positions Bitcoin as the platform of choice for decentralized finance. It offers a serious alternative to Ethereum (ETH).
What’s more, Bitcoin’s advantages in terms of security, decentralization, and liquidity could well appeal to many market players.
In fact, the development of over 100 Bitcoin Layer 2 (L2) chains is gathering pace, opening up promising new prospects for Bitcoin.
Indeed, these L2s, like Stacks, fill the gap left by the lack of smart contracts on the main Bitcoin network, and open up new use cases.
