On the Polkadot chain, Interlay has released interBitcoin (iBTC), a wrapped Bitcoin asset. With this solution, BTC will be used more widely “for DeFi, cross-chain transfers, NFTs, and more,” as reported by Cryptoslate.
Meanwhile, iBTC is already Acala and Moonbeam compatible. However, to continue the projects to other chains, the developers have to put up $1 million of funding. The company further plans to launch on Ethereum, Cosmos, Solana, and Avalanche.
This is supported by a decentralised network of vaults, each of which may be administered and maintained independently, according to the firm. Users secure their Bitcoin using a vault, which issues them with iBTC after minting it, as noted by Cryptoslate.
According to Interplay, iBTC is backed 1:1 and redeemable for Bitcoin. Additionally, the locked BTC is covered by insurance and compensated in the event of a vault failure.
Dr. Alexei Zamyatin, co-founder and CEO, Interlay claimed that iBTC extends the trust and security of Bitcoin to more cutting-edge chains. In essence, preserving Bitcoin’s trustless character while integrating the best of both worlds. “Bitcoin is the driving force behind global crypto adoption, while Polkadot, Ethereum & co. is where technological innovation is happening,” Zamyatin added.
(With insights from Cryptoslate)
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