Babylon Labs, a Bitcoin infrastructure firm, announced the development of a system that allows native Bitcoin to be utilized as collateral for borrowing assets on Ethereum.
David Tse, co-founder of Babylon Labs and a professor at Stanford University, stated on Wednesday that the company has created a proof-of-concept that enables native Bitcoin to function as collateral for loans on Ethereum in a “trustless” manner.
This follows the release of a white paper outlining a trustless vault system for Bitcoin, which employs the smart contract verification method BitVM3 to secure BTC in user-specific vaults. Withdrawals are contingent upon proofs of external smart contract state verified on Bitcoin.
The system empowers users to lock Bitcoin and transfer it to Ethereum without the need for custodians or bridges.
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BNB Chain witnesses record user activity, transactions rise by 151% in 30 days
On Monday, daily active addresses on BNB Chain reached an all-time high, coinciding with a new price record for the network’s native cryptocurrency.
Nansen reported that sender-only active addresses on the blockchain soared to 3.46 million, surpassing the prior peak of 3.44 million set in December 2023.
The analytics platform also indicated that BNB Chain recorded 500 million successful transactions over the last 30 days, marking a 151% increase from the previous period, making it the second-highest in transactions after Solana.
In terms of active wallet addresses, BNB Chain ranked third, with nearly 200 million wallets active during this timeframe, closely approaching layer-2 network Base.
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Hyperliquid enables anyone to deploy perpetual futures, for a fee
The decentralized exchange Hyperliquid has rolled out a new update allowing third parties to create their own perpetual swap contracts on the platform.
With the implementation of Hyperliquid Improvement Proposal 3 (HIP-3) on Monday, it now enables permissionless deployment of perpetual futures contract listings by builders.
To deploy a perpetual swap contract, individuals need to stake 500,000 HYPE tokens, approximately $20 million, allowing them to establish independent margining, orderbooks, and contract parameters.
Deployers can set a fee-sharing structure of up to 50% in addition to the base fee rate and will define markets, including oracle and contract specifics. They will also determine oracle prices, leverage limits, and execute settlements if necessary.
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Uniswap integrates Solana support on web app in a $140 billion opportunity
Uniswap has added support for the Solana network to its web application, enabling Solana users to connect their wallets and trade Solana-based tokens alongside those from other platforms.
In a blog post, the decentralized exchange mentioned its exploration of bridging, cross-chain swaps, and full wallet support for the network. Transactions through the web app will be routed via the DEX aggregator Jupiter.
A Uniswap engineer noted that the integration was not specifically built for Solana, but rather designed “architect layers” that are platform-agnostic.
Uniswap’s trading engineering lead, Danny Daniil, commented that Solana’s integration will aid Unichain, a layer-2 network developed by Uniswap Labs, in becoming the “best chain” for trading.
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DeFi market overview
Data from Cointelegraph Markets Pro and TradingView indicate that the majority of the top 100 cryptocurrencies by market capitalization experienced declines over the week.
A token named BNB Attestation Service (BAS) surged by 456%, becoming the week’s top performer after reaching a new all-time high on Thursday, followed by Nockchain (NOCK), which gained 379% last week.
Thank you for reading our summary of this week’s key DeFi developments. Join us next Friday for more stories, insights, and education concerning this rapidly evolving sector.
