Core, a blockchain platform designed to unleash the power of Bitcoin within the decentralized finance (DeFi) landscape, has reached a significant milestone: it’s now the largest Bitcoin sidechain in terms of Total Value Locked (TVL). According to data from DeFiLlama, Core boasts over $300 million in locked assets, representing a substantial 26.4% of the total TVL across all Bitcoin sidechains. This surge in Core’s TVL can be attributed to the growing interest in its innovative non-custodial Bitcoin staking feature. This feature allows users to earn yield on their Bitcoin holdings, providing a compelling way to generate returns on their investments. As of recent data, a remarkable 5,639 Bitcoin (worth approximately $335 million at current prices) have been staked on the Core network.
“Users are rapidly adopting BTCfi on the most Bitcoin-aligned blockchain,” remarked Rich Rines, an initial contributor to Core. While this TVL growth is substantial, it’s crucial to note that it still represents a relatively small portion of the overall Bitcoin market cap, which exceeds $1 trillion.
Core’s recent strategic partnerships have played a pivotal role in its success. Earlier this year, the platform joined forces with Valour to launch what they claim is the world’s first yield-bearing Bitcoin Exchange Traded Product (ETP). This collaboration further strengthens Core’s position within the DeFi ecosystem. Moreover, Core has partnered with digital asset custody provider Copper to bolster its staking activities.
Looking ahead, Core is poised to launch LstBTC, a liquid staking token pegged to Bitcoin’s value. This token is designed to tackle liquidity challenges within Bitcoin DeFi, enabling users to stake their Bitcoin while maintaining the ability to use it within Core’s ecosystem. This innovation promises to enhance both liquidity and accessibility within Core’s DeFi offerings.
While Core’s growth is undeniably noteworthy, it’s important to consider the broader context of Bitcoin sidechains and the still-evolving nature of Bitcoin-based DeFi. The total value locked across all Bitcoin sidechains remains a relatively small percentage of the overall cryptocurrency market. As the cryptocurrency industry continues to evolve, platforms like Core are actively bridging the gap between Bitcoin’s role as a store of value and the yield-generating potential of DeFi.
For those interested in delving deeper into the future of Bitcoin-based DeFi and other digital asset innovations, Benzinga’s upcoming Future of Digital Assets event on November 19 offers an excellent opportunity to gain valuable insights.
