BitGo Launches Support for Bitcoin L2 Stacks and sBTC

Digital asset services provider BitGo has announced its support for the Bitcoin layer2 network Stacks and its new token standard, sBTC. This strategic move aims to enhance Bitcoin's functionality by integrating stacking capabilities, allowing users to grow their BTC holdings without lending their assets.

BitGo will join the Stacks network as a Signer, contributing to blockchain consensus and block production. Users can generate BTC rewards in their wallets by utilizing Stacks’ sBTC, a decentralized 1:1 Bitcoin-backed asset designed to enhance Bitcoin’s programmability.

This development is seen as a significant step in unlocking the potential of the Bitcoin network. With the total value locked in Bitcoin growing sevenfold to over $2.2 billion, BitGo's involvement is expected to spur further innovation in Bitcoin layer2 solutions.

BitGo’s Senior Product Manager, Daniel Du, expressed optimism about the partnership, highlighting the company's commitment to supporting Stacks in expanding their smart contract capabilities and decentralized applications.

This move underscores the critical role that Bitcoin L2s, particularly Stacks, will play in expanding the Bitcoin ecosystem and driving future innovation. Investors and institutions are increasingly looking to tap into Bitcoin’s potential through direct investments and accelerator programs focused on Bitcoin-building teams.