Stacks, a Bitcoin layer-2 network, is set to deploy its synthetic Bitcoin (BTC) on the Solana blockchain. The announcement was made by Stacks founder Muneeb at the Solana Breakpoint Conference in Singapore, highlighting a key opportunity to bring Bitcoin to faster and more scalable blockchain networks.
BTC is a decentralized version of wrapped Bitcoin designed to function seamlessly with smart contract platforms like Solana. This integration offers Bitcoin holders a new set of use cases and makes it easier to deploy Bitcoin assets on Solana’s network.
Muneeb emphasized the potential impact of this development on developers. He stated, “The little alpha we want to drop here is that the Stacks developers are working on bringing sBTC to Solana.”
BTC offers a decentralized option
Stacks’ announcement regarding the integration of sBTC with Solana follows a recent move to integrate with Aptos, an ultrafast layer-1 network. This move allows Bitcoin to be used across various decentralized applications.
Solana Price Performance. (Source: Tradingview)
Muneeb pointed out that sBTC provides a decentralized alternative to more centralized versions of wrapped Bitcoin like Bitgo’s WBTC and Coinbase’s cbBTC. He noted that many Bitcoin holders prefer decentralized methods for wrapping and unwrapping their assets, avoiding reliance on centralized entities. Adding sBTC on Solana opens up more options for users who prioritize decentralization.
Why stacks chose Solana for BTC
Muneeb explained the reasoning behind integrating sBTC with Solana, stating that Solana’s network offers a faster and more efficient option for Bitcoin transactions. Solana’s infrastructure will allow Bitcoin to be used for more diverse applications beyond its current limitations on the Bitcoin network.
He described Bitcoin as an exceptional asset but acknowledged that its underlying layer-1 network has limitations regarding programmability. According to Muneeb, while Bitcoin remains a powerful asset, its current blockchain rail restricts its full potential. He said, “Bitcoin the asset is amazing, but Bitcoin the rail is slow and lacks programmability.”
This new integration aims to change that by introducing Solana’s faster, programmable infrastructure to Bitcoin. Developers can now create more dynamic solutions using Bitcoin on Solana.
Stacks expands technical capabilities
While the Stacks team did not provide specific technical details about how the integration will occur, Solana is expected to serve as a decentralized bridge, allowing liquidity to flow between the Bitcoin and Solana networks.
Stacks has made significant strides in improving its technical capabilities this year. Its Nakamoto upgrade, launched in April, has enhanced block production and transaction speeds, making integrating with other blockchain networks like Solana easier.
Solana Sees Price Growth Amid Positive Sentiment
Solana’s token (SOL) has seen a notable price increase as excitement grows over these new integrations. Over the past week, SOL has gained over 6%, reflecting renewed investor interest. Despite a slight dip to $146.29, momentum around Solana remains positive due to several upcoming integrations and partnerships.
The Solana network has received endorsements from notable players, such as PayPal’s Blockchain and Digital Currencies vice president, Jose Fernandez da Ponte. He praised Solana’s speed and cost-effectiveness, promoting its use in future digital payment solutions. With multiple significant integrations on the horizon, Solana is poised for continued growth and adoption in the blockchain space.
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