U.S.-based entrepreneur, Matt Luongo has launched aprotocol dubbed Keep, which aims to bridge the gap between the Bitcoin and Ethereum distributed ledgers through the tBTC altcoin. With tBTC, holders of bitcoin ( ) will now be able to access Ethereum-based DeFi solutions without having to sell off their BTC for ETH, reports Bloomberg on April 2, 2020.
tBTC Enabling Bitcoiners to Enjoy DeFi
While Satoshi Nakamoto’s Bitcoin (BTC) succeeded in bringing distributed ledger technology (DLT) to the limelight and bring about a financial system devoid of government control, Vitalik Buterin’s Ethereum has taken the world of decentralized finance (DeFi) to the next level.
In a bid to bridge the gap between the Bitcoin network and the Ethereum smart contracts blockchain, Matt Luongo, an Atlanta-based distributed ledger technology (DLT) expert, has launched the Keep protocol.
Per sources close to the development, bitcoiners will now be able to enjoy the benefits of DeFi on Ethereum-based platforms without having to exchange their BTC for ETH.
The Keep protocol enables bitcoin (BTC) holders to seamlessly turn their coins into tBTC, a digital asset supported by the Ethereum blockchain. Once converted, tBTC can then be used by BTC holders as collateral to earn interest and more on Ethereum-focused platforms.
Users will also be able to change their tBTC back into bitcoin at will on the Keep platform.
Bitcoin Marries Ethereum to Take Crypto Mainstream
Reportedly backed by notable names in the industry including Fenbushi Capital, the first blockchain-focused venture capital firm in Asia, the Keep project is scheduled to officially kick off on April 27, 2020.
Matt Luongo tweeted:
“After months of flirting, it’s time to make Bitcoin and Ethereum kiss. @bloomberg’s all over it – check out this piece [email protected] on what bringing Bitcoin to Ethereum might mean for both chains and communities. #tBTC goes live on April 27th.”
Commenting on the project, Steven Becker, president of the MakerDAO ecosystem reiterated that the project is a forward-thinking manoeuvre as it promotes interoperability between the Bitcoin network and Ethereum, thereby promoting the growth of the blockchain economy.
“tBTC is an excellent project as it ultimately links two key concepts together,” he said, adding that the MakerDAO ecosystem will have to decide whether tBTC can be used as collateral on the platform.
At press time, the price of bitcoin (BTC) is up by 4.48 percent on the 24-hour time frame, trading at $6,959, with a market capitalization of $127.38 billion as seen on CoinMarketCap.
Sourced from crypto.news.
Written by Ogwu Osaemezu Emmanuel on 2020-04-03 21:00:52.