- Merlin Chain is bringing earning capabilities to Bitcoin holders around the world.
- The Layer-2 protocol is launching a staking solution with enhanced security and scalability.
Merlin Chain, a Layer 2 blockchain built specifically for Bitcoin (BTC) is set to unlock a suite of Decentralized Finance (DeFi) integrations, allowing Bitcoiners to participate in yield opportunities.
Bitcoin Competing with Ethereum
For years, Bitcoin investors have watched their Ethereum counterparts enjoy the lucrative world of DeFi. Staking rewards, liquidity mining, and yield farming are all opportunities out of reach for those holding the world’s biggest cryptocurrency. However, Merlin Chain has emerged as a new player, aiming to change the game for Bitcoin holders.
As revealed in a press release shared with Crypto News Flash, Merlin Chain’s architecture leverages a Proof-of-Stake (PoS) consensus mechanism alongside a suite of DeFi integrations. Users can transfer their Bitcoin onto the Merlin Chain network through a seamless bridging process. This creates a wrapped Bitcoin asset, M-BTC, which functions similarly to stETH on Ethereum.
The beauty of Merlin Chain lies in its ability to offer the best of both worlds. Users benefit from the extensive DeFi opportunities typically associated with Ethereum but with the added security and familiarity of the Bitcoin network.
“We are delighted to finally grant BTC investors and hodlers concrete incentives to not just HODL, but earn and participate in the exciting DeFi ecosystem,” says Merlin Chain Founder Jeff.
With Merlin Chain, users can stake M-BTC on platforms like Solv Protocol to earn rewards in the form of SolvBTC, a token that grants access to various DeFi services. In addition, they can utilize M-BTC as collateral to access lending, borrowing, and derivative services within leading DeFi protocols.
Furthermore, they can bridge SolvBTC assets to other Layer 2 networks like Linea to unlock additional rewards and opportunities.
Merlin Chain Prioritizes Security and Scalability
Merlin Chain takes security and scalability very seriously. The platform is collaborating with leading custodians like Fireblocks, Cobo, Ceffu, and Bitmain’s Antalpha to ensure a robust and reliable PoS system. Additionally, partnerships with over ten major institutions contribute to a decentralized validator set, promoting transparency and scalability.
In April, Merlin Chain introduced a host of security measures alongside its chain architecture. As previously reported by Crypto News Flash, one of the platform’s unique features is its decentralized oracle network, which feeds a blockchain with external data. The platform also enhances asset diversification and risk mitigation, solidifying the ecosystem’s robustness.
Reiterating Crypto News Flash’s earlier reports, Merlin Chain announced the launch of its native token, MERL. The token offers enhanced governance, security, and ecosystem development opportunities for its users. With over $13 billion in bridged Bitcoin and $700 million distributed to Layer 2 networks in just 45 days, Merlin Chain is rapidly gaining traction.
Moreover, Merlin Chain is in partnership with over ten institutions to scale participation and decentralize the network’s validator set.
