Polygon network, the first well-structured, easy-to-use platform for Ethereum scaling and infrastructure development, now has interest-bearing Bitcoin (ibBTC) DeFi solutions thanks to BadgerDAO and DefiDollar.
The official announcement on Twitter reads:
“ibBTC in partnership with @defidollar is now live on @0xPolygon! As of now, users who bridge their assets will be able to earn both $MATIC and $SUSHI rewards in the new WBTC/ibBTC LP on Sushi.”
Notably, this marks another milestone for Bitcoin-related solutions within the Decentralized finance (DeFi) space. According to BadgerDAO and DeFiDollar, they chose to intergrade their ibBTC solution on the Polygon platform because of the exponential growth recorded by the company in the last few months. Notably, a total of $1.3 billion in BTC is currently being used on the Polygon ecosystem, including Aave and SushiSwap, among other protocols.
While commenting on this new development, Sandeep Nailwal, a Co-Founder of Polygon, explained:
“BadgerDAO and DeFiDollar are pioneers in DeFi, and we’re thrilled to see the possibilities unlocked by the interest-bearing Bitcoin in Polygon’s DeFi ecosystem.”
The process of rolling out the ibBTC solution on Polygon will reportedly be done in three stages. The first stage will introduce the ibBTC solution to the Polygon community using incentives to leverage the BTC bridge. The second stage will be the building of deep liquidity pools on SushiSwap for ibBTC/WBTC. This will be done to create cost-efficient swaps with Wrapped Bitcoin. In addition, the approach will also make room for optimal yield farming strategies that involve Bitcoin on Polygon. Lastly, the integration will further develop the ibBTC solution after the Sett and Badger Bridge launches have been done.
Over the two companies have done significant works towards enabling native bitcoin support for decentralized finance. Since Bitcoin, the leading cryptocurrency by market capitalization, is incompatible with decentralized finance, BadgerDAO and DeFiDollar have dedicated their efforts to helping intergrade the cryptocurrency into the DeFi market space. Reportedly their efforts have helped achieve over $500 million in Total Value Locked in DeFi.
BadgerDAO and DeFiDollar have also been responsible for creating vaults, bridges, and SETTs the help bring Bitcoin to Ethereum’s DeFi. In the end, efforts by BadgerDAO and DeFiDollar seek to make it possible for the DeFire industry to acquire broader liquidity.
