- In a post on X, Stacks founder Muneeb Ali alluded to the long-awaited Stacks upgrade perhaps occurring as early as next month.
- According to Stacks, sBTC is the first two-way bitcoin peg system that is trustless and has the ability to grow DeFi apps on the bitcoin base layer.
The next significant update to the network is imminent, according to the founder of Stacks, a blockchain created to expand bitcoin.
The goal is [early December], which appears to be on pace for sBTC v1, with more updates planned for [January] and beyond.
claims that sBTC is a solution to the “write problem” with bitcoin, which is the inability to write data directly to the main chain of the cryptocurrency, which is a requirement for applications involving decentralized finance. Smart contracts will be able to programmatically send Stacks’ sBTC to an address so that it can be pegged out as BTC.
Simply put, sBTC will give a rival to other wrapped bitcoin variants like wBTC and cbBTC, which are both provided by centralized custodians and allow the token to be used in decentralized apps. Stacks thinks that by offering a substitute that is more consistent with bitcoin’s decentralized ethos, sBTC’s innovative decentralized two-way peg will unlock value.
Although its ownership has changed since the document’s publication, Stacks’ sBTC whitepaper describes wBTC as being “entrusted to a single custodian” and so incompatible with the Bitcoin concept. On the other hand, the paper bills sBTC as a decentralized pegged BTC asset that is run by a dynamic, totally permissionless group of participants that have a definite financial interest to maintain the peg.
Layer-2s can be used to enhance Bitcoin rails.Bitcoin will become more valuable as a result of the various use cases that may be implemented there and the increased productivity of the capital.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
