Elastos Looks to Capture BTC Staking Demand With Bitcoin Layer 2 Offering
Blockchain community Elastos is introducing BeL2, a Bitcoin layer-2 community, in a transfer that might seize billions of {dollars} in bitcoin (BTC) volumes from staking instruments supplied on the brand new platform.
BeL2 will enable extra refined bitcoin transactions than the bottom Bitcoin blockchain, together with sensible contracts and irreversible digital agreements, Elastos builders advised CoinDesk. The sensible contracts could be outlined, managed, tracked and modified wholly on Bitcoin while not having an middleman.
The community may also let customers stake their bitcoin holdings instantly on the service, paying out yields whereas customers work together with functions constructed on BeL2. Transactional charges are anticipated to be very low, probably even eradicated, in contrast with the $10 common for Bitcoin transactions as of Tuesday.
“The arrival of BeL2 implies that Bitcoin is now ‘sensible,’ highlighting the potential for Bitcoin holders to stake their property instantly and earn curiosity on their holdings,” Sasha Mitchel, head of technique at BeL2 stated in a be aware to CoinDesk. “It is at all times been an anomaly that Bitcoin reserves remained successfully ‘dormant’ between transactions.”
Bitcoin layer-2 tasks have flourished this yr, with tokens of tasks resembling Stacks (STX) rising as a lot as 300%. Such networks share a ledger that permits customers to retailer information outdoors the principle Bitcoin blockchain, enabling builders to construct apps on the platform, simply as they’ll on Ethereum and Solana.
