Will Bitcoin DeFi be a major trend for 2022? Covered: What is Stackswap? Major Moment for Bitcoin DeFi TVL Rocket Fuel As CRU reported on Monday, Stacks ($STX), a Layer-1 smart contract chain that is secured by Bitcoin, launched a DeFi protocol called ALEX, which was a major step towards the adoption of Bitcoin DeFi. […] The post First Ever DEX Built on Bitcoin Surges to 100 Million TVL appeared first on CryptosRus.

First Ever DEX Built on Bitcoin Surges to 100 Million TVL

Will Bitcoin DeFi be a major trend for 2022?

Covered:

  • What is Stackswap?
  • Major Moment for Bitcoin DeFi
  • TVL Rocket Fuel

As CRU reported on Monday, Stacks ($STX), a Layer-1 smart contract chain that is secured by Bitcoin, launched a DeFi protocol called ALEX, which was a major step towards the adoption of Bitcoin DeFi. However, another protocol on Stacks has seen major adoption in the last week.

What is Stackswap?

Stackswap, a combination of a DEX and token launchpad on the Stacks blockchain went live in early January and has since seen parabolic growth. As you can see below on DefiLlama, the protocol went from just 6 million in TVL to over 100 million in a matter of days.

Notably, the platform will use Bitcoin as the first layer and Stacks’ as a second layer to power the clarity smart contracts that will support the DEX. They raised $1.3 million in a private round in late 2021. Stacks itself was funded by Winklevoss capital and Coinbase.

credit: defillama

Stackswap is the “The First Complete DEX on the Bitcoin Network.” Some of the features include liquidity pools, yield farming, staking, and vaults. According to HC capital, Stackswap is the third fastest-growing DeFi protocol by TVL in the last 7 days, up a staggering 1,500%.

Major Moment for Bitcoin DeFi

This is a major moment for Stacks, Web3.0, and of course, Bitcoin. The entire Stacks ecosystem has become the number one Web3 project on Bitcoin. According to a report by Electric Capital, a venture capital firm focused on cryptocurrencies and fintech,  Stacks is now the largest project on Bitcoin.

RECOMMENDED: First ‘DeFi platform’ On Bitcoin Launches On Stacks

Some of the impressive statistics for Stacks include “350 million monthly API requests, 40,000 Hiro (development tool for Stacks to build applications on Bitcoin) wallet downloads, and 2,500 Clarity smart contracts.” There is no doubt that Bitcoin DeFi is a reality in 2022, unlocking the trillions in capital tied up in the Bitcoin network.

They are also doing well in the NFT space. 140,000 NFTs minted on the Stacks blockchain in the last year. Notably, it was announced last night that Lindsay Lohan is launching Bitcoin NFTs on Stacks through the Superfandom app. Superfandom “connects creators to their fans through meaningful experiences both in the real world and the Metaverse.”

However, Stackswap holds the keys to the highest TVL in all of Bitcoin DeFi, and will have a major impact on targeting Bitcoin liquidity. All this with no wrapped Bitcoin, but truly native DeFi on Bitcoin. They also function as a hub for Stacks to expand the Stacks ecosystem.

credit: stackswap medium

TVL Rocket Fuel

To that point, incoming Dapp projects and devs will be able to “utilize the Stackswap Launchpad to issue their own tokens, create liquidity pools, and execute PoXL mining in just a few clicks.” According to their medium article, “Stackswap is anticipating asset allocation by professional investors such as large-scale investment funds.”

The Stackswap token appears to have not launched yet, but the ticker symbol is $STSW, except for on the Stackswap DEX of course, which appears to be the only place you can trade the token. The token is currently trading for 0.43 cents on the DEX.

Similar to Cardano, this new and thriving DEX can open the doors to a TVL explosion, and thus, an explosion in the value and liquidity of the Stacks token, and of course Bitcoin, too.

RECOMMENDED: Where Do Institutions Stand With Bitcoin Right Now?

The post First Ever DEX Built on Bitcoin Surges to 100 Million TVL appeared first on CryptosRus.