At Money 20/20 in Amsterdam, Ricardo Castro of Rootstock Labs highlighted the focus of Bitcoin Layer-2 protocols on providing global access to decentralized finance (DeFi), especially in emerging markets.
Bitcoin (BTC) and Ethereum (ETH) are the two largest decentralized networks, each with their own unique advantages. While BTC is known for its strong security standards, Ethereum’s blockchain emphasizes functionality and usability through smart contracts.
For years, developers have been trying to create a network that could bridge the two concepts and bootstrap decentralized finance solutions on top of BTC’s blockchain. Rootstock Labs says it has achieved this by providing a secure BTC-backed smart contract platform to Latin American users and cryptocurrency participants.
According to Castro, the protocol boasts over 2,000 BTC worth over $141 million and supports DeFi development and liquidity for decentralized applications (dapps) on layer 2 sidechains. The chain uses a native token called RBTC, which is pegged one-to-one to Bitcoin for transaction verification.
DefiLlama data also confirms that the total value locked in Rootstock is over $203 million, including over $15 million in stablecoins. Castro told attendees that the company will continue to support innovations in Bitcoin smart contact functionality to bridge the gap between BTC and Ethereum’s products.
The startup has won millions of dollars in awards for its developers and has already awarded more than 100 grants per executive in the past 12 months.
