Bitfinity is developing an EVM-compatible sidechain to integrate Bitcoin into Defi, improving security and lowering transaction costs through chain key technology. Their ecosystem plans to include the Bitfinity Token used for governance and transactions, with a potential staking feature.

The mainnet launch date is set for two months, with incentives for community engagement, builders, and liquidity providers. Stay tuned for updates and partnership announcements from Bitcoin Layer 2 events in Brussels, as well as Bitfinity’s social media channels. For further details, explore the AMA highlights below:

X Spaces: Exploring Bitcoin L2 with Bitfinity

Speakers:

• Sam: Head of Partnerships (X Profile) @ Bitfinity Network (X Profile)

Index:

1. Bitfinity Network Overview
2. Bitfinity’s Wallet and Chain Key Technology
3. Advantages of Chain Key Technology
4. Bitfinity Network Token and Ecosystem
5. Defi Strategy and Solidity Developers
6. Upcoming Bitfinity Network Developments
7. Project Partners
8. Engagement and Growth Strategy
9. Sam’s Final Thoughts

1. Bitfinity Network Overview

• Bitfinity is building the next generation EVM, originally started with a wallet called InfinitySwap, focusing on unlocking Bitcoin liquidity in the DeFi space:

“And that's what Bitfinity Network is, right? It's a Bitcoin sidechain, but we've also built our own EVM. So we're fully EVM compatible. We're able to attract Solidity developers, who are the most popular developers at Dapps. And we're able to use the ICP technology to bridge the assets from Bitcoin, Ethereum.”

Bitfinity EVM Summary (Source)

2. Bitfinity’s Wallet and Chain Key Technology

• Bitfinity's initial project was a wallet, InfinitySwap, developed about 2 to 3 years ago:

“So initially. Bitfinity Network, the team, was working on a wallet. It's called InfinitySwap and built out what was at the time quite an impressive wallet within the space about two, or three years ago”

• Developed an EVM-compatible Bitcoin sidechain using ICP's chain key technology:

“So we're fully EVM compatible. We're able to attract Solidity developers, who are the most popular developers at Dapps. And we're able to use the ICP technology to bridge the assets from Bitcoin, Ethereum”

• The goal is to unlock Bitcoin's potential in DeFi, and build next-generation Ethereum-based DeFi apps that incorporate Bitcoin liquidity:

“Ethereum layer twos, everybody's looking at the liquidity of Bitcoin, right? How do they unlock that asset? That is the $1 trillion question (...) Ethereum-based apps this opportunity, if you want to call it that, to potentially tap into that liquidity and unlock that asset that I talked about.”

3. Advantages of Chain Key Technology

• Chain key technology provides security for assets bridged between Bitcoin and other blockchains, increasing transaction speed and reducing costs:

“So if you bridge your Bitcoin on Bitfinity Network when we're live, you will receive whatever the value is in CK Bitcoin, right? Now that allows you to then act in DeFi activities or, you know, whatever you want to do, it's up to you, but it's going to dramatically decrease the cost of transactions and increase the speed. So it's unlocking that DeFi potential.”

Bitfinity Network Data (Source)

• There's about 18M in CK Bitcoin already within the ICP ecosystem, which Bitfinity aims to add to upon going live:

“So if you wanted to go and check, like, what the existing TVL was, you could go and hit that up on DeFi Llama. And I think it's about 18 million Bitcoin in CK Bitcoin currently. So there's already 18 million in there and Bitfinity isn't live yet.”

• Bitfinity wants to leverage this technology to bridge assets from Bitcoin, Ethereum, Solana, etc., and use Bitcoin liquidity for DeFi:

“”e're able to use the ICP technology to bridge the assets from Bitcoin, and Ethereum. I saw today that they've actually introduced CK Link now. So Chainlink will be another one that will be possible. And Solana is possible based on the ICP stack”

4. Bitfinity Network Token and Ecosystem

• A Bitfinity token is in planning, with anticipated roles in governance, security, and transaction costs:

“So we will have a token. We don't have one just yet. And yeah, I don't have a definitive answer on its role because I don't know the absolute plan. But you know, we look at security, governance, and costing of transactions.”

• The ecosystem could potentially include features like staking or re-staking in the future:

“There are multiple ways we will use it. I just don't know exactly. Staking, maybe restaking it. I'm not sure exactly what the plan is.”

5. Defi Strategy and Solidity Developers

• Actively reaching out to EVM-based projects because of ease of integration and expanding partnerships:

“So I'm currently reaching out and engaging with EVM-based projects. I just simply because it's so easy to integrate them. And there's so many of them as well”

• Focusing on both new and established projects:

“So any Solidity developers, anyone building apps on Ethereum, but mainly using Solidity, then yeah, I'd love to speak with them. Also, as part of that, we want to find newer projects because more established projects may already be operating in other networks, and that's cool. We are speaking to those as well. But yeah, working with builders and innovating from the actual start of the project could have more advantages as well.”

Opportunities to get started on Bitfinity (Source)

• Looking at both traditional DeFi and Bitcoin-based projects that want to harness the EVM's capabilities:

“What I've noticed in my work and my outreach is that there are quite a lot of Bitcoin-based projects as well that have launched in the last 12 months. So there's also a massive opportunity there where they're emerging and there's a lot of interest. So it's quite a good time to partner with them also. So I'm looking at both sides really.”

6. Upcoming Bitfinity Network Developments

• Launching initiatives to incentivize active community engagement:

“So, keep an eye out on the socials as we will be launching something pretty cool very shortly, which is going to basically allow anyone who's within our community, or who wants to be, to engage with us and get incentivized. So, you know, share tweets, write good content. We want to reward an active community”

• The bridging feature's release will foster early ecosystem growth with incentives for builders and liquidity provision:

“And we want to attract liquidity builders and basically incentivize early growth through our reward system that I just talked about. So, incentivize people to refer people or bridge assets and yeah, just basically foster that innovation very early on”

• Mainnet expected to go live in about 2 months, with token launch and possibly a hackathon following:

“From there, the Main Network looks to go live, token and everything and probably a hackathon that I'll run after that. (...) I'd say about two months before that is all approved."

7. Project Partners

• Sam mentioned two dApps, Sonic and Lenfinity, in the testnet phase within Bitfinity. Sonic is like a DEX with potential DeFi applications, while Lendfinity could be a lending platform:

“You can see there are two projects one Sonic and one Lendfinity that i've recently retweeted uh so they're dApps built on Bitfinity (...) They're kind of like 80%, 95% done.”

8. Engagement and Growth Strategy

• Intend to broaden the ecosystem and incentivize early adopters:

“So this is, you know, early, early stages, but we want to make sure that our early partners are happy and then from there we can obviously scale up and attract more and more partnerships.”

• Aiming to merge Bitcoin liquidity with the EVM functionality, offering advantages to both traditional DeFi and Bitcoin-based projects:

“Then that's a big advantage to them in terms of building out their project, these Bitcoin-based projects. So, yeah, it's quite interesting how from each side there's kind of a need. The Ethereum DeFi side that want the liquidity of Bitcoin. And then the Bitcoin side, they want the functionality of the EVM.”

9. Sam’s Final Thoughts

• Advises keeping an eye on Bitfinity's socials for important announcements:

“Keep an eye out on the socials as we will be launching something pretty cool very shortly, which is going to basically allow anyone who's within our community”