Introduction

Bitlend is the first algorithmic, decentralized lending protocol that operates on the BTC network where users can participate as lenders or borrowers in isolated lending pools. Bitlend aims to fully release the potential of Bitcoin's Layer 1 capabilities and build high-velocity markets for BTC native BRC20 Assets using ordinals protocol, PSBT technology, and Bitcoin scripts. With one unified margin account, users can earn interest on deposits, and borrow from shared liquidity pools against collateral.

Links:

Website: https://www.bitlend.org/

Dapp: https://bitlend-dev.netlify.app/

Discord: CM

Twitter: https://twitter.com/BitLend_xyz

Medium: CM

BUT...What are BRC20 tokens?

BRC-20 uses ordinal inscription and is an experimental token standard. It was launched by an anonymous developer "Domo" on March 09, 2023. BRC-20 tokens are fungible tokens that are native to Bitcoin. Interestingly, unlike popular token standards on EVM blockchains, the BRC-20 standard does not use smart contracts; instead, it allows users to store a script file on Bitcoin and use that to associate tokens with specific satoshis. To deploy, mint, and transfer tokens, users can use BRC-20 tokens, which embed JSON data into ordinal inscriptions.

Use Cases of BRC20 tokens

• Peer-to-peer transfers

One of the most significant and basic things which can be done by BRC-20 token is to transfer the token to your peers as an indication of value transfer. These tokens can utilize the functionality of Bitcoin and can be moved or transferred to various wallets irrespective of the location of each wallet. Moreover, BRC-20 tokens take over the level of efficiency used by Bitcoins and transaction fees are charged natively in Bitcoin.

• Decentralized Finance (Defi)

Touching the heights of decentralized finance (Defi) systems is still in the nascent stage by Ethereum and EVM networks. However, the instigation of BRC-20 can be the starting point of decentralized finance because unlike Bitcoin, BRC-20 can be easily integrated into decentralized exchanges (DEX), yielding farms, and other lending protocols.