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The Bitcoin DeFi protocol Brotocol is officially launched, introducing cross-chain trading and payment solutions

ChainCatcher news, according to official sources, the Bitcoin native DeFi protocol Brotocol has officially launched, aiming to promote the development of "BTCFi" (Bitcoin ecosystem DeFi) by building cross-chain infrastructure, trading, and payment tools. It is reported that Brotocol positions Bitcoin as the core asset of DeFi, emphasizing the connection of global liquidity through a native cross-chain solution without relying on Ethereum architecture.The core functional modules include:BroBridge (Cross-chain bridging)Supports users to transfer on-chain stablecoins (such as USDC) from chains like Arbitrum and Solana into the Bitcoin network, and allows assets to be staked through the Babylon protocol, maintaining Bitcoin's attributes as a foundational financial account.BroSwap (On-chain trading, currently in public beta)Allows users to exchange tokens directly within Bitcoin wallets (such as Xverse), supporting swaps between BTC and assets like USDT, SOL, ETH, and MEME coins, without the need to manage multiple chain wallets.BroPay (Payment gateway)Non-Bitcoin users can pay merchants using ETH, SOL, or USDT, with the backend automatically converting to native BTC for settlement, reducing the entry barrier for using the Bitcoin ecosystem.Brotocol plans to collaborate with multi-chain projects to build a unified ecosystem and has already partnered with Joltz to integrate USDT and Taproot assets, connecting the Bitcoin Lightning Network, Liquid sidechain, and DeFi protocols. Its long-term goal is to provide seamless Bitcoin financial infrastructure for developers, users, and merchants.The project team claims that the introduction of on-chain stablecoins for Bitcoin may trigger a "BTCFi Summer," encouraging users to manage BTC and stablecoins through a single Bitcoin wallet and participate in DeFi applications. More technical details can be found in their official Medium article.

Due to weakened support from external partners, the Brazilian CBDC pilot project Drex is hindered in its privacy solutions

ChainCatcher news, according to Bitcoin.com, Brazil's central bank digital currency (CBDC) pilot project Drex is facing difficulties as the resources allocated to the project have decreased, slowing down its progress and hindering development.The two largest companies involved in designing the project's privacy solutions—Microsoft and Ernst & Young—have recently reduced their manpower dedicated to these efforts. This deadlock is related to the central bank's recent actions, as it ended the second phase of the Drex pilot without approving any projects submitted by participants. The privacy proposals that needed to ensure transaction confidentiality while allowing regulatory review did not meet the central bank's requirements in this regard, leaving the Drex project currently stalled.Ernst & Young, which is responsible for the Starlight privacy project, has lost three personnel involved in the development of this solution. Meanwhile, after investing significant resources last year, Microsoft has also reduced its involvement in the ZKP Nova privacy proposal. However, Microsoft's partner Hamsa will continue to test and support ZKP Nova.Central bank executive secretary Rogerio Lucca recently pointed out that the team behind Drex is still researching the project's future. He stated, "Based on the ongoing test results, the technical team is currently discussing possible future steps for the project." However, he did not disclose the test results.
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