pToken, a firm offering a decentralized finance (DeFi) solution to connect tokens across different blockchain networks and ensuring cross-chain interoperability for any token regardless of which network it was created on, has just launched the first bridge in the world between Bitcoin (BTC) and EOS, where pToken’s version of BTC (pBTC) can now be used on EOS networks and all EOS decentralized applications.
As not all tokens can be ported over from one blockchain network to another, pToken’s solution is to create a pToken version of any token existent on the market, for example pBTC, which is pegged 1:1 with BTC. pBTC can bypass the technological restrictions placed on the original crypto asset and enable liquidity across different blockchain networks, and in this case, the EOS network.
Launched only last December, pToken works on a deposit system where users can deposit actual BTC onto the pToken network without selling or trading their BTC. Users ‘peg-in’ their BTC for pBTC to use across other networks, and can ‘peg-out’ their deposit in BTC again via the pToken Dapp.
pToken’s aim in connecting BTC with the EOS ecosystem is to accelerate DeFi development on another network aside from Ethereum. As previously reported, growth of DeFi platforms has increased multifold since 2019, but has been skewed largely towards the Ethereum blockchain network while other networks such as EOS and Tron saw decreasing transaction value and users in the same time period.
“Decentralized applications today need to interoperate and complement each other like lego blocks so that the entire DeFi industry can scale. This is what pTokens achieve — an intuitive and scalable level of interoperability, enabling liquidity to flow across different blockchains. This cross-chain liquidity will be the catalyst that drives DeFi adoption,” pToken wrote.
Hong Kong-based crypto exchange Bitfinex is also reportedly intending to list pBTC on its exchange soon.
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