This is a big deal for Bitcoin, as it could bring new possibilities to both.
So, what is sBTC? It’s a new way to bring Bitcoin (BTC) onto the Stacks blockchain.
sBTC Launch: Testing Bitcoin with Smart Contracts
The goal is to make Bitcoin even more useful by allowing it to interact with other smart contracts on the Stacks network. This means Bitcoin can be used for things like decentralized apps (dApps), DeFi (decentralized finance), and more in a parallel chain.
The launch of the sBTC mainnet will happen in stages. At first, there will be “deposits-only,” meaning users can only send their Bitcoin to the Stacks network. There will also be a cap, or limit, on how much Bitcoin can be deposited. But as time goes on, the cap will be increased, and eventually, it will be removed completely. Once that happens, users will be able to withdraw their Bitcoin from Stacks back to the Bitcoin network.
sBTC testnet is already live âś…
sBTC mainnet on dec 16 🔥the plan is for a controlled launch: first with deposits-only and a reasonable cap, then keep increasing the BTC cap, remove cap, and open up withdrawals.
most imp upgrade for stacks.
the bitcoin must flow 🟧— muneeb.btc (@muneeb) November 30, 2024
Muneeb explained that this controlled launch is to ensure everything goes smoothly and safely. It’s like testing the waters before diving in. By starting with a smaller, controlled deposit, the team can make sure the system works correctly and there are no surprises. After that, they’ll gradually allow more users to participate.
Unlocking Bitcoin’s Potential with sBTC
Why is this important? Well, bringing Bitcoin to Stacks in this way opens up many exciting possibilities. Bitcoin is the most valuable and well-known cryptocurrency, but it doesn’t have the same capabilities as other blockchains like Ethereum when it comes to smart contracts. By using sBTC, Bitcoin holders can access the benefits of smart contracts and decentralized apps without giving up their Bitcoin.
The test version of #sBTC on @Stacks has been released. This test was conducted using the address provided by @muneeb . Thank you!https://t.co/vOlsaV7kr8
To begin testing, you need to switch the network on your @Ledger wallet to sBTC.
After making the switch, you can… pic.twitter.com/mRNRgI6BhC
— SIN ⚡ (@lSINlll) December 2, 2024
The move could also help bridge the gap between different blockchain ecosystems. Stacks, which is built on Bitcoin, has always aimed to make Bitcoin more powerful. With the sBTC mainnet, users can use Bitcoin for much more than just holding or transferring value. They can make it work for them in a whole new way.
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