Bitfinity Network launches Bitcoin L2 with $12M backing

Bitfinity Network, a new Bitcoin layer-2 (L2) solution, has launched with $12 million in funding to create Ethereum Virtual Machine (EVM)-compatible decentralized finance (DeFi) functionality for Bitcoin.

The project acquired support from institutional investors like Polychain and ParaFi earlier in 2024, alongside $5 million in over-the-counter (OTC) token sales — primarily contributed by the community. 

A news release shared with Cointelegraph said that the Bitcoin L2 will utilize Internet Computer Protocol’s (ICP) Chain Fusion Technology to enable Bitcoin-native assets “to operate in an Ethereum-compatible ecosystem.”

After the price of BTC recently broke $92,000 and interest in the asset’s utility grows beyond a store of value, fresh L2 solutions are opening new avenues for Bitcoin (BTC).

Related: OP_CAT could go live on Bitcoin within 12 months: Eli Ben Sasson

Backing from investors

The funding round included $7 million from notable backers, including Polychain’s Beacon Fund, ParaFi, Draft Ventures and Warburg Serres, among others.

Supported by grassroots contributors and crypto influencers, the additional $5 million raised mainly through the community will help drive the adoption and development of the Bitfinity Network platform.

A spokesperson from Bitfinity told Cointelegraph, “With institutional ETFs on the horizon and a new regime marking Bitcoin more accessible to institutions,” the platform is seeing a shift in dynamics.

“At Bitfinity, we’re […] pioneering a side-chain infrastructure layer to boost scalability, unlock cross-chain functionality, and broaden Bitcoin’s applications.”

Related: Internet Computer crosschain protocol usage up 13x amid Bitcoin DeFi boom

Security improvements and DApp hosting plans

A Bitfinity spokesperson told Cointelegraph that the security of its L2 network is reinforced with “a robust proof-of-stake protocol leveraging Chain-Key technology.”

“Chain-Key supports large signing committees capable of handling Bitcoin Schnorr and ECDSA transactions, offering stronger security than traditional multi-sigs used by most L2s.”

The spokesperson said the…

..

Source

Recommended For You

Leave a Reply

Your email address will not be published. Required fields are marked *

Social Media Auto Publish Powered By : XYZScripts.com