Starknet announced plans to become the first Layer 2 network to operate on both Bitcoin and Ethereum, aiming to unify these two largest blockchain ecosystems.
Bridging Bitcoin and Ethereum: A New Vision
Bitcoin is often perceived as digital gold, primarily used for value storage. Starknet aims to change that dynamic by introducing scalability, smart contracts, and lower fees, enabling Bitcoin to support a range of DeFi activities.
Current Challenges of Bitcoin
Despite its dominance, Bitcoin faces limitations that hinder its broader adoption in DeFi, including limited functionality, security risks, and high fees.
Starknet's Plans to Address Issues
Starknet will offer Bitcoin features like Layer 2 scaling, STARK proofs, and low-cost transactions, allowing developers to build DeFi applications on Bitcoin.
Starknet's integration with Bitcoin and Ethereum opens new prospects for DeFi and blockchain ecosystems, providing more secure and scalable solutions.
