The launch of tBTC on Starknet marks a significant event for the crypto community, enabling users to interact more effectively with Bitcoin within decentralized finance.
What is tBTC and Starknet
tBTC is a protocol that allows users to transform Bitcoin into functional DeFi capital on Starknet while retaining full control over their assets. Users can now mint tBTC directly through the Threshold interface, avoiding the need for third parties.
The Economics of tBTC: New Opportunities
tBTC offers users low transaction fees of $0.01 compared to current higher costs associated with Bitcoin, making complex DeFi operations economically viable. The average confirmation time on Starknet is just a few seconds, while on Bitcoin, it can take 10 to 60 minutes. According to **MacLane Wilkison**, co-founder of Threshold Labs: "BTC on the Bitcoin mainnet is like gold bars in a vault: valuable but unusable."
The Future of tBTC and Starknet
With the launch of tBTC on Starknet, Threshold Network is building the foundation for a Bitcoin-Ethereum economy within a scalable, zero-knowledge environment. Various DeFi protocol integrations are expected, including DEX trading and lending, allowing users to use Bitcoin as collateral without selling.
tBTC on Starknet creates new opportunities for Bitcoin users by simplifying access to DeFi and significantly reducing transaction costs. This opens prospects for expanding Bitcoin's utility beyond passive holding.
