Bitlayer and Sui Achieve BTCFi Milestone with First Trust-Minimized BitVM Bridge Implementation

Peg-BTC (YBTC) bridges native Bitcoin into Sui’s high-speed ecosystem via BitVM Bridge, unlocking novel DeFi use cases for BTC holders.

Singapore, May 15, 2025 – Bitlayer, a leading team pioneering the first BitVM implementation, and Sui, the only blockchain built for mass adoption, today announced the integration of the BitVM bridge and the upcoming launch of Peg-BTC (YBTC) on Sui. The new Bitcoin-backed asset will bring BTC into the Sui ecosystem through BitVM Bridge, a trust-minimized bridge powered by Bitlayer and underpinned by the advanced BitVM smart contract framework.

With trillions dollars in market capitalization and accelerating institutional adoption, Bitcoin is poised to become a cornerstone of cross-chain DeFi innovation. With Peg-BTC (YBTC) soon to go live, Sui will offer another leading option for Bitcoin holders to increase the utility of their BTC beyond a store of value.

“Bitcoin’s dominance as a store of value is unmatched, but its utility in DeFi remains untapped. By integrating Bitcoin’s liquidity into Sui’s ecosystem, Peg-BTC (YBTC) empowers users to earn yield while maintaining direct exposure to BTC’s value—a paradigm shift for BTCFi,” said Charlie Hu, Co-Founder of Bitlayer.

Peg-BTC (YBTC): Transforming Bitcoin into a Productive Asset on Sui

BitVM represents a transformative step in expanding Bitcoin’s capabilities beyond its primary use as a digital currency. Based on the revolutionary BitVM paradigm, which expresses Turing-complete Bitcoin contracts, using an optimistic validation scheme, Peg-BTC (YBTC) enables Bitcoin holders to mint a Sui-native representation of BTC in a trust-minimized way. Peg-BTC (YBTC) unlocks access to Sui’s rapidly growing decentralized finance landscape—including staking, lending, and liquidity provisioning, etc.

“Bitcoin DeFi is soaring on Sui, thanks to incredible innovations from partners like Bitlayer that add to the ecosystem’s deep pool of offerings and empower Bitcoin holders to generate more value from their BTC,” said Adeniyi Abiodun, Co-Founder and CPO at Mysten Labs, the original contributor to Sui. “It’s exciting to see how quickly the Sui community is adopting BTCfi and capitalizing on these opportunities.”

Peg-BTC (YBTC) holders can soon engage in the following DeFi activities:

• Stake: Staking Peg-BTC (YBTC) and earning yield in various BTC staking protocols.

• Lend & Borrow: Earn yield by supplying Peg-BTC (YBTC) to lending markets or use it as collateral for loans.

• Trade & Earn: Swap Peg-BTC (YBTC) on leading DEXs on Sui and earn fees by providing liquidity to Peg-BTC (YBTC) pairs.

• Boosted Incentives: Access exclusive campaigns offering additional yield rewards for early adopters.

Peg-BTC (YBTC), as the bridge’s native representation of Bitcoin, seamlessly integrates with the Sui DeFi ecosystem. The implementation workflow is illustrated below:

Expanding Bitcoin’s Multi-Chain Future

Unlike traditional custodial bridges, BitVM Bridge eliminates centralized intermediaries, enabling trust-minimized transfers of BTC into Sui’s ecosystem while preserving decentralization. The integration with Sui is another step forward in the adoption of BitVM Bridge, following its expansion to major chains including Base, Starknet, Arbitrum, Sonic, Cardano, and Plume Network.

Bitlayer will drive cross-chain interoperability initiatives to integrate Bitcoin-backed assets across additional ecosystems, supported by partnerships with top-tier DeFi protocols. A detailed roster of collaborators and upcoming BTCFi integrations will be announced in the coming months.

About Sui

Sui is a first-of-its-kind Layer 1 blockchain and smart contract platform designed from the ground up to make digital asset ownership fast, private, secure, and accessible to everyone. Its object-centric model, based on the Move programming language, enables parallel execution, sub-second finality, and rich on-chain assets. With horizontally scalable processing and storage, Sui supports a wide range of applications with unrivaled speed at low cost. Sui is a step-function advancement in blockchain and a platform on which creators and developers can build amazing user-friendly experiences.

For more information about Sui, please visit https://sui.io.

Contact: [email protected]

About Bitlayer

Bitlayer is pioneering the first BitVM implementation. By merging unparalleled security with a lightning-fast smart contract engine, Bitlayer unlocks the full potential of Bitcoin DeFi. Bitlayer is committed to an open and collaborative Bitcoin DeFi ecosystem, working with partners to advance BTC Bridge, Bitcoin Layer 2 and BitVM stack, driving the future of secure, scalable, and programmable Bitcoin finance.

For more information about Bitlayer, please visit https://www.bitlayer.org/.

Contact: [email protected]