From Ethereum to Bitcoin DeFi: The Building Opportunity Developers Can’t Ignore

If you’ve spent any time in crypto over the last decade, you already know the Ethereum DeFi playbook by heart.  Smart contracts revolutionized finance, protocols like Uniswap and Aave built unstoppable momentum, and Ethereum developers became the architects of a new financial system.

Now, imagine building at the ground level of that movement before it became mainstream.  That’s exactly where Bitcoin DeFi (BTCFi) is today, and developers who recognize the opportunity now will have the same first-mover advantage that early Ethereum builders had in 2018 - 2020.

But let’s be honest, building on Bitcoin has always been a nightmare. The infrastructure is clunky, developer tooling is nonexistent, and historically, scaling anything beyond basic transactions has been an exercise in frustration.

That’s changing, fast.

What is BTCFi, and Why Should You Care?

Bitcoin’s leading market cap (now nearly $2T) has always made it the holy grail of DeFi liquidity.  The only problem? You couldn’t actually do anything with it.  Unlike Ethereum, Bitcoin wasn’t designed for smart contracts, which meant its economic gravity remained untapped.  That’s no longer the case.

New infrastructure - Bitcoin Layer 2s, rollups, and staking protocols are finally unlocking Bitcoin’s potential as a programmable asset.  We’re talking about yield opportunities, lending markets, native Bitcoin staking, and tokenized Bitcoin for DeFi. BTCFi isn’t theoretical anymore, it’s already happening.

Here’s the reality:

• Ethereum devs dominated DeFi because they had the best infrastructure.
• BTCFi will only thrive if builders have the right tools.

Providing the right infrastructure tools is exactly what Asphere BSI is here to solve.

The BTCFi Landscape: Who’s Building What?

Right now, BTCFi is exploding with activity, and it’s happening in two major categories:

1. Infrastructure, Layer 2s, and Developer Platforms

These are the backbone of BTCFi, the networks enabling smart contracts, scalability, and staking for Bitcoin. If Ethereum DeFi was built on L2s, rollups, and staking protocols, BTCFi needs the same.

Some of the most important projects in this space include:

• Babylon – Bitcoin staking for Proof-of-Stake chains.
• Bitlayer – First Bitcoin L2 based on BitVM.
• BOB – A hybrid rollup bringing EVM compatibility to Bitcoin.
• Botanix – EVM-compatible Bitcoin L2.
• Chakra – Settlement & bridging network for BTC.
• Lightning – Allows instant BTC payments for everyday utility.
• SatLayer – A Bitcoin-shared security protocol.
• Stacks – One of the earliest and most famous Bitcoin L2s.
• Starkware – New entrants making Bitcoin more programmable.

2. BTCFi Applications: Where the Money Flows

Once the infrastructure is in place, BTCFi needs liquidity and applications. This is where new financial primitives are emerging:

• BTC-backed stablecoins (FBTC, IBTC)
• DeFi products (Corn, Etherfi)
• Liquid Staking & Bitcoin DeFi integrations (Lombard, Nomi Solv, Pump)
• Cross-chain liquidity bridges (Osmosis, Fiama)

The Infrastructure Gap: Why BTCFi Needs BSI

Ethereum developers have had the privilege of infrastructure consistently being available.  Everything from RPC access to data indexing to liquid staking infrastructure has been battle-tested and readily available.  BTCFi?  Not so much.

Right now, developers struggle to get reliable infrastructure for Bitcoin-based apps. Here’s what’s missing:

• Scalable RPCs & full node access for Bitcoin L2s.
• Data indexing & APIs for querying Bitcoin-based smart contract data.
• Secure staking infrastructure for new BTCFi protocols.
• Reliable infrastructure support for rollups and sidechains.

This is where Asphere BSI comes in.

BSI is designed to provide Ethereum-quality infrastructure for Bitcoin developers, meaning if you’re building on BTCFi, you’ll have the same level of infra support that Ethereum DeFi projects have relied on for years.

Explore BSI solutions →

Why Ethereum Devs Should Pay Attention to BTCFi

Let’s be blunt: The biggest money in crypto still sits in Bitcoin.

For years, Ethereum DeFi builders ignored Bitcoin because it lacked smart contract functionality.  But with new L2s, rollups, and staking protocols, the Bitcoin economy is about to be unlocked, and the builders who get in now will be at the forefront of this next wave.

If you missed out on Ethereum DeFi’s early days, BTCFi is your second chance.  And if you’re serious about building in BTCFi, Asphere BSI is here to make sure you have the best infrastructure available.

Final Thoughts: BTCFi is Happening. Are You Ready?

BTCFi isn’t just a buzzword, it’s a fundamental shift in how Bitcoin is used.

The infrastructure is coming online, the first wave of applications is launching, and the smartest developers are already making the move.

If you’re an Ethereum builder looking for a new frontier, BTCFi is where the opportunity is right now. And Asphere BSI is here to make sure you have everything you need to build.

Start building any project on Bitcoin →

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