The Rapidly Expanding Cosmos of Bitcoin Secured Infrastructure
Kevin Dwyer
November 26, 2024
5 min read
When the concept of shared security took off in the blockchain space, it had two massive new implications:
- Blockchains could use staked assets from another chain to secure theirs – making it substantially easier to launch new networks.
- Stakers could gain exposure to rewards from multiple chains using the same capital.
Both of these advantages have opened up huge opportunities for developers and crypto users alike. Ethereum was the first ecosystem to popularize shared security. But this year, the Babylon protocol began the process of unlocking Bitcoin's $2T market cap to secure every PoS network that wants to integrate instant crypto-economic security with staked BTC.
This development will change the entire blockchain ecosystem in unforeseeable ways. However, there are some immediately evident benefits for developers that are priming crypto for an explosion of Bitcoin Secured Networks (BSNs).
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What is Bitcoin Secured Infrastructure?
Bitcoin Secured Infrastructure is the name of Asphere’s solution for creating custom Bitcoin Secured Networks and Services for clients (Asphere is the enterprise-level service company from the team behind Ankr). These are Layer 1 or Layer 2 blockchains built with the vital integration of the Babylon protocol that enables shared security with Bitcoin. The new name is a shift from our previous “BTC L2” naming, which didn’t account for the creation of L1s and other possibilities such as services.
Asphere has created BSNs-in-a-box by integrating its infrastructure with Babylon to give developers the ability to build new chains secured by BTC staking. Babylon is a Cosmos SDK chain that allows Bitcoin holders to stake their BTC to secure other blockchains and protocols.
By leveraging the security and decentralization of Bitcoin, Asphere and Babylon can enhance the security of a variety of networks, including:
- Layer 1 and Layer 2 blockchains: Bitcoin Secured Infrastructure can be employed to secure new chains in a variety of ecosystems like Ethereum, Cosmos, and even Solana. Please note that the initial version of the service supports Cosmos as we extend support to other networks.
- DA Layers: Proof of Stake Data Availability layers can harness Babylon to instantly amplify their security posture with the vast pool of BTC to deter attacks.
- Sequencers: Sequencer platforms like Espresso Network can integrate with Babylon as Bitcoin Secured Infrastructure as a stronger foundation for L2 networks.
- Data storage and oracles: Networks like Filecoin and Chainlink can secure their data and oracle feeds, creating a layer of safety and reliability for protocols that rely on them.
- DePIN & IoT networks: Networks in the DePIN space like IoTeX can benefit from Babylon's security to protect their network nodes and data.
Key Elements of Bitcoin Secured Infrastructure
BTC Staking: Bitcoin staking, facilitated by the Babylon protocol integration, offers enhanced security, increased trust, improved performance, access to a massive BTC user base, and innovative financial opportunities for developers building new blockchains. Notably, Babylon's Bitcoin staking protocol is completely self-custodial and does not utilize bridges or wrapped/synthetic BTC. Stakers stake native BTC via their own Bitcoin wallet and do not give up custody of their BTC when doing so.
Bitcoin Timestamping: By anchoring critical blockchain data onto the Bitcoin blockchain, developers can significantly bolster the security of their networks. This provides a robust defense against attacks and vulnerabilities to PoS chains that could compromise their integrity.
Some Core Benefits of BSI
- Secure Your Chain or Service With 21M Available BTC. Launch bespoke Chains or Services with bootstrapped network security and liquidity by leveraging the $2T market cap securing the Bitcoin network.
- Achieve the Fastest Possible Finality. Create applications with high-speed finality perfect for DeFi, payments, or gaming, thanks to Babylon’s ultra-fast Finality Provider network.
- Activate Bitcoin Holders. Babylon enables BTC holders to gain rights to validate PoS chains and earn yields while also providing fast unbonding and scalable restaking.
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Why Choose Asphere To Build a Bitcoin Secured Chain or Service?
As the first service of its kind for building Bitcoin Secured Infrastructure, Asphere is the only team only team providing a BSN-in-a-box solution. However, our track record as a RaaS and infrastructure provider is second to none.
- Complete Chain Creation & Maintenance: Asphere’s full suite of services, provided as needed, include customization, engineering, deployment, and ongoing maintenance of your blockchain.
- Modular Scaling Stack: Unlock the power of protocols and stacks like Babylon, WitnessChain, Cosmos SDK, Arbitrum Orbit, OP Stack, Polygon CDK, and ZKStack through Asphere's Modular Scaling Stack with over 15 integrations.
- Industry-Leading Node Ops: Enhance the performance and decentralization of your chain or service with Asphere's DePIN node operations.
- Strongest Decentralization: Asphere dramatically reduces centralization and censorship risks with trustless decentralization included in Bitcoin Secured Networks.
What Integrations Are Needed For Bitcoin Secured Networks?
Cosmos SDK: The Cosmos SDK provides a modular toolkit that allows developers to create independent blockchains that can interoperate with each other, forming a network of interconnected blockchains. This interoperability enables seamless communication and value transfer between different blockchains, fostering a more interconnected and efficient decentralized ecosystem.
IBC: The Inter-Blockchain Communication (IBC) protocol enables seamless communication and value transfer between independent blockchains within the Cosmos ecosystem. This interoperability allows different blockchains to share information and assets, creating a more interconnected and efficient decentralized network.
Babylon BTC Staking Protocol: Babylon enables new blockchains and services to use Bitcoin as a staking asset to enjoy more robust crypto-economic security than native tokens can provide. As a result, PoS systems will be able to utilize Babylon’s trustless scalable staking features to unlock value from the idle, unencumbered $1 trillion Bitcoin ecosystem. Babylon’s BTC staking protocol enables BTC stakers to trustlessly stake and restake their BTC on the Bitcoin blockchain.
What Chains Are Currently Building Bitcoin Secured Infrastructure?
The above Cosmos ecosystem chains are integrating Babylon plus newly announced chains like Corn, Kava, Pell Network, and many more. See the full Babylon ecosystem.
Final Thoughts
By reusing the immense power and security of Bitcoin, devs can now construct extremely safe, reliable, and scalable networks with a ripple effect across protocols from decentralized finance to Internet of Things applications. As more projects integrate, we can anticipate a future where Bitcoin increasingly secures the internet of the future.
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