I keep thinking been sitting on my BTC for years...
thinking its only job was to just... sit there.
no yield, no utility, just hold and wait.
started looking into @BabylonLabs_io this week and ngl it messed with that assumption a bit.
what it actually does..
lets native BTC get staked without wrapping it into some synthetic version now building Trustless Bitcoin Vaults (TBV)
so BTC can be used as real collateral BTC stays locked on the Bitcoin chain itself...
In a taproot scriptT...
Not bridged anywhere zk proofs handle the verification between bitcoin ...
N whatever chain ur borrowing on....
my old take was simple ....
u wrap it if u want it to "do stuff" in defi...
N wrapping always felt like giving up the whole point of holding bitcoin in the first place.
the deeper i went tho...
the more i realized the wrapping .....
bridging step was never actually necessary...
it was just the only option anyone had built.
first real use case showing up is on Aave v4.
borrowing usdc / usdt directly against BTC that never leaves its own chain.
no custodian holding it for u. so if native BTC can actually act as collateral without giving up self custody.... what was the wrapping ever really for ???
curious if anyone else has been deep into TBV yet or if im late to this $BABY $BTC $VIC