I’ve been thinking about why Trustless Bitcoin Vaults might actually matter to institutions, and man, the segregated part is what stands out the most.
Most Bitcoin that shows up in DeFi today is wrapped or bridged. That usually means the BTC is pooled, can be rehypothecated, and sits behind some form of custody or multi-sig arrangement. For a lot of larger holders and institutions, that creates real friction not just counterparty risk, but also questions around how “native” the exposure really ...