Interlay, a network that isn’t controlled by one central authority, launched a new platform on Wednesday. It’s supposed to be a place where you can do everything related to using Bitcoin for decentralized finance (DeFi).
The platform has two main parts: a decentralized exchange and a lending system. These are connected to Interlay’s existing DeFi bridge, which links different blockchains. This bridge uses the InterBTC (iBTC) token. Wrapped tokens are like pretend versions of cryptocurrencies that are not originally from the blockchains they are on.
Interlay is creating a new place for people to trade bitcoin without using a big exchange. This is because some big bitcoin exchanges like LocalBitcoins and Paxful closed down earlier this year. Also, two other big exchanges, Binance and Coinbase, are having problems because of the U. S government Lawsuits from the SEC are focusing on two centralized platforms.
Interlay CEO and Co-founder Alexei Zamyatin said that LocalBitcoins shut down and Paxful had problems in an interview with CoinDesk. “We want to make bitcoin do more things and compete with big exchanges. ”
The person who graduated with a PhD in computer science at 30 years old says the new platform is a mix of Uniswap, a well-liked decentralized exchange, and Aave and Compound, which are open-source protocols for lending and providing money.
The hub includes more than just bitcoin. It also has tether, polkadot, and Interlay’s governance token. Portable tokens that represent staked cryptocurrencies are going to be available soon, and assets from Ethereum and Cosmos may also be available by the end of the year.
This wide variety of tokens may annoy some people who are really into Bitcoin, but Zamyatin says it’s important in making Bitcoin accessible to one billion people.
“Financial freedom means different things to different people,” Zamyatin said in simple words. “For some people, it means they can protect themselves from government-issued currency by buying bitcoin and keeping it. But not everyone makes enough money or has enough savings to do this as an investment. ” Many people around the world see bitcoin as a way to use the financial system.