Bitcoin, Ethereum on a single DeFi layer? Starknet’s new plan, revealed

• Starknet has unveiled plans to decide on Bitcoin and Ethereum.
• Crypto VC Companion believes that BTC Defi has huge progress potential.

Starknet [STRK] tries to unite and provide a settlement Bitcoin [BTC] And Ethereum [ETH]A primary of its type if that is achieved this 12 months. A part of his assertion read”

“Starknet would be the first L2 to decide on each Bitcoin and Ethereum, in order that the 2 largest blockchain ecosystems are delivered to a single layer, unlock new Defi possibilities and extra liquidity.”

The ETH L2 scale answer added that it is without doubt one of the least expensive L2s and convey low cost transactions to unlock the BTC deficiency potential.

Because of this, it might place itself as BTCs ‘model layer’ for Defi actions reminiscent of loans, borrowing, utilizing, and so forth.

BTC Defi Potential

Nonetheless, observe that there are different BTC scale options, together with piles, lightning community, BitVM and Bitcoinos. From the start of 2025, BTC TVL (whole worth locked) was round 68k BTC or $ 5.3 billion on its Defi.

The TVL reached a report excessive of 73.2k BTC in January 2025. For comparability, that was a comparatively small 4K BTC lower in Q1 2025.

When he was zoomed out from final December, BTC Defi TVL grew from 48k BTC to almost 70k BTC, which translated into 43% progress.

It strengthened the boldness of buyers in BTC Defi, which was presently dominated by means of Platforms Babylon, Lombard, SOLVBTC and cost supplier Lightning Community.

Supply: Defillama

Apparently, the elevated curiosity in BTC Defi may broaden the TV even additional.

In keeping with Dan Held, a crypto VC at asymmetrical and BTC Defi investor, the sector has the most important unused potential and may explode to a market measurement of $ 300 trillion. He mentioned,

“If Defi could possibly be unlocked on Bitcoin, this is able to be by far the best probability that ever would occur in Crypto.”

On the Starknet replace, held as ‘big’ for BTC Defi progress and Mindshare.

Held in a separate interview with the availability shock podcast projected That BTC Defi progress may eat the market share of Ethereum and Solana.

“I believe what’s going to occur is that this merely absorbs the market share significantly from the opposite, however not completely, and that this will increase the dominance of Bitcoin.”

Within the meantime, Starknet is planning to make use of federal bridges to deliver Bitcoin activa to its platform whereas ready for_cat, a comfortable fork that goals to enhance the sensible contract capability of the Bitcoin community.

It’s nonetheless to be seen how the Defi -Renaissance would drip till the worth of BTC on worth charts.