Hermetica expands Bitcoin-backed stablecoin USDh to Stacks L2

Bitcoin-backed stablecoin USDh launches on Stacks L2, providing new DeFi choices.

Hermetica has expanded its Bitcoin-backed stablecoin, USDh, to the Stacks (STX) Layer 2 community, marking an vital step for Bitcoin-based decentralized finance.

The transfer will permit customers to carry USDh, a stablecoin pegged to the US greenback and absolutely backed by Bitcoin (BTC), whereas incomes returns of as much as 25%, in keeping with a press launch shared with crypto.information.

Not like typical stablecoins which might be backed by fiat reserves in banks, USDh is absolutely pegged to Bitcoin. This enables Bitcoin customers to earn yield and transact in {dollars} with out leaving the Bitcoin ecosystem.

USDh

USDh first gained traction at Bitcoin’s Layer 1 4 months in the past and shortly attracted $2 million in Whole Worth Locked, demonstrating robust demand for Bitcoin-backed stablecoins. By increasing to Stacks, a Bitcoin L2, Hermetica goals to faucet into a bigger DeFi person base whereas retaining Bitcoin’s safety features.

Just lately upgraded to supply quicker block instances, Stacks is a perfect platform for USDh development.

Main decentralized exchanges, comparable to Bitflow Finance, Velar and Zest Protocol, combine USDh, enhancing its use within the ecosystem. This launch goals to unlock Bitcoin’s untapped potential, giving holders entry to stablecoin liquidity with out leaving the Bitcoin atmosphere.

With only one% of Bitcoin’s $1.3 trillion market cap concerned in DeFi, USDh can bridge the hole between Bitcoin’s worth and the rising DeFi market.