According to Cryptotimes, Cardano founder Charles Hoskinson has launched the first Bitcoin DeFi protocol, Cardinal, on Cardano. This protocol utilizes MuSig2 multi signature technology to achieve non custodial cross chain support, allowing users to directly participate in Cardano on chain lending and staking operations using Bitcoin UTXO, while also being compatible with Ordinals inscriptions as collateral. The technical solution includes a BitVMX off chain verification system and supports interaction with public chains such as Ethereum and Solana.
Cardano Chief Technology Officer Romain Pellerin stated that the protocol will integrate zero knowledge proof technology to enhance liquidity in the future. This is the first solution that allows Bitcoin to be integrated into the Cardano ecosystem without the need for custody. Users can trade Bitcoin assets through decentralized exchanges such as Minswap.
