The founder of Cardano launches the Bitcoin DeFi protocol Cardinal on Cardano

ChainCatcher news, according to Cryptotimes, Cardano founder Charles Hoskinson has launched the first Bitcoin DeFi protocol Cardinal on Cardano. The protocol enables non-custodial cross-chain transactions through MuSig2 multi-signature technology, allowing users to directly use Bitcoin UTXO to participate in lending and staking operations on the Cardano blockchain, while also being compatible with Ordinals inscriptions as collateral. The technical solution includes the BitVMX off-chain verification system and supports interaction with public chains such as Ethereum and Solana.

Cardano's Chief Technology Officer Romain Pellerin stated that the protocol will later integrate zero-knowledge proof technology to enhance liquidity. This is the first solution that allows Bitcoin to access the Cardano ecosystem without custody, enabling users to trade Bitcoin assets through decentralized exchanges like Minswap.