At the end of last month, the public chain Cardano, which transitioned to Bitcoin L2, predicted that Bitcoin DeFi would lead the entire crypto DeFi track in 2-3 years. Its co-founder, Charles Hoskinson, even bolder predicted that the price of Bitcoin would skyrocket to $250,000 to $500,000 within 1-2 years.
Cardano announced at the end of October that it would integrate the Bitcoin Rollup protocol BitcoinOS and transition to Bitcoin L2. The goal is to release up to $1.3 trillion in Bitcoin liquidity for its ecosystem, allowing users to transfer Bitcoin to the Cardano ecosystem for decentralized finance (DeFi) and other applications without trust through BitcoinOS’s Grail bridge.
According to Cointelegraph, Charles Hoskinson, co-founder of Cardano, stated in a personal YouTube live stream on Wednesday (11/27) that he believes the Bitcoin DeFi in the Bitcoin ecosystem has enormous potential and will lead the entire crypto DeFi track in the future, surpassing Ethereum and Solana.
“The DeFi in the Bitcoin ecosystem will surpass the DeFi in all other ecosystems in the cryptocurrency industry within 24 to 36 months, and this is only because of scale and liquidity.”
As an early enthusiast of Bitcoin, he has always criticized the technical limitations of Bitcoin that hinder the development of diversified application scenarios. That is why he chose to develop his own L1 blockchain, Cardano. However, with the rapid development of Bitcoin DeFi, he praised in the video:
“Bitcoin has transformed from a dormant giant that will never wake up from innovation coma into an awakened giant, with a scale four times that of Solana and Ethereum combined.”
Hoskinson also sees the plans of various governments to establish Bitcoin as a national strategic reserve as a huge catalyst for the value of Bitcoin. He boldly predicted that the price of Bitcoin would skyrocket to $250,000 to $500,000 within the next 12 to 24 months.
“I believe that due to investment inflows and the tremendous interest that has already been generated, Bitcoin will soar to $250,000 to $500,000 within the next 12 to 24 months.”
This will translate into a value growth ecosystem comparable to gold. Simply put, Bitcoin is a means of storing value on the Internet, and because it has a DeFi layer, it will continue to play this role in the foreseeable future.
Cardano also plans to actively participate in Bitcoin DeFi in the future, without the need to trade wrapped Bitcoin such as WBTC through centralized exchanges. Through the integration of BitcoinOS’s Grail bridge, Bitcoin users can transfer BTC to the Cardano ecosystem without relying on trusted third parties and can securely transfer assets between chains.
Hoskinson pointed out that Cardano ultimately wants to enable users to seamlessly bridge Bitcoin to Cardano by simply clicking a button to “activate DeFi.” They will then have Bitcoin in the form of a card packaged in the underlying layer, which can be used to participate in Cardano’s DeFi ecosystem, trade on decentralized exchanges, use yield-generating tools, and engage in decentralized lending. With just one click, users can convert their DeFi Bitcoin back to the Bitcoin network.
Cardano has previously expressed optimism about the demand for Bitcoin DeFi and pointed out that the circulating WBTC on Ethereum exceeds 147,000, with a total market value of about $9.75 billion, while the TVL of Cardano’s DeFi ecosystem is only about $225 million, indicating tremendous growth potential.
Cardano also sees itself playing a leading role in the Bitcoin renaissance era, and its native token ADA will benefit from the rise in value, whether it is for governance participation or gas payments. Riding on the overall crypto bull market ignited by Trump’s victory, Cardano (ADA) has surged by 190.7% since the end of October, from $0.35 to a high of $1.1 on the 23rd, and is currently trading at $1.04.