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crypto.news 2025-05-02 05:48:14

Sui to integrate sBTC and Stacks to power institutional-grade BTCfi

Sui is set to integrate sBTC and support the Stacks network, positioning Sui as a leading hub for institutional-grade Bitcoin decentralized finance. In a May 1 blog post , the Sui Foundation announced that it will integrate sBTC and support the Stacks ( STX ) network, expanding its Bitcoin ( BTC ) DeFi capabilities. sBTC is a Bitcoin-backed asset developed by Stacks, a Bitcoin layer-2, and allows users to use their BTC in DeFi without relying on centralized custodians. As part of the integration, Sui ( SUI ) will also operate a validator on the Stacks network. The goal is to unlock DeFi opportunities like lending, borrowing, and trading for BTC holders, on a high-performance chain built for scale. “For too long, BTC has been treated as a passive asset. sBTC on Sui means holders can earn yield, participate in DeFi, and stay true to Bitcoin’s trustless ethos—all on Sui, a blockchain built for performance and scale.” — Adeniyi Abiodun, Mysten Labs co-founder With more than $6.5 billion currently locked in Bitcoin DeFi protocols, demand for BTCfi is rapidly increasing. Sui offers a scalable execution layer, while sBTC offers a decentralized method of meeting this demand. Its object-based architecture and parallel transaction processing make it an attractive platform for building DeFi apps. You might also like: Why SUI may pull back before the next bullish expansion The integration comes as Sui sees accelerating growth in both DeFi activity and BTC adoption. Sui’s total value locked is up 50% in the past month, now at $1.8 billion. More than 10% of the network’s TVL now comes from BTC and Bitcoin-derived assets. Stablecoin inflows hit an all-time high of $888 million as of May 1, according to DeFiLlama data . On-chain analyst Torero Romero recently noted that nearly 29% of Ethereum ( ETH ) outflows bridged through Wormhole ( W ) over the past year has flowed into Sui. $SUI received 29% of Ethereum's outflows over the past 365 days (Wormhole Bridge). pic.twitter.com/pZcLwI7Qhg — ToreroRomero (@Torero_Romero) April 28, 2025 Institutional momentum is also building. Grayscale has launched SUI Trust to give accredited investors access to the ecosystem. Through a new partnership with xPortal and xMoney, SUI is also now usable across Europe via a Mastercard-enabled virtual card. sBTC on Sui could mark another important turning point, bringing Bitcoin’s $1.6 trillion in dormant capital into high-performance DeFi infrastructure. Read more: Tezos activates Rio upgrade, enhancing staking flexibility and L2 incentives

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