Hersham, UK, June 28, 2024, Chainwire
Elastos partners with BEVM for native peer-to-peer lending. Partnership aims to unlock up to $1.3 trillion in latent Layer 1 value as US consumers get excited about Bitcoin’s third era
AstuteWeb ecosystem provider Elastos has announced a partnership with L2 provider BEVM to develop a Bitcoin-denominated peer-to-peer lending offering around the former’s BeL2 protocol. Together, the companies believe they can unlock up to $1.3 trillion in dormant Layer 1 Bitcoin value, a move that’s supported by data from Elastos’ latest Bitcoin Innovation & Trust (BIT) Index, suggesting that more than two-thirds of tech-savvy U.S. consumers are comfortable using Bitcoin.
80% of assets secured while the Bitcoin layer remains intact
Elastos believes that momentum is building around Bitcoin Era 3, when users will be able to make transactions using native Bitcoin. Partnering with BEVM to develop this Bitcoin Native lending product will allow users to collateralize up to 80% of their assets in exchange for L2 credit (such as stablecoins) based on terms specified in a Bitcoin-backed astute contract. The integrity of the currency is ensured by BeL2’s unique ZK-resistant process, meaning that the Bitcoin layer remains intact as the process can be completed without bridging, wrapping, or otherwise interfering with the Bitcoin layer. This preserves the integrity of the currency and avoids network congestion and additional fees that would otherwise arise. This approach allows Elastos and BEVM to deliver a truly peer-to-peer lending product that is completely direct and anonymous. Verification (potentially via a third-party service) and the resulting costs/delays will only be required in the event of a dispute between the two parties.
“The BeL2 protocol perfectly embodies the essence of BEVM; developing and supporting EVM compliant DApps that can run in the ecosystem to run on Bitcoin L2. The loan offer is a perfect illustration of how such services can revolutionize the financial sector” – Hakan Sezikli, co-founder of BEVM Foundation.
Enabling Insight Through BTC Oracle (NYSE:)
Launched in December 23, the Elastos Layer2 (BeL2) Bitcoin Protocol is a Layer 2 solution for Bitcoin, enabling multiple functionalities, such as staking and smart contracts, to be denominated directly in the world’s most popular digital currency. BEVM will work with Elastos’ BeL2 protocol to provide a BTC Oracle to monitor and analyze all Bitcoin-based activity in real time. Because the BeL2 protocol allows Bitcoin users to manage any relationship with the currency – from staking (“interest”) to complicated multi-party agreements via astute contracts – the BTC Oracle will potentially become a significant source of insight into how the currency is being used.
Tech-savvy American consumers trust Bitcoin
The partnership comes as recent data from Elastos’ Bitcoin Innovation & Trust (BIT) Index shows growing interest in Bitcoin among tech-savvy U.S. consumers. 63% of “tech-savvy” consumers are “completely comfortable” or even “excited” about Bitcoin transactions, and more than half of U.S. respondents exploit Bitcoin at least once a month. Use cases include:
- 44% have already used Bitcoin to store savings
- 42% used digital currency for online purchases
- 34% send/receive money from abroad
- 23% exploit it to mitigate the effects of inflation
- 15% exploit it to reduce banking costs
Survey respondents also said they trust Bitcoin as much as online banking or cash to protect their savings:
- 24% of US respondents would place the most trust in Bitcoin
- This compares to 25% who trust online banks the most
- 23% of people trust cash
“This data shows that we are reaching a tipping point in the understanding and acceptance of cryptocurrencies among early adopters in the US, reflecting the global trend toward a third era of Bitcoin,” said Rong Chen, co-founder, Elastos. “We are on the cusp of Bitcoin ushering in a new era of commerce, where users are responsible for their data and no longer beholden to Web 2 tech giants. This data shows that there is still much work to be done to encourage broader Bitcoin adoption in the US, but at Elastos, our mission is to develop technologies that make it easier to interact and transact with Bitcoin.
The BIT Barometer also revealed that a significant proportion of voters are uncomfortable with Web2 data sharing requirements. Globally and in the US, one in three people (31%) described themselves as “uncomfortable” or “not at all uncomfortable” with being required to share personal information in order to send messages or make transactions on Web2 social media.
About Elastos
Elastos is a public blockchain project that integrates blockchain technology with a set of redesigned platform components to create a state-of-the-art internet infrastructure that provides intrinsic privacy and ownership protection for digital assets. The mission is to build accessible, open services for the world so that developers can build an internet where individuals own and control their data.
The Elastos AstuteWeb platform enables organizations to recalibrate their Internet performance to better control their own data.
https://www.linkedin.com/company/elastosinfo/
Elastos’ BIT (Bitcoin; innovation and trust) index methodology
Data was collected from over 1,400 self-identified “tech-savvy” respondents from 7 countries around the world. The study was based on online interviews conducted in Brazil, Germany, Nigeria, South Korea, the United Arab Emirates, the United Kingdom and the United States. Interviews were conducted by an independent, registered market research company and were completed between March 30 and April 4 ’24.
About BEVM
BEVM is the first fully decentralized, EVM-compliant Bitcoin L2 that uses BTC as Gas. It enables all DApps that can run on the Ethereum ecosystem to run on Bitcoin L2.
www.bevm.io
contactContact with the mediaRoger DarashahElastosroger.darashah@elastoselavation.org
