Zest Protocol has rolled out a mainnet demo that lets users post native Bitcoin as collateral and borrow USDC on Ethereum without wrapping or bridging their BTC. The setup uses a self-custodied Taproot vault on Bitcoin, while smart contracts on Ethereum handle the lending flow. Zest said the bitcoin deposited into the system remains native BTC rather than being turned into another token representation on Ethereum. For now, the release is limited to a demonstration environment rather than an unrestricted production launch, with collateral capped at 0.001 BTC per wallet. The project also said its architecture is designed around BitVM-based verification, which it says could eventually allow lending events on Ethereum to be verified on Bitcoin. The update was cited by Techub, referencing Bitcoinist.
Zest Protocol has launched a mainnet demo that allows users to use native Bitcoin as collateral to borrow USDC on Ethereum, without bridging or wrapping their BTC, according to Techub News, citing Bitcoinist.
The system is built around a self-custodied Taproot vault on Bitcoin. After users deposit native BTC, smart contracts on Ethereum handle the USDC lending process. The bitcoin itself is not wrapped into another token and is not bridged to Ethereum.
Demo stage comes with a wallet cap
Zest said the release is still in a demonstration phase and is not an unrestricted production deployment. At this stage, collateral is capped at 0.001 BTC per wallet.
Architecture is designed around BitVM verification
The project also said its architecture is built around BitVM verification. In the future, that design may allow lending events that occur on Ethereum to be verified on Bitcoin.
This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan. Disclaimer:
The market information, project data, and third-party content displayed on this platform are for industry information sharing only and do not constitute any form of investment advice or return commitment.
Cryptocurrency trading carries high risks. Users should fully assess their risk tolerance and make independent decisions. All profits, losses, and legal responsibilities are borne by the users themselves.
