At the end of last month, the public chain Cardano, which has transitioned to Bitcoin Layer 2 (L2), saw its co-founder Charles Hoskinson predict that Bitcoin DeFi will lead the entire crypto DeFi race within 2 to 3 years. He further boldly predicted that the price of Bitcoin will skyrocket to $250,000 to $500,000 within 1 to 2 years.
(Cardano announces transition to Bitcoin L2: Integrating BitcoinOS to release $1.3 trillion liquidity, will ADA benefit?)
(Supplementary background: Cardano founder: Bitcoin Layer 2 lacks potential, only uses BTC halving speculation)
At the end of October, the public chain Cardano announced the integration of the Bitcoin Rollup protocol BitcoinOS, transitioning to Bitcoin L2, with the goal of releasing up to $1.3 trillion in Bitcoin liquidity for its ecosystem. Through BitcoinOS’s Grail bridge, users can transfer Bitcoin to the Cardano ecosystem without trust and participate in decentralized finance (DeFi) and other diverse applications.
According to Cointelegraph, Charles Hoskinson, co-founder of Cardano, pointed out in a personal YouTube livestream on Wednesday (11/27) that he believes the Bitcoin DeFi ecosystem holds tremendous potential and will surpass the DeFi ecosystems of all other cryptocurrencies in the next 2 to 3 years, including Ethereum and Solana.
“The DeFi in the Bitcoin ecosystem will surpass the DeFi in all ecosystems in the cryptocurrency industry in 24 to 36 months, and this is only due to scale and liquidity.”
As an early Bitcoin enthusiast, he has always criticized the technical limitations of Bitcoin that hinder the development of diversified application scenarios, which is why he later chose to develop his own L1 blockchain, Cardano. However, with the rapid development of Bitcoin DeFi, he praised it in the video, saying:
“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.”
Cardano Founder: Bitcoin to reach $250,000 to $500,000 in 1 to 2 years
Hoskinson also sees the plans of various governments to establish Bitcoin as a strategic national reserve as a huge catalyst for the value of Bitcoin. He boldly predicts that the price of Bitcoin will skyrocket to $250,000 to $500,000 within the next 12 to 24 months.
“I believe that due to the influx of investments and the enormous interest generated, Bitcoin will surge to $250,000 to $500,000 in the next 12 to 24 months.”
This will transform it into an ecosystem of value growth comparable to gold. In simple terms, 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 will enable one-click activation of DeFi for Bitcoin
He also mentioned that Cardano will focus on participating in the Bitcoin DeFi ecosystem 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 a trusted third party and securely transfer assets between chains.
Hoskinson pointed out that Cardano ultimately wants to enable users to seamlessly bridge Bitcoin to Cardano with just one click to “activate DeFi” and have DeFi Bitcoin. It is like a card that encapsulates Bitcoin at the bottom layer, which can be used to participate in the Cardano DeFi ecosystem, trade on decentralized exchanges, use yield-generating tools, conduct decentralized lending, and with just one click, transfer the user’s DeFi Bitcoin back to the Bitcoin network.
Cardano: Taking a leading role in Bitcoin DeFi
Cardano previously expressed optimism about the demand for Bitcoin DeFi and pointed out that the circulating supply of WBTC on Ethereum exceeds 147,000, with a total market value of about $9.75 billion, while Cardano’s DeFi ecosystem TVL is only about $225 million, indicating a huge growth potential.
Cardano also sees itself playing a leading role in the Bitcoin revival era, and its native token ADA will benefit from the rise, whether it is for governance participation or gas payment, the fundamental value of ADA will increase.
Riding on the overall cryptocurrency bull market frenzy ignited by Trump’s re-election, Cardano (ADA) has surged by 190.7% in the past 30 days, rising from $0.35 since the end of October to a high of $1.1 on the 23rd, and currently trading at $1.04.