Bitcoin and decentralized finance (DeFi) are becoming more interconnected. In this landscape, Mintlayer, a Layer-2 protocol, has joined forces with Salus, a Web3 security services platform, to create Thunder Network, a Layer-3 solution built on Bitcoin. This collaboration aims to improve scalability, privacy, and transaction speed.

What the Partnership Offers

Thunder Network will enable the use of Ethereum Virtual Machine (EVM) features within a Bitcoin-based framework. This allows developers to build decentralized applications (DApps) while benefiting from Bitcoin’s strong infrastructure. This partnership could expand the ecosystem and create more use cases in the crypto world.

An important goal of the collaboration is to integrate zero-knowledge (ZK) technology into Layer-3 rollups, a major development for Bitcoin’s blockchain ecosystem. Rollups are independent blockchains where transactions are performed and then transferred to Ethereum. Mintlayer and Salus aim to deliver a seamless, high-performance, secure, and private user experience on Thunder Network while maintaining Bitcoin’s decentralization principles.

Mintlayer Founder Enrico Rubboli shared his thoughts

“Collaborating with Salus is a key step in our effort to revolutionize Bitcoin’s scalability. By integrating ZK, Thunder Network will enhance transaction speed and privacy while offering strong EVM capabilities for building applications on Bitcoin. We are thrilled to work with Salus to unlock Bitcoin’s full potential and shape the future of DeFi.”

Growth of the Layer-3 Market

The Layer-3 market is currently valued at $713 million with a 24-hour trading volume of $65.6 million. Notable Layer-3 projects include Degen (Base), Xai, Orbs, Aavegotchi, and Dream Machine Token.

Despite this growth, Layer-3 has yet to generate widespread enthusiasm among major crypto figures. Ethereum co-founder Vitalik Buterin has pointed out that Layer-3 faces technical challenges such as data availability and bandwidth.

Conclusion

The partnership between Mintlayer and Salus represents a significant step forward in integrating Bitcoin with DeFi. By leveraging Layer-3 technology and zero-knowledge proofs, they aim to enhance scalability, privacy, and transaction speed while maintaining the core principles of Bitcoin’s decentralization. This collaboration has the potential to unlock new possibilities and drive further innovation in the crypto space.