Thread by @muneeb

Native Bitcoin swaps are now live!

Why is this a big deal? Tweet thread👇

1/ What is this?

Users can do trustless BTC swaps to stablecoins, derivatives, perpetuals, and other crypto assets.

All by pure Bitcoin transactions on the main BTC chain.

Users can purchase any digital assets (like NFTs and decentralized domains).

2/ This is a big f—king deal. Why?

Bitcoin has established itself as digital gold, but you can’t use BTC to trade without going through:

(a) centralized exchanges, or
(b) alt blockchains w/ wrapped BTC

Not anymore!

3/ Wrapped BTC is not Bitcoin, and many bitcoiners don't trust the security & decentralization of alt blockchains.

Centralized exchanges require KYC (privacy concern) and have counterparty risk of custody of your Bitcoin.

All that changes now.

4/ Stacks is a unique L1 blockchain that enables cross-chain transactions with Bitcoin: smart contracts that work with pure Bitcoin transactions.

Using Stacks, developers have built trustless swaps with native BTC!

5/ Developers have deployed working swaps with all sorts of assets like NFTs, other crypto-assets, etc.

With USDC coming to Stacks, trust-less BTC/USDC swaps can be possible.

See details:

https://twitter.com/fmdroid/status/1419645910049599494

6/ Does this mean Ethereum features are possible directly on Bitcoin? Yes.

You can have Uniswap-like AMMs built around native BTC swaps, do pure BTC transactions to interact.

Of course, with the security of Bitcoin.

7/ Bitcoin is sovereign money.

An entire open financial world will be created around Bitcoin. Native BTC swaps to new assets are a foundational building block of Bitcoin DeFi.

Bitcoin eating the banks💥