They Did It! Bitcoin on Cardano with No Bridges

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Bitcoin officially lives on Cardano. This is the biggest news story that we’ve had over the weekend and this is really exciting stuff. I’m going to look into the update itself, what it actually looks like and what it means for Cardano users and Bitcoin users in regards to opening up DeFi opportunities, liquidity movements and flows. This is really big news. I also have some updates around USDM and governance on the Cardano ecosystem as well. Let’s get right into it.

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Right. So the first up, this is the main headline that we need to look into. And it’s about Bitcoin OS. This team has been building since for quite a while now, about six, eight months. They’ve announced their work with the Cardano ecosystem. And this is to bring DeFi to the Bitcoin ecosystem and using Cardano as that DeFi layer. Decentralized finance. That’s what we’re looking at here. And they announced yesterday that they had successfully migrated

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or moved over Bitcoin to the Cardano ecosystem without a bridge. Now, if you watched my previous video about a mil-commeter, a side chain that was built for Cardano to bring in EVM, Ethereum Virtual Machine capabilities, that side chain didn’t go too well because of all the bridges that were required. And in 2022, there were a lot of bridge hacks and there were a focus point of vulnerabilities.

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If a hacking get into a bridge and unlock its assets, then it could liquidate the whole thing and ruin the all those protocols that rely on the bridge. So those bridges are there to bring and lock assets and move them to other chains. But because bridges are a centralized attack point, hackers look at them and try to break through. Now, what Bitcoin OS have done is created a bridge list, bridge list.

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way to transfer that value of Bitcoin from one ecosystem to another using BitSnark. So this is a bit of tech that they use there on the Bitcoin OS ecosystem. And they can then do a bridgeless cross-chain transaction from one platform to another. And in this, they’re using a couple of protocols here. And it’s pretty interesting to see what and how they’re doing it. But they’re using a couple of things that have made it a little bit easier for them. And one of them is

02:23
Also Sundial will have a look into what Sundial is. And for those users that aren’t in the Kedina ecosystem, we’re looking into what an ADA handle is as well. But here let’s go through what Bitcoin OS have announced and look through all the details. So in May 4th, 2025 we’ve successfully demoed the first bridgeless transfer of BTC between Bitcoin and Kedina mainnet using Sundial and ADA handles. So if we go through the thread here, we can see the breakdown. First,

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Bitcoin OS team locked one Bitcoin on the Bitcoin L1 using BitSnark, the BitSnark protocol. Then we wrapped it into an unchained token called XBTC. there seems to be some sort of level of wrapping and creating a synthetic asset. So this is being done on the Bitcoin layer. So XBTC is the Indruxy Ferris non-custodial cryptographic programmable and it lives directly on Bitcoin, much like wrapped ETH on Ethereum.

03:20
So if you’re familiar with Rapti, it works in the same way. Bitcoin OS sent one BitX BTC from its Bitcoin wallet directly to Sundar’s Cardano wallet. This transaction was bridge-less, non-custodial or vault of any kind. And that’s, I think, the biggest thing here. Now that the team continued to move that asset round, they moved it to another handle wallet. So this is a wallet on the Cardano ecosystem. And then, of course, from there, from that brand new Cardano wallet that they had,

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and moved it back to the Bitcoin ecosystem back to 1BTC. So this is really exciting stuff because now that we can move Bitcoin from one chain to another and back users from the Bitcoin ecosystem can easily unlock DeFi opportunities that are happening on the Cardano ecosystem. They can use it in DEXs, they can use it in borrowing lending, they can provide liquidity, they can swap it for stablecoin assets, whatever it might be, they have a lot of

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Options now. Now the team also have all of the transactions here. You can check out this particular Google Doc and you can go through each one of these links here and look at the transactions on chain to find out exactly what’s going on with each one of them. Now the one that I’ll point out here, this is the movement of the BTC from one wallet to another. You can see a little bit of leftover Bitcoin dust on the way there. So that’s starting to appear on the Kadana Explorer now too.

04:48
This is really exciting. I really like it. Now, if we have a look back at what Bitcoin OS is, you can find more info about it at bitcoinos.build, but they’re integrating all sorts of DeFi opportunities for Bitcoin users. They’re looking at all the UTXO chains. That’s an unspent transaction outputs. These are the same way that Bitcoin is built. So Kodan is built the same way. There’s multiple other chains as well, but they’re looking for

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those type of integrations because it is so similar to Bitcoin. It just makes it easier to code the same way. We’ve got our friends there from Tokyo. If you can see that, that’s the Tokyo wallet. If you haven’t checked that one out yet, big shout out for them. But what about these other protocols here? So the Bitcoin OS team said that they use Sundial and also Ada Handle. Now, for those that don’t know about Sundial, they’re a platform that’s building on top of Midgard, an L2 solution.

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that is designed for scaling. here, let me read this little caption here. The first sophisticated L2 on Kadano designed from scratch for enhanced scalability and lower transaction costs utilizing trustless BTC bridges via ZK proof tech and featuring institutional grade compliance reporting and risk management. So this is a very, I think it’s going to be a very useful protocol that’s being built and a lot of Bitcoin will be

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passing through this protocol that these guys are building. think, well, obviously it’s already been built and it’s being used by the Bitcoin OS team already. But if you want to learn more about this particular protocol here, you check it out at sundialprotocol.com. The other protocol that they mentioned was the handle. So this is essentially a vanity address for your Kadino wallet. So normally you have a really long address that you can’t remember, but you can change it to something memorable.

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such as dollar sign handle, and that will redirect any of the assets to the address that it is mapped to. Now these guys have also done this for Bitcoin. So you can assign a Bitcoin address to your handle as well. So this gives users on both of those chains the ability to transfer value directly to their handle address on either ecosystem. So I think this is going to ease that

07:12
usability between both the chains. So this makes things a lot, lot more appealing for anyone that is using them. So this is hugely significant for anyone in the Kodano ecosystem and anyone in the Bitcoin ecosystem. Super excited that the team have finally reached this milestone, this point in time for this work. We’ve been hearing about this since late last year, I think it was October and November last year when the team officially announced this at the Kodano Summit.

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And we finally are seeing the fruits of the labor come into play and see it all on chain. So amazing work to the Bitcoin OS team. I know it’s a little controversial sometimes with some of the stuff that I say within the Kodano space, but totally understand it, totally get it. And it’s awesome to see them continually to build and deliver what we are all anticipating. Now we will see some more

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development around Bitcoin and Kidana. It was hinted by I.G. from Charles himself that they are working on something similar to this Bitcoin OS side of things moving Bitcoin from one chain to another back to Kidana. And they’re going to demo that at the big Bitcoin conference later this year. So we’ll see that in a couple of months time and we’ll see what I.G. Charles himself.

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as bought to the ecosystem. So we’ve got competitors here. We’ve got more than one thing building out at this point in time. Now I suspect this tech may have been ready a couple of months ago, but with things such as consensus coming up just around the corner in Toronto this month, I suspect that they’re ramping up advertising and marketing for what they’ve built now.

09:04
So it ties in directly and nicely with consensus with a lot more eyeballs and interest on it. There’s a lot of timing when it comes to the crypto space here. You got to launch and know when to speak about and launch things at the right time. So you get the most man eyeballs and exposure that you can actually drive up usage of whatever you’re building. So this is very well timed, I think, and I’m looking forward to seeing what the team come out with next, what their next announcement is.

09:35
Now my next news story here, I’ve got updates from USDM. So the Mineta team did launch the retail launch of the protocol last week. And you can now mint in any of these 19 states across the United States. And we’ve seen inflows of liquidity now. So more and more people are minting USDM on the protocol. it’s not in the millions.

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But it’s definitely in the tens of thousands every day. More and more is minting. we’ve got a first of May here, we got when it launched, 75,000 got 86,000. We’ve got 21,000 there. And then 91,000 on the third, then we’ve got a bit of a burn there. But you can see more and more liquidity is coming in. like I said, it’s not in the millions, but it’s definitely retail users coming in, minting on a daily basis, looking for those opportunities on various protocols such as liquid finance or

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other borrowing lending protocols or even the DEXs where there are stable swaps where users are gaining rewards for all of their participation with the ecosystem. So this is nicely ramping up at the same time that Bitcoin OS is coming in. Maybe we’ll see a lot of Bitcoin BTC like a native BTC that’s on Kodano paired up with USDM minting

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right now. So we’ll see a lot of pairs, a lot more liquidity coming in, a lot more activity. Can’t wait to see what happens there. But congratulations to the Moneta team there for getting so far with USDM. You guys have done a lot for the Cardano ecosystem. Now, if you want to be a part of the USDM Moneta ecosystem, you can actually invest, not just speculating their token, but be an actual investor in their company and buy into their

11:26
crowdfunding at the moment that they’re doing on chain raise. So W3i is their parent company and chain raises platform they’re using. And you can buy and invest in their company itself. Now, this isn’t an endorsement. I’m not being paid by the team here at all, but you can as an investor, look up more information about what they’re doing on chain raise and be a part of this future of the Kadana ecosystem with the USDM stablecoin.

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real exciting stuff there. So I can’t put links to it down below, but you can Google search it and hopefully you can find more information about Moneta’s chain raise initiative here to build up their company. Now, the other big news in the ecosystem is the governance side of things. And we’re at the end of this governance budget reconciliation process for Intersect. And it looks like quick stats, 39 proposals have currently crossed the

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threshold out of the 194 submitted. Now last week I did my voting video and I’ve put it up online. I voted for 40 proposals. So pretty much spot on. And the amount of ADA that I used my proposal was 271 million. So this is just over. So I’m guessing pretty much what I voted on voted for got through at this point in time. Now we don’t have all the details and final on chain analysis of

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all the votes, but you can get to it from this budget voting website. And you can see if you do the little filter here, let me just go back once. If you do a little filter on the top level page and of all the ballots, you’d be able to see potentially what proposals got through. So you click on this little filter here, go on threshold, threshold reached. So you needed a 50 % threshold on the vote to be able to get through.

13:23
So you can see 40 proposals and there’s a lot of familiar proposals here. I voted for, I believe pretty much all of these ones here, plus a couple of marketing proposals. So hopefully those marketing ones got through as well, but there’s a voting process is over now. So we’re going to see this ratified on chain. And then that whole proposal is going to be put up for voting within the governance protocol on gov tools. So

13:49
We’ll see that in a couple of days, I believe. And then this 277 million worth of proposals will be ratified and be put into action. So it’s well below the net change limit of 350 million ADA. But we may see other big proposals come out. So this is just Intersect’s main, main proposal in regards to the budget.

14:18
for 2025, but other organizations, other NBOs such as pragma, for example, might put in a budget and focus on open source or something like that. So it may happen. We may see it later in the year. At the moment, all eyeballs are on that one. Now this is a post from Nicholas. probably is a good sign to stop all this voting side of things. I got a massive amount of emails, community members.

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requesting for votes and please pay look at my proposal. I looked as I looked at as many as possible and I couldn’t reply to everyone’s emails. There’s just too many of them, but we can sit back now. The whole voting process is over and we can all just relax a little bit. Now, if you wanted to see some more stuff that may have not not have gone through. Now, this is some of the work that a Mergo have been doing and Tyler here. He’s a what’s official role now.

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strategy and growth at Amerigo. I believe he was a developer there as well. But now he put together a list of some of the Amerigo proposals that really looked at adoption. And I didn’t focus too much on the adoption side of things. I think I did vote for a couple of these proposals though. But some of this stuff here, I encourage you to look into and maybe we can get these particular proposals if they didn’t make it through, through next time, because we do need

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the adoption of the chain, marketing of the chain and increasing the reach overall, because like I said, my other video, it’s well and good that we have all this amazing, awesome tech, but if no one knows about it, it’s not going to be used. If you look at Algorand, for example, awesome tech there, instant finality, fast transactions, but barely anyone’s using it these days. It seems to be slipping quite a lot, less and less advertising and less and less exposure of the chain and

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less people using it. And I really hope that Kodano doesn’t go in the same way. So we need to really focus on the next phase, all of this stuff here. So we’re to have scaling L2 solutions, and all that really cool stuff to make the chain really fast come up in this budget. right after, like immediately now, you got to start looking into adoption and real world use cases too. if you have a chance, have a look at what

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Tyler here is posted from the his account and have a look. I know voting is over now, but have a look at what they’re trying to push through and what we need to work on next. Now that’s all I have for this particular video update. If you are in the North America region and you can get to consensus in Toronto this year in Canada, do check out this particular event. I know a lot of Kadana people will be there.

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I know Charles is speaking. We can see here from Jane’s post that Charles will be there at this particular event. So do check out the lineup at Consensus. It’s probably the biggest event in North America in every year. So do check that one out if you don’t see it in person. There’s a lot of online content and lot of videos posted afterwards. Anyway, guys, thank you so much for tuning in. Make sure you hit that thumbs up, that like, subscribe notification bell on your way out.

17:38
I’ll see you guys in next video.