DeFi on Bitcoin? Trustless Computer Says Yes

Developers can build decentralized apps on Bitcoin using Solidity smart contracts

May 2, 2023 02:43 pm

Wit Olszewski/Shutterstock modified by Blockworks

Trustless Computer has recently deployed Uniswap V2 smart contracts on the Bitcoin blockchain.

Although considered one of the most secure blockchains, Bitcoin has always had limited in-built utility features.

This changed after the Taproot upgrade in 2021, where it became possible to embed almost unlimited data on the Bitcoin Blockchain using Opcodes.

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Trustless Computer, which is still in an early, developmental phase, hopes to use this new data-storing method to develop a Turing-Complete virtual machine on top of Bitcoin. This would mean that developers could build decentralized applications such as exchanges, NFTs and trading and lending protocols on Bitcoin itself.

Developers can also develop their own tokens on Bitcoin — called BRC-20 tokens — not to be confused with the almost identically named Ordinal’s BRC-20 tokens.

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To provide additional value and utility to these tokens, Trustless Computer has deployed Uniswap V2 smart contracts on Bitcoin, aiming to give its users the ability to swap BRC-20 tokens and provide liquidity into the space.

A Twitter user that goes by Punk3700 told Blockworks that “[Trustless Computer is] still super early. Feels like Uniswap in 2018. But it’s fun.”

So far, Trustless Computer has deployed 118 tokens, which can be traded on the platform’s freshly launched crypto trading marketplace.

Only small trades have been completed as of today, with NakaPepe (NAKA) taking the lead, seeing a trading volume of a little over $2,000.

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