Bitcoin Lending Platform Zest Protocol Secures $3.5 Million Funding

Zest Protocol, a Bitcoin lending platform, has successfully raised $3.5 million in funds. The initiative, supported by prominent investor Tim Draper and organizations such as Binance Labs and Flow Traders, aims to provide BTC holders with the opportunity to generate yield by deploying their assets on the blockchain. Zest Protocol achieves this by employing the Nakamoto upgrade through Bitcoin layer 2 Stacks and utilizing sBTC, an asset pegged 1:1 to bitcoin. By integrating these technologies, Zest Protocol ensures that users can engage in lending and other activities within the world’s largest blockchain network. Notably, the creation of key DeFi primitives is facilitated through Bitcoin L2s like Stacks, as compared to Ethereum where such functionality is limited. The sBTC upgrade on Stacks is heralded as a significant milestone in the development of Bitcoin DeFi.