Diving into the RSK Ecosystem with Liquality Wallet

Liquality

• 3 min read
Diving into the RSK Ecosystem with Liquality Wallet

Liquality Wallet users can take advantage of some of the most exciting DeFi protocols available within the Rootstock Network (RSK). Altogether, these protocols hold over $224 million in total value locked, with more than half of it coming from two key DeFi projects: Sovryn and Money on Chain.

RSK is meant to enable simple, fast, and scalable development of decentralized applications for Bitcoin on an EVM. The RSK network is secured with Bitcoin Proof of Work through merge mining. It’s home to SmartBitcoin (RBTC), a derivative cryptocurrency asset pegged one-to-one to the dollar value of Bitcoin with the same supply of 21 million RBTC tokens. Thus, it enables the development of DeFi solutions that have Bitcoin at its core.

Let’s look at some of the top projects on RSK and what they have to offer users looking to earn steady yields that top traditional financial institutions and many other DeFi protocols.

Sovryn

Sovryn is a decentralized bitcoin trading and lending platform that adds permissionless DeFi capabilities to Bitcoin. Some of its other features include margin trading, perpetual swaps, and spot exchange via an automated market maker.

It’s also non-custodial, meaning that it doesn’t hold cryptocurrency in centralized or hot wallets. That’s part of the reason users love this protocol. All of the interactions are managed through smart contracts.

The project is currently home to more than $140 million in TVL without taking into consideration the funds locked into its governance Bitocracy Staking Contract. Sovryn represents more than 62% of the total TVL in RSK. Current APY rates for lending out a stablecoin reach more than 8% while its AMM offers over 80% APY on the SOV-RBTC pool.

We already partnered with Sovryn in March – as the service’s preferred wallet, we offer in-wallet integrations with its FastBTC Relay as well as upcoming developments that will enhance the user experience. Stay tuned.

Money on Chain

With more than $63 million in TVL at the time of this writing, Money on Chain is the second most popular DeFi project living within the RSK ecosystem. The founders of MoC view bitcoin as the most stable and censorship-resistant form of collateral available. This is why it uses the asset to peg its stablecoin, DoC, to the US dollar. It’s also home to three other tokens:

  • BPRO
  • BTCx
  • The MoC token

BPRO is a token designed for Bitcoin holders who want to earn passive income on their BTC with free leverage that pushes the token’s price when bitcoin surges. The token has outperformed BTC’s YTD by +29.7%. On the other hand, BTCx allows users to take advantage of leverage and go long on a BTC position with low interest and no counterparty risk. The MoC token is the governance token for the project that allows users to make decisions related to the project’s DAO, which governs its smart contracts.

Let Liquality Wallet be your interoperability solution

Liquality Wallet users can interact with all the projects living in the RSK ecosystem. For some of these opportunities they can even leverage our in-wallet integrations that streamline their experience.

Other major blockchains including Bitcoin, Ethereum, Near, Terra, and Polygon can be easily accessed on the Liquality Wallet as well. We’re creating a new paradigm for interoperability between blockchains and opening up new opportunities for cross-chain liquidity and strategies like arbitrage and yield farming. We will be exploring some of these in future posts.

Download the Liquality Wallet, swap BTC into RBTC, and explore the RSK ecosystem today.