PANews reported on May 8th that according to Bitcoin.com, Alpen Labs launched BTD, a Bitcoin over-collateralized stablecoin that is pegged 1:1 to the US dollar and fully collateralized by Bitcoin. BTD will run on the ZK Rollup Layer2 network developed by Alpen Labs, which aims to reduce trust assumptions and integrate the Liquity V2 lending protocol, allowing users to directly mint stablecoins by collateralizing BTC. BTD uses an immutable smart contract design, does not rely on governance tokens or upgradeable code, and adheres to Bitcoin's decentralization principles. Unlike most stablecoins, BTD does not use algorithmic models or centralized management, but still depends on third-party oracles to provide BTC/USD price data. Alpen Labs stated that they will reduce oracle risks by aggregating data from multiple sources.
Developers can experience BTD on the upcoming testnet, which will support decentralized lending and trading applications and conduct integration tests with Bitcoin payment layers like Taproot Assets. David Seroy, head of Alpen Labs' ecosystem, emphasized that BTD is committed to expanding the Bitcoin financial ecosystem while maintaining decentralization.
