Charles Hoskinson, the founder of Cardano, has made a bold prediction about the future of Bitcoin in decentralized finance (DeFi). He believes Bitcoin could surpass Ethereum in total value locked (TVL).
Prediction by Charles Hoskinson
Charles Hoskinson, the founder of Cardano, states that Bitcoin will become the "sleeping giant" of DeFi. He emphasizes that unlike Ethereum, which boasts a developed DeFi ecosystem with a TVL of $91 billion, Bitcoin has yet to establish its own DeFi capabilities. Hoskinson argues that once Bitcoin unlocks real DeFi functionalities, billions of dollars could flow into it, potentially exceeding Ethereum's current market cap of $520.78 billion.
Why Not Ethereum?
Hoskinson believes using Ethereum to power Bitcoin's DeFi doesn't make sense because the relationship between the two blockchains is too adversarial. Instead, he points to alternative blockchains, like Cardano and Bitcoin-focused layer-2 solutions like Stacks, as better positioned to provide the necessary infrastructure for Bitcoin.
Hoskinson's Consistent Message
This is not a new theme for Hoskinson, who has been vocal about Bitcoin eventually taking the lead in DeFi, surpassing not just Ethereum but also Solana. While his prediction may seem ambitious, it highlights a growing conversation in the crypto community regarding Bitcoin evolving beyond just being 'digital gold.'
If Hoskinson's predictions come true, the balance of power in DeFi could look very different in the future. Despite Ethereum's stronghold with its impressive TVL, discussions about Bitcoin's potential in this sector are becoming increasingly relevant.
