This week, DLC.Link, an infrastructure provider for the Bitcoin ecosystem and creator of the dlcBTC wrapped Bitcoin, announced it integrated Chainlink CCIP and Proof of Reserve on Arbitrum and Ethereum to unlock secure cross-chain transfers of dlcBTC alongside transparent, real-time verification that it is fully collateralized.
DLC.Link leverages Discreet Log Contracts (DLCs) to establish a trustless bridge between Bitcoin and Ethereum and launched dlcBTC as a safer wrapped Bitcoin. Bitcoin holders can mint dlcBTC from self-custody on Arbitrum in order to participate in DeFi protocols on Ethereum while retaining complete ownership of their assets.
Proof of Reserve (PoR) leverages Chainlink oracles to verify in real time that onchain assets are fully collateralized by cross-chain or offchain real-world assets, which is especially crucial for wrapped assets that need to maintain a 1:1 peg to the underlying asset.
Cross-Chain Interoperability Protocol (CCIP) is the industry-standard blockchain abstraction layer for leading DeFi protocols, decentralized exchanges, and traditional financial institutions, because it achieves the highest level of cross-chain security and features a separate Risk Management Network that independently monitors cross-chain functions for suspicious activity.
CCIP and PoR belong to a comprehensive suite of decentralized services that leverage Chainlink’s time-tested oracle infrastructure, which has securely enabled over $12 trillion in transaction value, to create, secure, and update tokenized assets throughout the growing multi-chain economy.
DLC.Link co-founder, Aki Balogh, underscored how DLC.Link, which received a Chainlink Community Grant to bridge Chainlink oracle data to DLCs on the Bitcoin network back in 2021, continues to advance Bitcoin’s utility by supporting dlcBTC with Chainlink’s critical infrastructure.
“Chainlink has an unmatched track record in security, which is why we decided to use the industry-standard Proof of Reserve to help enhance the transparency of the Bitcoin reserves backing dlcBTC,” he said in an official announcement. “By continuing our long-standing collaboration with Chainlink, we’re able to drive the growth and adoption of Bitcoin across DeFi.”
To learn more about DLC.Link, visit their website, X, Telegram, and Discord, and GitHub.