Unlocking the potential of dormant Bitcoin in DeFi
Opinion by: Amitej Gajjala, co-founder and CEO of KernelDAOBitcoin is the principal asset of the cryptocurrency world and even one of the world’s top 10 most valuable assets, recognized for its role as a store of value. Yet a huge percentage of the Bitcoin (BTC) supply remains dormant for years, meaning the crypto market only works with a fraction of the circulating supply each year. This idle Bitcoin has an enormous amount of untapped financial potential.Bitcoin’s principal narratives are “store of value” and “never sell.” Today’s decentralized finance (DeFi) tools, however, enable yield gain by holding Bitcoin and taking advantage of dormant Bitcoin, which just sits in investors’ wallets and does nothing. Existing dormant Bitcoin is not being fully utilized Dormant Bitcoin has not been used for long periods, usually one or more years. According to Glassnode, as of early 2025, the active supply that has not moved in more than one year is approximately 62%.This Bitcoin is held in wallets that show no activity on the blockchain and remain inactive for various reasons.
Read the full article at cointelegraph.com
Source: cointelegraph.com
Published: April 21, 2025
