Dear Investors,
The Bitcoin whitepaper turns 15 today, a milestone that underscores its transformative impact.
In this month's update, I want to reinforce our vision around DLCs. Since our inception with initial funding from Chainlink and Stacks, we’ve operated on two fronts.
First, we are building our commercial business, focused on building revenue-generating products.
Second, our community business, where we support the broader adoption and advancement of DLCs as a Bitcoin layer.
On the commercial side, I’m delighted to announce our first product: dlcBTC, a self-custodial wrapped Bitcoin, which leverages DLC technology for use in DeFi on Ethereum.
Unlike wBTC or other alternatives, our solution is theft-proof and censorship-resistant. dlcBTC will launch on testnet in December and in mainnet on Ethereum in February.
In parallel, our dedication to the DLC community continues. Since promoting the DLC Telegram group, its size has nearly doubled.
We actively back projects such as Arkadiko, Uasu, DefiOptionsDAO, and BoB to integrate DLC technology.
We’re also progressing on ordinal support in DLCs, which we are integrating into our signing library in Leather and Xverse wallets.
Overview
We are launching dlcBTC, a self-custodial wrapped Bitcoin token that will enable Bitcoin holders to use DeFi protocols such as Curve and AAVE
Security audits with CoinFabrik are nearly complete. We are now evaluating candidates for a second security audit
We are using FROST (a cutting-edge Bitcoin technology) in conjunction with DLCs to enable more flexibility in our Attestation network
Sales and Business Development
Four days ago, we received a verbal from our first unaffiliated prospect. Jack, a Bitcoin miner, offered to put his excess production (255 BTC/yr) into dlcBTC to earn yield through liquidity farming.
We see this as a major milestone that validates real interest in using Bitcoin in DeFi
dlcBTC has begun collaborating with Maple Finance to enable Bitcoin lending via DLCs.
Maple has made an initial offer to lend USDC/USDT at 10% interest rate for overcollateralized, non-rehypothecated loans on Bitcoin
We’re defining our BD strategy in terms of CEXes and DEXes where dlcBTC will be listed, and are evaluating market makers as well
We are also in discussions with various node operators (primarily from Chainlink’s network) who will run Attestation nodes to power the locking mechanism that secures our DLCs
Marketing and PR
Our latest video explains how DLCs secure Bitcoin on-chain without the need for validators, avoiding the pitfalls of bridges and other wrapped tokens. See: https://www.youtube.com/watch?v=nSOmBWkPNko
We have also published a new article on "How do DLCs Utilize Schnorr Signatures?" providing insights into this essential aspect of our technology. Read it here: https://www.dlc.link/blog/how-do-dlcs-utilize-schnorr-signatures
Mr. Block, a Curve core contributor, set up a Chinese-language community for DLC.Link on Telegram. If you read Mandarin, visit it here: https://t.me/dlc_asia
Check out the Media section on our website! This section contains blog posts, case studies, videos and a newsroom where we highlight PR features. See: https://www.dlcbtc.com/media
We invite all investors to join our Telegram community at English: https://t.me/dlcbtc
For native Mandarin speakers, you can join our Chinese community at https://t.me/dlcbtc_cn
Follow us on Twitter at https://x.com/dlcBTC
Testimonials
A few recent quotes from our fans:
"We see dlcBTC as a foundational building block in DeFi, with the potential to become a multi-billion-dollar business. " — Nicole Liu, Comma 3 Ventures
"dlcBTC is making Bitcoin more composable & usable in DeFi" – Oliver Birch, Global Head, Chainlink BUILD Program
"You're sovereign Bitcoin for everything else” – Leading Bitcoin Investment Fund
Product
We held several product design sessions with our lead investors, Comma 3 Ventures and ABCDE Capital. These helped clarify key dlcBTC design decisions
Much of the back-end work around supporting Ordinals in DLCs is now complete. Read the documentation here: https://github.com/p2pderivatives/rust-dlc/blob/feature/ordinals/docs/Ordinal.md
Alpha Attestation Network Launched: We’ve hit our Q3 milestone of having a multi-attestor system working in testnet with at least 3 nodes
Finance and Fundraising
Two weeks ago, I attended CDL Montreal’s Blockchain cohort.
Key advisors include Scott Stornetta, cited four times in the original Bitcoin whitepaper, and Josh Filker of Nascent.xyz. Josh, a former Partner with DRW, will mentor us on our token launch strategy
We are not actively seeking additional capital as we have a 15-month runway. However, we remain open to strategic partnerships that align with our vision and objectives
How You Can Help
Please introduce me to potential depositors – e.g. Bitcoin miners, asset managers or custodians – who are looking to use their BTC in DeFi protocols such as Curve and AAVE.
Best,
Aki
PS – Missed any of our previous Investor Updates? Read past editions here: https://bit.ly/dlc-link-investor-updates
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