Dear Investors,
We are excited to announce the upcoming soft launch of dlcBTC this April, achieved through our partnership with Amber Group.
Amber will pioneer the use of dlcBTC by wrapping BTC from their balance sheet to mint dlcBTC on Arbitrum.
We extend our heartfelt thanks to Amber's Co-founder Luke Li and Managing Director Nicole Pabello for their prescience and support.
Amber will also act as the inaugural market maker for dlcBTC, ensuring its peg by minting and burning dlcBTC as necessary.
Following this launch, we aim to expand our network of merchants and have begun establishing partnerships with trading firms such as FalconX, Galaxy, Cobo, among others.
The value of BTC continues to rise, solidifying its status as the premier digital asset.
However, the primary challenge for BTC holders is generating a safe, productive investment yield.
The opportunity cost of holding BTC in cold storage can lead to significant losses over time.
However, Miners and BTC holders are often reluctant to exchange their BTC for other tokens.
dlcBTC addresses this challenge by allowing users to self-wrap their BTC, enabling access to DeFi yield strategies without the need for custodians, bridges, chains, or any intermediaries.
To showcase an initial use case, we’ve partnered with STS, a regulated Swiss trading firm founded by Gideon Hyams, former Managing Director of FX Options trading at UBS.
STS is offering a structured product that can deliver a yield as high as 36% APY, via a covered call strategy.
After the halving and ensuing drop in miner profitability, products such as these will be essential to deliver meaningful returns to miners and BTC investors.
WBTC has grown to become a Top 20 token despite its significant risks.
We are confident that dlcBTC, with its distinctive capability to facilitate self-custodied Bitcoin in DeFi yield, has the potential to break into the Top 10.
Our roadmap includes launching dlcBTC on Ethereum in April, with subsequent deployments on Solana and other major chains to follow.
How can you get involved? We’d appreciate any referrals!
We are keen to form partnerships with crypto financial institutions, including hedge funds, prime brokerages, lending desks, custodians, and miners.
Please reach out via email ([email protected]) or Telegram (@akibalogh).
Overview
Our Engineering team has completed implementing FROST, a cutting-edge Bitcoin technology. This was the last technical hurdle. We are on-track to enter code freeze within the next 2 weeks. After code freeze, MetaTrust will begin their security audit.
After much deliberation, we’ve chosen to launch on Arbitrum. Utilizing an L2 will reduce gas fees, both for us and for our customers. Subsequent launch plans for other chains (both EVM and non-EVM) will be driven by customer demand.
We’ve begun early discussions with token listing teams at CEXes, including Coinbase, OKX, Binance and others.
We’ve had a very successful CDL (Creative Destruction Lab) session. Through CDL, we are being advised by Christian Catalini, co-founder of Libra and LightSpark, and Josh Felker, former DRW Partner and key innovator in High-Frequency Trading.
Sales and Business Development
Our current focus is on onboarding dlcBTC Merchants and forging partnerships with OTC desks, exchanges, hedge funds, trading firms, and lending desks that stand to gain from integrating dlcBTC.
We are also working with several trading firms who have chosen not to adopt wBTC because of its associated counterparty risk. This validates our initial hypothesis. dlcBTC will not only replace wBTC as a better asset but will also grow the overall market by bringing in new participants.
To design our $DLC token (launching in Q3), we have enlisted the expertise of two tokenomics firms. The primary aim of $DLC is to enhance the decentralization of our DLC Attestation network.
DLC.Link has made a strategic investment in Lambda's pre-seed round. Lambda is on track to introduce btcUSD, a DeFi stablecoin, on Curve in April, backed by both dlcBTC and tBTC. It's important to note that this investment reflects a financial interest and does not restrict dlcBTC from being utilized as collateral for CRVUSD or other stablecoins.
Marketing and PR
We are thrilled to announce our partnership with Wachsman for strategic communications and public relations. Established in 2015, Wachsman has a solid track record in Web3, having worked with notable projects like MakerDAO, Kraken, and Trezor. Our collaboration with Wachsman's seasoned EMEA team in Dublin has already attracted media attention from outlets such as Decrypt, Cointelegraph, and Techfinitive. Wachsman's expertise is set to significantly expand DLC.Link's visibility and establish our leadership in the industry.
We successfully hosted our first AMA session, featuring investors and thought leaders from OKX, Foresight Ventures, Bitcoin Magazine, Waterdrip Capital, and Bixin. Encouraged by this initial success, we plan to organize more AMAs in the future.
This month, OKX Ventures will issue a press release to announce their investment in dlcBTC. More details will be shared soon.
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
“You’re a better, faster, cheaper version of wBTC” – Head of Trading at a leading prime brokerage
"We see DLC.Link as a foundational building block in DeFi, with the potential to become a multi-billion-dollar business. " — Nicole Liu, Comma 3 Ventures
"DLC.Link 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
Our engineering team has successfully implemented an optimization that decreases bridge gas fees by more than 80%. This breakthrough allows us to deploy on Ethereum L1.
We're excited to announce that our initial dlcBTC Attestor network is operational. Our inaugural node operators include HashKey Cloud, Republic, OKX, P2P, and Dextrac.
Finance and Fundraising
This Q2, we are preparing to launch our seed funding round and have initiated discussions with potential anchor investors.
We are seeking a US-based lead investor with a strong institutional background.
Priority will be given to venture capital branches of hedge funds and trading firms, as they align closely with our target customer profile.
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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