BOB, the hybrid chain designed to bridge Bitcoin’s security with Ethereum’s programmability, has launched an updated BitVM bridge design on testnet, enabling native BTC onchain.
The milestone introduces a new model for Bitcoin DeFi, bringing trustless, fraud-proof BTC to DeFi ecosystems without relying on wrapped assets or custodians.
The testnet launch is supported by a broad range of institutional and DeFi partners, including P2P.org, Lombard, Solv Protocol, Amber Group, Ankr, RockawayX, Fiamma, UTXO Management, Luganodes, and SatLayer.
Following the testnet release, the BitVM bridge and native BTC are expected to go live on BOB mainnet in Q4 2025.
Native BTC Without Custodianship
Unlike existing approaches to Bitcoin in DeFi, which rely on wrapped BTC or multisig custodians, BOB’s BitVM bridge allows BTC to remain native. Similar to how ETH retains its identity on Ethereum rollups, BTC on BOB is still BTC, secured by Bitcoin via BitVM’s fraud-proof system.
The bridge architecture relies on a “1-of-N” fraud-proof model to validate transactions without requiring centralized trust. This will make BOB one of the first platforms to offer direct, non-custodial Bitcoin access to programmable financial systems.
“Our vision has always been to put Bitcoin at the heart of DeFi,” said Alexei Zamyatin, co-founder of BOB. “With native Bitcoin on BOB, just called BTC and secured by Bitcoin without needing to trust a third party, we expect to see Bitcoin DeFi explode.”
A Testnet Backed by Industry
The launch is supported by leading members of the bitvm/acc working group—a coalition dedicated to turning BitVM from research into production. Contributors including P2P.org, Solv Protocol, Chorus One, UTXO Management, RockawayX, viaBTC, and Wintermute are actively spinning up or running BitVM nodes to support the testnet. This marks the first time institutions outside of the BitVM Alliance are operating BitVM infrastructure, helping validate the model’s practical readiness.
According to BOB, institutional participation is essential to drive real adoption of native BTC in DeFi. Technology alone isn’t enough—ecosystem infrastructure, capital providers, and operational support must align.
“BitVM’s trustless architecture aligns perfectly with our goal: enabling institutional-grade yield, built entirely on Bitcoin’s terms,” said Ryan Chow, CEO of Solv Protocol.
“At P2P.org, we see BitVM as the missing piece that can unlock trillions in dormant Bitcoin liquidity,” added Artemiy Parshakov, VP of Institutions at P2P.org.
Technical Innovations in the BitVM Bridge
Several new upgrades distinguish BOB’s implementation of BitVM from prior bridge designs:
- Ethereum-Based Data Availability
Fraud proofs are stored using Ethereum’s blob infrastructure rather than Bitcoin transactions, offering cost efficiency and the censorship resistance of Ethereum rollups like Arbitrum and Base. - Dual Operator Roles
BOB introduces role specialization: Operator Nodes handle computation, while Operator LPs provide BTC liquidity for withdrawals. This separation reduces friction for institutional participants and lowers capital requirements. - Collateral Reuse
Building on research from Citrea and CommonPrefix, BOB enables BTC collateral to be reused across multiple BitVM instances—dramatically improving scalability and capital efficiency.
These enhancements position BOB’s BitVM bridge as one of the most viable designs for scaling trustless Bitcoin-native applications.
The Foundation for Bitcoin DeFi
With native BTC on testnet and a wide range of ecosystem partners engaged, BOB is positioning itself as the primary gateway for Bitcoin DeFi. By combining Bitcoin-native assets with programmable, fraud-proof infrastructure, the BitVM bridge enables new use cases for yield, liquidity, collateral, and settlement, without leaving the Bitcoin standard.
Mainnet deployment is targeted for Q4 2025.
To learn more, visit: https://blog.gobob.xyz/posts/bob-bitvm-testnet-launch
