Cambridge, MA, December ninth, 2024, Chainwire
A crew of Harvard college students and alumni seeks to supply accessible, decentralized monetary instruments to advertise financial inclusion and monetary autonomy
As Bitcoin surpasses its earlier all-time highs, a crew of Harvard college students and alumni, working beneath the title New Bretton Woods (NBW) Labs, has launched a whitepaper outlining the event of a Bitcoin-backed stablecoin using the Bitcoin Elastos Layer 2 (BeL2) protocol.
The BeL2 protocol, developed by Elastos—a SmartWeb ecosystem supplier—is highlighted within the whitepaper as a key part of a Bitcoin-integrated SmartWeb. This method goals to reimagine international finance, drawing parallels to the transformative results of the Bretton Woods Settlement of 1944. The NBW Labs whitepaper, ready as a part of a pupil membership with the Harvard Innovation Labs, explores the potential for a Bitcoin-backed secure foreign money to handle inflationary dangers and allow clear, programmable monetary instruments for a wider viewers.
The proposed stablecoin, often called the Native Bitcoin Stablecoin (NBS), is pegged 1:1 to the U.S. greenback and collateralized by Bitcoin. This design permits Bitcoin holders to safe liquidity with out promoting their BTC or counting on third-party custodians, preserving each asset management and wealth. By leveraging the Bitcoin-Elastos Layer 2 protocol, the undertaking seeks to supply accessible, decentralized monetary instruments to advertise financial inclusion and monetary autonomy.
Jacob Li, Head of Operations at NBW, acknowledged: “A Bitcoin-backed stablecoin represents each a chance and a necessity. Using Bitcoin as collateral affords a secure and safe monetary instrument whereas adhering to rules of decentralization.”
Constructed on Bitcoin-Elastos Layer 2 (BeL2), the system integrates Bitcoin’s safety and decentralization with Elastos’ scalable and interoperable SmartWeb infrastructure. The BeL2 protocol facilitates non-custodial Bitcoin collateralization through mainnet locking scripts, verified via Zero-Data Proofs for enhanced privateness. Oracles bridge these proofs to EVM-compatible sensible contracts, whereas decentralized Arbitrator nodes handle dispute decision and time-based operations, guaranteeing system stability.
Key Benefits of the NBW Strategy
- Liquidity With out Promoting Bitcoin: The system permits Bitcoin holders to mint NBS by collateralizing their BTC, unlocking liquidity whereas sustaining possession of their belongings.
- Hedge In opposition to Inflation: NBS offers a substitute for inflation-prone fiat currencies, serving as a decentralized retailer of worth.
- Entry to Decentralized Finance: Minted NBS might be utilized throughout decentralized finance (DeFi) platforms for actions reminiscent of lending, borrowing, and liquidity provision.
By integrating Bitcoin’s belief and safety, the NBW system goals to supply a scalable mannequin for decentralized finance (BTCFi). This initiative attracts on Satoshi Nakamoto’s 2010 imaginative and prescient of merge-mining, a course of supported by Elastos expertise that enables Bitcoin miners to concurrently safe the Elastos community. With roughly 44.58% of Bitcoin’s international hashrate concerned in merge-mining via distinguished swimming pools reminiscent of Antpool and Binance, Elastos achieves a excessive diploma of community safety.
Sasha Mitchell, Head of Operations at Bitcoin Elastos Layer 2, remarked: “The potential to unlock dormant Bitcoin worth via stablecoins opens new prospects for decentralized finance whereas sustaining Bitcoin’s strong safety.”
Broader Purposes of the Native Bitcoin Stablecoin
The Native Bitcoin Stablecoin introduces new use instances for decentralized finance, performing as each a medium of trade and a device for monetary administration. It offers a pathway for people, establishments, and governments to undertake programmable and clear monetary options whereas benefiting from Bitcoin’s inherent belief and resilience.
By bridging Bitcoin with decentralized finance, the NBW system seeks to reinforce international monetary stability, promote financial inclusion, and unlock the untapped potential of Bitcoin.
Further Data
Customers can learn the Whitepaper: https://www.nbwlabs.org/Whitepaper.pdf
To study extra: Customers can go to www.nbwlabs.org
Customers could Contact: Electronic mail [email protected]
About New Bretton Woods (NBW)
New Bretton Woods (NBW) is an impartial initiative led by Harvard college students and alumni, developed as a part of a pupil membership with the Harvard Innovation Labs in the course of the Fall 2024 semester. The undertaking integrates Bitcoin’s safety with Elastos expertise to discover progressive options for decentralized finance.
Contact
Roger Darashah
[email protected]