Opinion: Amita Gajjal, co -founder and general director of Kerneldao
Bitcoin is the main advantage of the cryptocurrency world, and even one of the 10 most valuable resources in the world, recognized as the role of a magazine of values. However, the huge percentage of Bitcoin (BTC) supply remains dormant for years, which means that the cryptographic market only works with a fraction of circulating supply each year.
This idle Bitcoin has a huge unused financial potential.
The main narratives of Bitcoin are “Value magazine” and “never sell”. Today’s decentralized financial tools (DEFI) allow, however, to enhance performance, holding bitcoins and using dormant bitcoins, which are simply found in investor portfolios and does nothing.
Existing dormant bitcoins are not fully used
Dormant bitcoins have not been used for a long time, usually for one or more years. According to Glass knotFrom the beginning of 2025, busy supply, which was not transferred within more than one year, is about 62%.
This bitcoin is kept in wallets that show no activity on blockchain and remain inactive for various reasons. These can be intentional long -term maintenance strategies, and even constant losses as a result of neglect or death of users.
Let’s put aside the rest of the causes and focus on long -term bitcoins maintaining strategies. The existence of this group suggests that they could enter the market at any time, causing a significant variability of the Bitcoins price. Why don’t we employ this bitcoins in DEFI now?
Activation of sleeping bitcoins will wave on the market
If the gigantic amounts of dormant bitcoins were to reactivate immediate, it can significantly affect the cryptocurrency market, creating a noticeable event. These movements can dramatically affect the price of Bitcoin in a negative way due to the potential sales pressure and affect the market with a significant enhance in busy supply.
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However, if reactivated bitcoins are again integrated with productive DEFI ecosystems, and not sold massively, it can ensure liquidity without destabilizing the market. With such busy liquidity, Bitcoin would not only be a “value storage”, but also a productive resource with public utility and employ.
Let’s look at the announcement of creating the Bitcoin strategic reserve in the United States. One of the key points of this reserve is that it will follow the neutral strategy of the budget without the estimated sales of 198,000 BTC owned by the government. These conditions are ideal for putting this bitcoin to restore and employ it in DEFI for prizes. Just imagine all the profits that the US could achieve by using most Bitcoin reserves in this way, without sales.
We must examine the potential of Bitcoin in DEFI
The integration of dormant bitcoins with DEFI platforms offers engaging bitcoins and decentralized financial capabilities. Bitcoin would encourage transactions and network fees to support miners. The total blocked value (TVL) in DEFI will be huge compared to all Bitcoin liquidity will add to the def.
Progress, such as wrapped tokens and transition bridges, enabled Bitcoins owners to engage in Flash loans, loans, setting, restore and crop on DeFi platforms. The current levels, however, are insufficient and will not be the only way to employ this huge injection of liquidity.
According to March 10, TVL Bitcoin in DEFI was over $ 5 billion Donnelam data. This is only 6% of TVL of all current blockchains on the market, with King Ethereum at 52.56% with $ 48 billion. If Bitcoin became the up-to-date king of TVL in DEFI, he would only have to employ some of the dormant bitcoins listed above.
In this scenario, Bitcoin will ensure greater DEFI stability, because its owners, including institutional investors and long -term, are not willing to sell when slowing down the market. In addition, the activation of even a miniature part of currently inactive bitcoins can unlock billions of liquidity dollars in the case of decentralized financial applications.
The best way to employ BTC in DEFI is to restore
Today, restoration becomes an pioneering, engaging way to integrate Bitcoin with DEFI while maintaining the appeal as a conservative, safe and sound investment vehicle. Restaking allows owners to put their assets in decentralized protocols and earn passive income while contributing to the economic security of the network.
This mechanism offers several benefits, including passive income with minimal risk and economic security, supporting the development of up-to-date products. It paralys customary finances, offering predictable returns, while maintaining capital, which refers more to conventional investors.
The separation is in line with the conservative way of thinking typical of many Bitcoin owners, allowing them to participate in innovations in the Defi space. Rooming is desirable for every bitcoiner to get performance with reserves.
Dormant bitcoins is a huge opportunity for DEFI
Dormant bitcoins are a immense, unused tank in the web3 ecosystem. By integrating Bitcoin with today’s DEFI platforms, individual investors and a wider ecosystem will significantly benefit from increased stability, liquidity and growth possibilities.
Opinion: Amita Gajjal, co -founder and general director of Kerneldao.