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Cardano enables its first direct BTC transfer via BitcoinOS, with no bridges or custodians.
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This upgrade boosts Cardano’s DeFi potential and cross-chain interoperability.
A new era of cross-chain transactions has just been unraveled as on May 4, 2025, BitcoinOS announced the completion of a bridgeless transfer of 1 BTC to the Cardano mainnet using its BitSNARK protocol and the xBTC token standard.
Following Crypto News Flash (CNF) update, previously, Cardano has started partnership with BitcoinOS to enhance DeFi by launching the Bitcoin bridging system via the Grail Bridge, ensuring security and efficient cross-chain transactions.
What’s unique with this new upgrade is that first, the BOS team locked 1 BTC on Bitcoin L1 using our BitSNARK protocol. We then wrapped it into a new unchained token called “xBTC. Secondly, it revolutionizes as BOS sent its 1 xBTC – from its Bitcoin wallet – directly to Sundial’s Cardano wallet, as detailed in a recent tweet of BitcoinOS.
BOSes – we did it.🟧🧙♂️
On May 4 2025, we successfully demoed the first *bridgeless* transfer of BTC between Bitcoin and Cardano mainnet. 🟠🤝🔵
Performed with @SundialProtocol and @adahandle, using our all-new unchained token standard.🔓
Here’s what happened. 🧵👇 pic.twitter.com/JO9xZKrLUE
— BitcoinOS (@BTC_OS) May 5, 2025
Furthermore, this process eliminates the need for custodians or third-party bridges, relying instead on zero-knowledge cryptography to ensure secure and verifiable transactions.
According to recent reports, the transfer utilized Sundial Protocol, a hybrid Layer 2 solution for Bitcoin and Cardano, to receive the xBTC token on Cardano.
Subsequently, the token was moved to a wallet owned by ADA Handle, demonstrating seamless integration within the Cardano ecosystem.
The process has been concluded with the burning of xBTC and the release of the original BTC back on the Bitcoin blockchain, completing a full round-trip without traditional bridge mechanisms.
Implications for Cardano and the Broader Crypto Ecosystem
According to Bitget, this development signifies a major advancement in Cardano’s capabilities, positioning it as a formidable player in decentralized finance (DeFi). By enabling direct BTC transactions, Cardano opens the door to new DeFi applications and increased utility for Bitcoin holders.
Charles Hoskinson, Cardano’s founder, emphasized the importance of this integration, stating that it represents a significant step toward a more interconnected blockchain ecosystem.
Looking Ahead: Cardano’s Strategic Positioning
The successful bridgeless BTC transfer underscores Cardano’s strategic focus on interoperability and security. With plans to further integrate Bitcoin into its ecosystem, including potential support for Bitcoin staking and DeFi applications, Cardano is poised to enhance its role in the evolving blockchain landscape.
According to CNF recent analysis, a $10 potential for Cardano was observed after ADA breaks $1 resistance. Despite the technological breakthrough, Cardano’s native token, ADA, experienced a slight dip in price.
As of now, 2025, ADA is trading at approximately $0.6585, reflecting a 2.86% decrease over the past 24 hours, and 5.79% in the past week. See ADA price chart below.
