Galaxy Digital and Fireblocks Operate Nodes on Bitcoin Layer 2 Botanix

Galaxy, Fireblocks Operate Nodes on Bitcoin Layer 2 Botanix

Galaxy Digital and Fireblocks have begun running nodes on the Bitcoin Layer 2 network Botanix, a federated sidechain aimed at decentralization.

Botanix’s shift towards decentralization signifies an increased trust in Bitcoin’s infrastructure and a push for a permissionless environment.

Founded by Botanix Labs, the Bitcoin Layer 2 network Botanix launches with nodes operated by prominent firms such as Galaxy Digital and Fireblocks. A 16-node federation supports the network, emphasizing reduced centralization.

Willem Schroé, CEO of Botanix Labs, emphasized the move as laying the groundwork for a permissionless future. Other notable node operators include XBTO and Antpool, showcasing wide institutional interest.

The Bitcoin economy cannot be built on centralized rails. With this 16-node founding federation, we’ve stripped out centralized control and laid the groundwork for a fully permissionless future.

The involvement of major institutions could instigate positive shifts in Bitcoin’s financial ecosystem , reflecting potential for new institutional capital inflows. The network’s emphasis on decentralization aligns with Bitcoin’s foundational principles.

This positioning may lead to increased activity in decentralized finance and EVM-compatible applications. The engagement of key firms underscores a commitment to broadening Bitcoin’s functional capabilities.

Historical trends indicate that such moves often lead to heightened interest in cross-chain DeFi among new users. Expect developments to shape Bitcoin’s Layer 2 landscape, enhancing mainstream appeal.