HTX Ventures Invest in BounceBit to Develop Bitcoin Restaking Infrastructure

HTX Ventures, the global investment arm of the cryptocurrency exchange HTX, has announced a strategic investment in BounceBit, marking a pivotal step in enhancing the diversity within the Bitcoin Ecosystem. This investment underlines HTX Ventures’ commitment to fostering innovation and supporting groundbreaking technologies in the blockchain and cryptocurrency sectors.

BounceBit is building a BTC restaking infrastructure that provides a foundational layer for different restaking products, secured by the regulated custody of Mainnet Digital and Ceffu. The BounceBit chain, designed as a showcase of a restaking product within the BounceBit ecosystem, is a PoS Layer 1 secured by validators staking both BTC and BounceBit’s native token — A dual-token system leveraging native Bitcoin’s security with full EVM compatibility. Critical ecosystem infrastructure like bridges and oracles are secured by restaked BTC. Through an innovative CeFi + DeFi framework, BounceBit empowers BTC holders to earn yield across multiple networks.

BounceBit has successfully closed a $6-million funding round aimed at constructing a robust BTC Restaking infrastructure. This funding round not only provides the necessary capital but also brings together a consortium of expertise and resources that will be pivotal in realizing BounceBit’s goals.

Edward Chen, Managing Partner of HTX Ventures, shared insights on the initiative, “BounceBit is attempting to address the consensus and trust issues of Bitcoin sidechains by utilizing centralized custody on top of the conventional sidechain architecture. A centralized plus decentralized Bitcoin ecosystem solution could potentially be a viable approach under the current circumstances. The product’s design mechanism and the team exhibit competitiveness and imaginative potential within the domain.”

Jack Lu, Founder & CEO of BounceBit, acknowledged the significance of the investment round, stating, “Expertise and support from our investors such as HTX Ventures will be instrumental in our mission to build restaking infrastructure to support yield generation for all types of Bitcoin across a variety of networks.”

BounceBit has demonstrated remarkable early success, securing $445M in Total Value Locked (TVL) within three weeks of its Early Access launch. At its core, BounceBit’s innovastion stems from its BTC Restaking mechanism. This relatively new concept acts as the foundation of the project. BounceBit will build a plethora of infrastructure, exploring the use-cases of Restaking for various types of Bitcoin. These infrastructure components are called Shared-Security Clients (SSC).

BounceBit’s first showcase of such an SSC will be its BTC Restaking Chain. The BounceBit chain is secured by validators staking both BTC and BounceBit’s native token — A dual-token system leveraging native Bitcoin’s security, liquidity and low volatility. Unlike existing Layer 2 solutions, BounceBit interacts with Bitcoin only on the asset level instead of the protocol level, taking a Layer 1 Proof of Stake approach. BTC Restaking provides shared security to infrastructure and DApps on BounceBit, e.g. bridges and oracles will be validated by restaked BTC.

Another highlight of BounceBit is its transparent CeFi foundation that secures users’ assets via the regulated custody of Mainnet Digital and Ceffu, while leveraging on-chain asset traceability. Through an innovative CeFi + DeFi infrastructure, BounceBit empowers BTC holders to earn yield through delta-neutral strategies, whilst being additionally protected by an insurance fund.

BounceBit is poised for its Mainnet Launch in April, aligning with the Bitcoin halving. The Testnet is slated for early March. Early TVL contributors have the opportunity to earn BounceBit points at bouncebit.io.

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About BounceBit

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About HTX Ventures

HTX Ventures, the global investment division of HTX, integrates investment, incubation, and research to identify the best and brightest teams worldwide. With a decade-long history as an industry pioneer, HTX Ventures excels at identifying cutting-edge technologies and emerging business models within the sector. To foster growth within the blockchain ecosystem, we provide comprehensive support to projects, including financing, resources, and strategic advice.

HTX Ventures currently backs over 200 projects spanning multiple blockchain sectors, with select high-quality initiatives already trading on the HTX exchange. Furthermore, as one of the most active Fund of Funds (FOF) investors, HTX Ventures collaboratively forges the blockchain ecosystem alongside premier global blockchain funds, including IVC, Shima, and Animoca.