We can't talk about Satoshi Protocol without introducing Bitcoin ($BTC).
What's Bitcoin?
Bitcoin is a new form of money (Digital currency) invented in 2008 by the almighty Satoshi Nakamoto, Bitcoin ($BTC) relies on peer-to-peer software and cryptography. Bitcoin operates free of any central control or the oversight of banks or governments. Bitcoin uses the Proof-of-Work (POW) algorithm to secure it's network, POW ensures that users participating in the Bitcoin network are confident that everyone is on the same page. POW algorithm used by BTC aims to add a new block every 10mins and to do that it adjusts the difficulty of mining Bitcoin depending on how quickly miners are adding blocks, if BTC mining is happening too quickly then the hash computations get harder, while if it goes too slowly the computation get easier.
Before now there has never been a more native and decentralized way to leverage the borrowing power of Bitcoin.
All thanks to the Satoshi Protocol team, who invented and designed a more natural and user-friendly way of borrowing on BTC Blockchain.
What's Satoshi Protocol?
Imagine you have a bunch of gold bars under your chair, but you can't use them to buy anything not even common groceries. That's kind of how Bitcoin works. It's valuable, but not always easy to spend in everyday situations.
The Satoshi Protocol is like a special loan company designed for Bitcoin blockchain. Let's explain the concept behind the Satoshi Protocol BTC borrowing model:
A. Deposit your Bitcoin: users can put their Bitcoin in the Satoshi Protocol like a safety deposit box.
NB: here Satoshi Protocol works as a vault
B. Get a loan in "SAT": Instead of gold bars, the user will receive a digital token called $ This $SAT is like a stablecoin, meaning its value is constant, unlike Bitcoin which can fluctuate.
your SAT to : Now users can spend the $SAT just like regular cash! Trade spot, perpetual, swap to other tokens and even NFTs.
with the model described above, Satoshi Protocol serves as the first Collateralized Debt Position (CDP) protocol on BEVM, allowing users to deposit Bitcoin as collateral to borrow the stablecoin SAT.
Satoshi Protocol
Unlocking Bitcoin's potential: It allows people to leverage the power of BTC and also to utilize the value of their Bitcoin without actually selling it. Users can now perform DeFi related activities using their BTC, they can create positions, swap to other tokens, and probably with time users will be able to mint NFTs too.
He whole essence of the Satoshi Protocol makes cryptocurrency a more practical option for everyday activities.
in conclusion, Satoshi Protocol is currently the first CDP system on BEVM, allowing individuals to use Bitcoin as security to obtain $SAT stablecoins and contribute to the stability pool, ensuring there’s enough SAT available for the system’s needs. Here are the main features of Satoshi Protocol:
Currently the Satoshi Protocol is still in it's beta testnet phase, click the link below to join the Satoshi Protocol community.
https://app.satoshiprotocol.org/dashboard
https://docs.satoshiprotocol.org/intro/introduction
https://medium.com/@satoshi-protocol
https://twitter.com/SatoshiBEVM
https://discord.gg/satoshiprotocol
Disclaimer: The above document is for educational purposes only and not a financial advice.
This is my entry into the Satoshi Protocol March content creation, Twitter:
