Bitcoin is often likened to a gold mine hidden in the mountains, with immense value that is difficult to fully utilize. Although its market capitalization has surpassed the trillion-dollar mark, the proportion that can be flexibly used may be less than 10%. This mainly stems from three major obstacles: complex cross-chain operations, insufficient liquidity, and high transaction fees.

In the face of this dilemma, Bitlayer has proposed an innovative solution that can be metaphorically described as a modern transportation system tailored for this 'gold mine.' This system does not focus on developing new deposits, but rather on enhancing the liquidity and availability of existing Bitcoin assets. At its core is a mechanism known as the 'Liquidity Engine,' specifically designed to address the issues of the difficulty in flexibly mobilizing Bitcoin.

The operation principle of this 'Liquidity Engine' is quite clever. It first identifies the root of the Bitcoin liquidity problem: the Bitcoin liquidity pools on different public chains are independent of each other and lack effective connections. This causes users to often face the dilemma of insufficient counterparties or excessively high fees when conducting cross-chain transactions.

To overcome this challenge, Bitlayer's engine employs a three-step key strategy. The first step is to integrate resources by connecting the Bitcoin liquidity pools scattered across 12 different public chains such as Ethereum, Sui, and Cardano, forming a large cross-chain fund pool. This integration significantly enhances the availability and flexibility of funds.

For example, when users want to exchange Bitcoin for stablecoins on the Sui network, the engine can intelligently allocate funds from other chains such as Ethereum or Cardano to ensure that the transaction can be completed quickly. This cross-chain collaboration greatly enhances the practicality and liquidity of Bitcoin, providing users with a more convenient and efficient trading experience.

Bitlayer's innovative solution not only aims to enhance the practical application value of Bitcoin but may also bring positive impacts to the entire cryptocurrency ecosystem, promoting further development of cross-chain technology and decentralized finance.