Core: A Bitcoin-Driven, EVM-Compatible L1 Blockchain Unlocking BTC Potential

In the Bitcoin decentralized finance (BTCFi) ecosystem, Core is a Bitcoin-driven, EVM-compatible L1 blockchain, with verification nodes maintained by miners

Core, a Bitcoin-driven, EVM-compatible L1 blockchain in the BTCFi ecosystem, combines Delegated Proof of Work (DPoW) and Delegated Proof of Stake (DPoS) in its innovative Satoshi Plus consensus. This approach provides Bitcoin holders with long-term and robust income opportunities. Currently, about 75% of the world's Bitcoin mining hash power contributes to Core's model through DPoW. Additionally, over 9,000 Bitcoins have participated in its staking through non-custodial Bitcoin staking. Core aims to unlock the potential of Bitcoin, making it the main protector and core asset of decentralized finance in the future.

On November 19, Core completed the Fusion upgrade and introduced two innovative products: Core Dual Staking and Core LstBTC. This article will analyze the important changes in this upgrade and explore the institutional adoption trend of BTCFi.

Core is based on its innovative Satoshi Plus consensus mechanism, in which the DPoW mechanism allows Bitcoin miners to settle hash power on the Bitcoin mainnet through syntax such as OP_Return and delegate it to the preferred verification node to earn CORE token rewards. In this way, Core not only obtains the protection of Bitcoin miners, but also increases the income of miners, especially in the context of the reduction of Bitcoin block rewards, Core's block rewards make up for the reward vacancy after halving.

On the other hand, the Delegated Proof of Stake (DPoS) in the Satoshi Plus consensus allows CORE token holders to support network security by delegating CORE to validation nodes. They can then participate in the election of these validators and receive CORE token rewards for securing the chain. The key to this mechanism is the "mixed score", which selects the top 27 validators by calculating the delegated hash and delegated stake, and is updated every 24 hours to ensure the decentralization and stability of the network.

The third important component of the Satoshi Plus consensus is non-custodial Bitcoin staking, which has delegated more than 9,000 Bitcoin to Core blockchain validators since its launch in April 2024. The approach centers around absolute timelocks, a Bitcoin native feature that allows holders to lock their Bitcoin for a predefined period of time during which it cannot be spent. While Bitcoin remains locked on the Bitcoin blockchain, stakers delegate that Bitcoin to elect Core validators, who secure Core and are rewarded with CORE tokens. Through this process, Bitcoin holders are rewarded with CORE tokens every day without giving up custody of their assets or taking on counterparty risk.

It is worth noting that Core has deep connections with the Bitcoin community, especially miners and Bitcoin holders. This makes Core different from other Bitcoin L2 or sidechain projects. More than 75% of the global mining hash power provides support to the Core network through Delegated Proof of Work (DPoW), contributing computing power to the verification nodes on the chain, and then receiving security rewards. The zero-risk and asset-free nature of non-custodial Bitcoin staking has made many large Bitcoin holders and institutions willing to trust Core's technology and entrust their Bitcoin to verification nodes to maintain the security of the network. Unlike other Bitcoin projects, Core pays more attention to meeting their concerns about security and practical needs when providing Bitcoin holders with income opportunities.

In January this year, the Bitcoin spot ETF was approved, and in November the results of the US election were released. Subsequently, the cryptocurrency industry once again became a hot topic. The traditional financial community has been looking for more flexible ways to participate in Bitcoin.

In this context, Core further launched the Fusion upgrade on November 19. The Fusion upgrade enhances Core's BTCFi ecosystem through Core dual staking and LstBTC, and also provides institutions with a more efficient way to participate.

Among them, the launch of the double pledge product aims to solve the problem of balanced distribution of community rewards that may be caused by Bitcoin pledgers locking their assets and receiving CORE token rewards through verification nodes during the non-custodial pledge process. Especially when institutions pledge a large amount of Bitcoin, the released CORE rewards will increase accordingly. Based on this background, in order to encourage Bitcoin pledgers to re-stake the received CORE rewards to the verification nodes, double pledge increases user participation willingness by providing a higher annualized rate of return (APY). Double pledge is divided into four levels, and the profit ratio varies according to the ratio of the number of staked COREs to Bitcoin. They are Base, that is, 0 CORE: 1 BTC; Boost, that is, 1,000 CORE: 1 BTC; Super, that is, 3,000 CORE: 1 BTC; Satoshi, that is, 8,000 CORE: 1 BTC, this level will get the highest profit ratio.

The basis for the dual staking operation is to further develop the non-custodial Bitcoin staking launched in April, allowing Bitcoin stakers to receive higher