Bitcoin, the "gold" of the digital age, has long been regarded as a static asset. However, with advancements in technology and the development of financial innovations, a new possibility is emerging.



Plume Network has proposed a revolutionary concept aimed at activating dormant Bitcoin assets, transforming them into dynamic capital that can generate real returns. At the core of this innovative model is the close connection between Bitcoin and the real economy.

Traditionally, most Bitcoin is either stored in cold wallets or invested in ETFs, lacking the ability to generate returns. Traditional lending and DeFi models often rely on issuing new coins or internal fund circulation to obtain profits, which can easily lead to bubble formation or risk concentration.

The approach of Plume Network is unique. It directly connects to off-chain economic activities by using Bitcoin as collateral. Specifically, this includes purchasing U.S. Treasury bonds and money market funds to earn interest, as well as investing in institutional loans and real-world asset (RWA) products to generate cash flow.

The advantage of this approach is that the revenue comes from real cash flow rather than artificial subsidies. At the same time, the risks are also diversified across various protocols and assets, enhancing transparency and security. More importantly, due to the enormous scale of the US bond market and global financial markets, this model has the potential to accommodate trillions of dollars worth of Bitcoin assets.

Through the design of Plume Network, Bitcoin is expected to transition from a "static asset" to a "dynamic capital". This not only provides financing and credit expansion support for the RWA market but also serves as an entry point for real yields, allowing Bitcoin holders to share in the dividends of global economic growth.

This innovative model may drive the integration of decentralized finance (DeFi) with traditional finance (TradFi), making Bitcoin a universal productive capital across chains, borders, and financial systems. This marks a significant transformation for Bitcoin, evolving from a mere store of value into a financial asset that can actively participate in global economic activities.

With the advancement of this concept, we may soon witness a new chapter in the Bitcoin ecosystem, which will redefine the role and value of digital assets in the global financial system.
BTC0.39%
PLUME0.38%
View Original
post-image
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • 8
  • Repost
  • Share
Comment
0/400
CascadingDipBuyervip
· 3h ago
Goodness, they're going to Be Played for Suckers again.
View OriginalReply0
BlockchainTherapistvip
· 23h ago
Another new IQ project... not quite sure about it.
View OriginalReply0
OvertimeSquidvip
· 09-19 17:55
Only fragrant and spicy enough to be flavorful
View OriginalReply0
MetaverseLandlordvip
· 09-18 21:49
Another Be Played for Suckers
View OriginalReply0
DataChiefvip
· 09-18 21:43
Let's give it a try, buy the dip first.
View OriginalReply0
WenAirdropvip
· 09-18 21:32
Here we go again, trying to follow!
View OriginalReply0
GasWaster69vip
· 09-18 21:27
They really have played with the interest-bearing coin creatively.
View OriginalReply0
DefiVeteranvip
· 09-18 21:26
Are they going to Be Played for Suckers again? Why make it so complicated?
View OriginalReply0
Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
English
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)