Bitcoin Layer-2 Project BVM Sees Surge in Popularity Thanks to Exciting Airdrop Opportunities
Bitcoin Virtual Machine (BVM) is an up-and-coming layer 2 protocol built on the Bitcoin blockchain. This innovative project allows users to create their own layer 2 networks and boost the value of its native BVM tokens.
According to the developers, BVM stakers can look forward to “juicy” airdrops, which are expected to drive even more demand for the tokens. The anticipation of these airdrops has led to a significant increase in interest in Bitcoin Virtual Machine and its BVM tokens.
Recent data reveals that BVM tokens have experienced a remarkable 35% surge within the past 24 hours, outperforming the general market decline. In contrast, the CoinDesk 20 Index dropped by 5.3% during the same period. Remarkably, the value of the tokens has skyrocketed from an initial price of 20 cents on March 8 to $3.5.
Bitcoin Virtual Machine offers users the ability to create their own layer-2 networks on the Bitcoin blockchain. While Ethereum has long had multiple layer 2 projects aimed at facilitating faster and cheaper transactions, the Bitcoin ecosystem began exploring layer 2 solutions in earnest only in 2023 with the introduction of Ordinals technology.
The value proposition for BVM tokens is driven by staking rewards for holders and a share of the fees generated by the service. Notably, 40-50% of circulating BVM tokens are staked by holders. Furthermore, the development team is currently working on several exciting airdrop deals exclusively for BVM stakers, which are expected to be highly rewarding and enticing.
Recently, Naka Chain, a Bitcoin layer-2 protocol built on BVM, announced a massive airdrop of 10.5 million tokens to BVM stakers. The airdropped tokens will be distributed proportionally based on a user’s staked holdings and will be locked for a period of three months.
The emergence of tokens based on the Bitcoin blockchain gained momentum in mid-2023, with the introduction of Ordinals technology and BRC-20 tokens. The BRC-20 standard, introduced in April, enabled users to issue transferable tokens directly through the Bitcoin network for the first time. These tokens, known as inscriptions, function on the Ordinals Protocol and allow users to embed data into the Bitcoin blockchain by referencing digital art in small bitcoin-based transactions.
While Bitcoin’s usage in decentralized finance (DeFi) applications has largely been limited to tokenized representations of bitcoin on other chains like Ethereum or Solana, there is a growing opportunity for wealthy bitcoin holders to utilize their assets on native applications. This growing trend further fuels the investment thesis around Bitcoin-based projects such as BVM.
As of Friday, BRC-20 tokens have amassed a cumulative market capitalization of $3.5 billion, according to CoinGecko data. With the exciting developments and promising airdrop opportunities, it is no surprise that Bitcoin Virtual Machine and its BVM tokens continue to gain traction and capture the attention of traders and investors.