Anchorage Digital Partners with Build on Bitcoin
In a significant advancement for the decentralized finance (DeFi) landscape, Anchorage Digital, the sole federally chartered cryptocurrency bank in the United States, is teaming up with Build on Bitcoin (BOB) to enhance institutional access to Bitcoin’s DeFi ecosystem. This strategic partnership aims to facilitate greater participation from institutional players in the burgeoning Bitcoin financial markets by utilizing BOB’s innovative hybrid chain.
BOB’s Hybrid Solution
BOB’s hybrid solution employs zero-knowledge rollups, integrating the robust security of Bitcoin (BTC) with the decentralized financial capabilities of Ethereum (ETH). With Anchorage Digital’s involvement, institutions now have a regulatory bridge to engage with this emerging sector.
Institutional Access and Support
Institutions and asset managers keen on entering the Bitcoin finance domain can utilize BOB’s native token through Anchorage Digital Bank N.A. in the U.S. or via Anchorage Digital Singapore, which is recognized as a Major Payment Institution by Singapore’s Monetary Authority. Additionally, Anchorage Digital offers support for BOB through its Porto self-custody wallet.
Notable Collaborations
Notable financial entities like BlackRock and Cantor Fitzgerald have already begun utilizing Anchorage Digital’s services. BlackRock, for instance, designated the crypto bank as a custodian for its iShares Bitcoin Trust ETF earlier this April. This collaboration signifies another step toward reinforcing the Bitcoin DeFi ecosystem, which has seen impressive growth recently.
Growth in Bitcoin DeFi
According to DeFiLlama, the total value locked (TVL) in various decentralized finance protocols on Bitcoin currently exceeds $9.33 billion, a remarkable increase from around $4.6 billion in November 2024. This encouraging expansion leads to a historic peak of $11.5 billion in October 2025.
CEO’s Vision
Nathan McCauley, Anchorage Digital’s CEO, expressed optimism about the ongoing innovations, stating, “Bitcoin has proven itself as a secure and established network. Observing the evolution of smart contract functionality on Bitcoin is incredibly exciting. This progress paves the way for new applications that blend Bitcoin’s strength with innovative use cases. We are delighted to support pioneers like BOB and enable institutional involvement.”
Earning Yields on Bitcoin Holdings
Institutions and retail users alike can start earning yields on their Bitcoin holdings through BOB, which currently holds a TVL of over $250 million. Notably, most of the locked value in Bitcoin-related DeFi networks is concentrated within the restaking protocol Babylon, commanding over $5.68 billion, while Lombard Finance and Threshold Network account for $1.18 billion and $606 million, respectively.
Conclusion
Through this progressive collaboration, Anchorage Digital aims to stimulate the adoption of Bitcoin DeFi, paving the way for new financial possibilities within the growing BTCfi landscape.
