Overview
anetaBTC is a protocol that lets Bitcoin holders turn their BTC into cBTC, a matching token they can use across Cardano apps without selling the original coins. It suits Bitcoin owners who want to put their holdings to work in Cardano DeFi, where cBTC can be sent, traded, or used as collateral for loans. Each cBTC is designed to be backed one-for-one by real Bitcoin held in the protocol's vault1.
The project began on the Ergo blockchain and now runs on Cardano mainnet, where its smart contracts are written in the languages Cardano developers use2. It is community-funded rather than venture-backed, and its direction is decided by holders of two paired tokens, NETA on Ergo and cNETA on Cardano3.
Key Features
- Bitcoin you can use in Cardano DeFi. Wrapping turns BTC into cBTC, a Cardano-native token that can be swapped on exchanges, used in lending and borrowing apps, or sent like any other token1.
- A clear, step-by-step wrapping flow. You enter an amount in the app, send Bitcoin to the protocol's vault address with your Cardano address attached, and receive cBTC once the transaction confirms4.
- Moving toward shared control of funds. Newer versions replace a single team-held vault with a group of ecosystem participants who must jointly approve any movement of the underlying Bitcoin2.
- A token that shares protocol revenue. Holding cNETA lets you vote on decisions and earn a share of the fees the protocol collects, with the same rights extended to NETA holders on Ergo3.
- Open and community-funded. The protocol's code is published openly, and its development has been backed through community grants rather than private investors5.
What to Expect
The main app is where you wrap and unwrap Bitcoin. You connect a Cardano wallet, choose how much BTC to convert, and follow the prompts to send Bitcoin from your own wallet to the protocol's vault. The documentation is direct about the details that matter: tag the transaction with your Cardano address, never send from an exchange account, and allow up to a day for cBTC to arrive4.
Beyond wrapping, the app includes a dashboard, a swap screen, and a governance area where cNETA holders can take part in decisions6. Once you hold cBTC, you can take it into the wider Cardano ecosystem, for example trading it on a decentralized exchange or supplying it to a lending app.
