Strudel Finance | Bridging the Gap Between ETH and BTC in a Unique Way

    BERLIN, GERMANY, February 25, 2021 /24-7PressRelease/ -- Strudel Finance the first trustless bridge connecting Bitcoin and Ethereum. Users need such systems to leverage the Decentralized Finance innovations that have helped make the digital currency network faster, secure, and smoother. Where Bitcoin lacks modern systems like smart contracts and a diversified network, which makes it slow and insecure, Strudel Finance fills those gaps making Bitcoin even more efficient, secure, and profitable.

Strudel Finance Links Bitcoin and Ethereum
By way of its operation, Strudel Finance connects both these cryptocurrencies resulting in the creation of another asset, vBTC. With the inception of vBTC, users can easily trade off the counterparty risk for market risk. This means that the parties involved in trade with vBTC cannot dishonor the agreement and thus user's investment will always be safe. Strudel Finance, by way of its operational system ensures that the user's interests are always protected.

In the future, Strudel Finance has the potential to change the static systems of blockchain and bring about dynamism into the entire framework. This is done to liberate BTC from the traditional trading markets that can put BTC and its investors through systemic risk and impromptu regulations just like the assets running on wall street are currently exposed to.

Strudel Burns Bitcoin Permanently
Users planning to use the Strudel Finance platform must be aware of the fact that once their BTC is burned and converted, it cannot be reversed to obtain its original form. Having said that, the burning of the BTC to vBTC with Ethereum is done in a 1:1 ratio.

This means that by giving 1 BTC the users will receive 1 vBTC in return and this action is irreversible. BTC has a centralized character and the network does not have smart contracts. vBTC is an ERC-20 compatible token that runs under a decentralized structure giving the users freedom to trade their assets as per their understanding and requirements.

The wrapped BTC under Strudel Finance is Better
There are other similar mechanisms that allow wrapping the BTC into their dedicated assets, such as WBTC or RENBTC. One of the major concerns about this wrapping is the changes in the value of the wrapped token.

With other wrapped BTC tokens, there is a risk of losing their value because they utilize the Multi-Sig technology to secure and encrypt the wrapped token's value. There are 12 signers under the multi-sig technology that keeps everything in place. But in case, these 12 signers decide to collude together and remove the security layer, the wrapped BTC will lose its pegged value causing a plummeting decrease in the value.

vBTC under Strudel Finance offers a unique and innovative solution by leveraging a set of crypto economic incentives and integration with other protocols to induce demand for the product that mantains the price.

Price Stability of vBTC
Value or price collapse is one of the major issues faced by wrapped tokens. In a market that is defined by competition, the users cannot afford to take a wrong step and risk losing their investment. So, to help the users with keeping their assets strong, vBTC can be used to deposit liquidity in the vBTC/ETH pool and earn fees for facilitating market activities.

Furthermore, alongside the wrapping operation, $TRDL is minted and early users or adopters stand to gain a heavy reward from this transfer. The same $TRDL is also distributed per block to the liquidity providers contributing to the Terra-farming pools present on the Strudel Finance platform.

Algorithm to Maintain the Price Stability
To maintain stability between the BTC and ETH market prices, the Strudel Finance platform uses a smart system. In case the price is stable and the BTC/ETH price correlates, the users earn rewards.

In case, vBTC is higher than BTC, a dutch auction can be started by $TRDL holders to liquidate vBTC. The profits from this trade are used to buyback $TRDL and then burn them to increase the value of the $TRDL token. In case vBTC is less than BTC, the additional liquidity is used to maintain the market price with arbitrage trading.

About Strudel Finance
Strudel Finance is a unique and innovative solution provider that not only has an in-built token wrapper algorithm, but also has different farming pools, bridges BTC into a DeFi ecosystem, and creates the potential for liquidity providers to earn. All these functions are facilitated via smart contracts with a decentralized system making vBTC a much more time-oriented and advanced asset in the digital economy.

Media Contact
Xavier Vera Verduga - COO
Email - [email protected]

PR - Cryptoshib.com
Email - [email protected]

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