Sui's Hashi to launch bitcoin collateral network with $500 million in commitments
In brief
- Sui's Hashi lets holders use bitcoin as lending collateral without moving it off the Bitcoin ledger.
- $500 million in capital commitments, not deposits, come from more than 20 industry partners.
- hBTC is minted by Hashi on Sui, backed by bitcoin locked in a 2-of-2 multisig vault.
- Anchorage Digital is a day-one launch partner and plans to supply stablecoin liquidity.
- Hashi mainnet is slated to roll out in phases later this month.
How the vault works
Hashi doesn't bridge BTC to another chain. Instead, users lock their bitcoin in a vault address directly on the Bitcoin blockchain, according to the announcement. A 2-of-2 multisig secures that address and requires sign-off from Hashi's validators, while a separate, independent guardian layer is designed to monitor and slow suspicious collateral movements.
From there, Hashi mints hBTC, a voucher token on Sui that's backed by the locked deposit. Apps on Sui can use hBTC for lending, borrowing, credit markets and real-world asset trading. When a user exits, the hBTC is burned on Sui, which triggers the multisig to release the original bitcoin back to them on the Bitcoin network.
The bitcoin never leaves its home chain.
The announcement, as reported by CoinDesk, said security firm Certora formally verified Hashi's smart contracts and that CommonPrefix reviewed the cryptography of its multi-party computation (MPC) protocol.
Who's backing it
The $500 million comes from a coalition of more than 20 industry partners. It's worth being precise: these are commitments, not immediate deposits. Anchorage Digital, led by CEO and co-founder Nathan McCauley, is a day-one launch partner and plans to supply stablecoin liquidity to the network.
Adeniyi Abiodun, co-founder and chief product officer of Mysten Labs (the original creator of Sui), made the case in the announcement:
"Hashi is launching with serious capital and a coalition of industry leaders because institutions want to put Bitcoin to work without giving up the protections they require"
Why idle bitcoin matters
Sui estimates that roughly $1 trillion worth of bitcoin is currently sitting idle. Holders already use bitcoin-collateralized loans to cover expenses like tuition, real estate purchases and corporate working capital, according to the report. Institutional and corporate balance-sheet holders, it said, haven't had a compliant, transparent ecosystem to deploy native bitcoin in defi.
That's the gap Hashi is aimed at. The number to watch once the phased mainnet rollout begins is how much of that $500 million turns into actual deposits.
Frequently asked questions
How does Hashi let bitcoin be used as collateral without bridging?
Users lock BTC in a vault address directly on the Bitcoin blockchain, secured by a 2-of-2 multisig that requires sign-off from Hashi's validators. Hashi then mints hBTC, a voucher token on Sui backed by that deposit, which apps on Sui can use for lending, borrowing, credit markets and real-world asset trading.
How do users get their bitcoin back from Hashi?
On exit, the hBTC voucher is burned on Sui. That triggers the multisig to release the original bitcoin back to the user on the Bitcoin network.
Is the $500 million already deposited in Hashi?
No. According to the announcement as reported by CoinDesk, the $500 million comes from a coalition of more than 20 industry partners and consists of capital commitments rather than immediate deposits.
