Sui launches Hashi on devnet, enabling native Bitcoin to be used as collateral in DeFi without wrapping or centralized custody.
Author: Akshat Thakur
Steady attention without excessive speculation.
March 20, 2026 Sui launches Hashi on devnet, introducing a system that allows users to use native Bitcoin directly as collateral inside smart contracts. The goal is to bring Bitcoin into DeFi without wrapping or centralized custody. Bitcoin remains the largest asset in crypto, yet only a small fraction participates in decentralized finance. Hashi aims to change that.
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SEMARGL
@se_margl
@SuiNetwork ngl btc holders finna start borrowing without selling their bags fr
Introducing Hashi: a new era of Bitcoin finance on Sui. Bitcoin's market cap exceeds $1 trillion. < 0.5% of it is used in DeFi. Hashi is here to change that, with commitments from industry leaders including BitGo, Bullish, Erebor Bank, FalconX, Fordefi, Ledger, and more. https://t.co/THahaevmp4
04:39 AM·Mar 20, 2026
Darks1de🤖
@_thedarkrealm
@SuiNetwork That's a serious lineup. This isn't a scrappy DeFi experiment - those commitments signal institutional-grade infrastructure from day one. Breaking down why each name matters: Custody & Security BitGo - the gold standard for institutional BTC custody. Their involvement means the
Introducing Hashi: a new era of Bitcoin finance on Sui. Bitcoin's market cap exceeds $1 trillion. < 0.5% of it is used in DeFi. Hashi is here to change that, with commitments from industry leaders including BitGo, Bullish, Erebor Bank, FalconX, Fordefi, Ledger, and more. https://t.co/THahaevmp4
11:42 PM·Mar 19, 2026
Farmercist 👨🌾 🦅
@Farmercist
@SuiNetwork Bitcoin should be much more than just a store of value! So it's definitely interesting to see that Hashi is directly creating Defi opportunities for otherwise dormant BTC holdings. Big W for Sui and Bitcoin believers
Introducing Hashi: a new era of Bitcoin finance on Sui. Bitcoin's market cap exceeds $1 trillion. < 0.5% of it is used in DeFi. Hashi is here to change that, with commitments from industry leaders including BitGo, Bullish, Erebor Bank, FalconX, Fordefi, Ledger, and more. https://t.co/THahaevmp4
03:35 PM·Mar 19, 2026
Sui launches Hashi as a decentralized primitive designed to unlock Bitcoin liquidity. Bitcoin’s market cap exceeds $1 trillion, but less than 0.5 percent of that supply currently participates in DeFi. (Source: Sui X Announcement)
Hashi targets that gap by allowing users to use actual BTC, not synthetic versions, inside programmable financial systems.
The launch also includes early backing from custodians like BitGo, Ledger, and Fordefi, along with trading firms such as FalconX and Bullish. Sui-native protocols including AlphaLend, Navi, Scallop, and Suilend are also preparing integrations.
The process starts on Bitcoin itself. A user sends BTC to a unique multisig address generated by Hashi. Sui validators monitor the transaction through their own Bitcoin nodes. Once confirmations are complete, the system activates an equivalent position on Sui.
That position becomes usable as collateral. Users can borrow stablecoins, access structured products, or deploy capital into yield strategies using standard Sui tools and wallets.
When the position closes, the system releases the original BTC back to the user through multi-party computation signing. The entire flow remains verifiable across both chains without manual intervention.
Src: Hashi Docs
Sui has positioned itself as a high-performance Layer 1 built for complex financial applications. Its architecture, based on an object-centric model and the Move programming language, supports scalable execution across DeFi, stablecoins, and real-world assets.
Bitcoin, on the other hand, has largely remained outside this ecosystem. Most of its value stays idle because integrating BTC into DeFi usually requires wrapping or centralized custody. Hashi connects these two worlds by keeping Bitcoin native while making it usable inside programmable finance.
Bitcoin holders have historically faced a trade-off. They either sell BTC to access liquidity or rely on centralized platforms with limited transparency.
Hashi removes that choice. Users can now borrow or generate yield while keeping Bitcoin secured on its original chain.
Adeniyi Abiodun, co-founder of Mysten Labs, explained the opportunity:
“Think of Hashi as the unlock for developers to design solutions opening access to trillions in BTC liquidity.”
Even a small increase in Bitcoin participation could bring significant capital into DeFi.
Hashi is now live on Sui devnet, where developers can test deposits, collateral flows, and lending use cases. (Source: Sui Hashi Devnet) Mainnet rollout is expected later in 2026, starting with BTC-backed lending products.
Mike Belshe, CEO of BitGo, highlighted institutional demand:
“Institutional demand for Bitcoin-native financial services is growing, and Hashi presents a new way to connect native BTC on Sui’s programmable chain.”
Developers and partners are expected to launch lending markets and vaults soon after mainnet deployment. (Source: Sui Blog)
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