Citrea unveils Bitcoin Layer 2 mainnet with ctUSD stablecoin

Citrea launched its zero-knowledge Bitcoin Layer 2 mainnet, enabling lending, trading, and USD settlement. The platform introduced ctUSD and supports BTC-backed DeFi products, expanding Bitcoin’s financial utility.

Citrea has launched its zero-knowledge-powered Bitcoin Layer 2 mainnet, marking a major step forward for Bitcoin’s financial ecosystem. This mainnet enables lending, trading, and USD-denominated settlement directly on the Bitcoin network, aiming to unlock dormant capital and increase on-chain activity. Citrea introduced ctUSD, a U.S. dollar stablecoin issued by MoonPay and powered by M0, fully backed by short-term U.S. Treasury bills and cash. The stablecoin is designed for compliance with the upcoming GENIUS Act, ensuring regulatory alignment. Utilizing zkEVM technology, Citrea processes thousands of transactions off-chain, aggregating them into cryptographic proofs on Bitcoin’s base layer to boost throughput while maintaining security. The ecosystem features over 30 Bitcoin apps, partnerships with Morpho, UltraYield, and Keyrock, and supports BTC-backed lending and structured products. The Clementine bridge leverages BitVM and zero-knowledge proofs to deliver cBTC, eliminating reliance on multi-sig custodians and enabling a programmable Bitcoin environment. This launch significantly expands Bitcoin’s DeFi capabilities.