One of the major events that spearheaded the 2022 bear market was the wild hunt for projects and tokens that were securities.
Gary Gensler particularly went after projects like XRP and BNB; truth be told, they had a centralized distribution and centralized management of funds.
However, projects like Ethereum and BTC have been cleared because they do not promise returns and have network utility features. This also extends to DEFI activities, as DEFI staking activities do not promise guaranteed returns.
Recently, the SEC confirmed that certain staking activities and protocols are not securities, such as LBTC of Lombard finance.
This is a huge win; normally, you would have thought staking activities would have some form of scrutiny from the US SEC. For @LOMBARD_finance, it's very easy: they're building around Bitcoin, which is completely decentralized, with no centralized issues, and for another sentiment reason: the safest digital asset.
These are some of the advantages of building on BTC. If you need an additional reason why BTC DEFI has to be unlocked, here is one of the reasons why Lombard finance has chosen to be one of the earliest protocols to do so.
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