Why ChainKeyX

One of the primary motivations that draw most of us into the world of digital assets and blockchain technology is our belief in the concept of self-custody of assets, encapsulated by the famous adage: "Not your keys, not your coins."

However, when it comes to the self-custodial management of assets, particularly with assets like Bitcoin, we encounter two significant challenges. Firstly, the opportunities for generating yield are often limited, and secondly, the transaction fees can be prohibitively high on the main networks of Bitcoin and Ethereum. These hurdles have led to a scenario where most trading and lending/borrowing activities gravitate towards centralized exchanges or using assets like wrapped Bitcoin (wBTC) within the Ethereum ecosystem. The emergence of layer 2s on both networks alleviates some of these challenges but the co

ChainKeyX was started to address these challenges. ChainKeyX is a DeFi protocol designed to provide the same financial services of swapping, borrowing & lending of both Bitcoin and Ethereum assets but with the benefits of low transaction costs and a commitment to the core principles of decentralization and self-custody of assets. We seek to uphold the original ethos of the crypto community by making cross-chain and self-custodial asset management more capital efficient than today. Capital efficiency in two ways. Firstly, low on-chain transaction cost for swapping, borrowing and lending of BTC & ETH assets using Chain-Key technology of ICP. Secondly, the use of liquid staking mechanics to replicate the traditional finance money multiplier effect to increase liquidity across the crypto ecosystem (more on that in following chapters).

The team has over a decade experience in Tradfi, Fintech and Defi. The team is a receipient of developer grant from Dfinity Foundation to build a world class on-chain financial service in the ICP ecosystem.