Botanix Will Shut Down Bitcoin Layer-2 Network in July, Citing Lack of DeFi Demand

Botanix announced its decision to shut down its Bitcoin layer-2 network on July 15, 2024, citing insufficient demand from the decentralized finance (DeFi) sector. The company has instructed users to withdraw all their funds from the network before the shutdown date. Botanix's primary goal was to enhance Bitcoin's utility for DeFi applications by enabling smart contracts and faster transactions, but this vision did not materialize due to a lack of adoption. The team stated that while they explored various strategies to foster growth, including potential partnerships and protocol upgrades, the current market conditions and limited DeFi activity on their platform made continued operation unsustainable. Botanix will provide support for fund withdrawals until the July 15 deadline, after which the network will cease to function. The company expressed gratitude to its community and acknowledged the challenges in building a new ecosystem on Bitcoin.