Merlin Chain has announced a strategic partnership with Takara Lend, a decentralized platform designed for token borrowing and lending. Collaboration between the two companies represents a major move in the world of decentralized finance, especially for BTC users.
Merlin Chain is a Layer-2 solution built on the Bitcoin blockchain, whose purpose is to improve the functionality of Bitcoin by solving processing speed and scalability limitations.
Takara Lend, on the other hand, is a decentralized protocol that runs on top of the SEI blockchain. This allows users to borrow and lend different assets on the Defi network, and earn profits through various trading activities.
🧙♂ 🧙♂merlin! 🪄
We are excited to announce a strategic collaboration between @takaralend and @merlinlayer2 and bring m-btc to @seinetwork.
By bringing M-BTC to Takara Lend with sei, we unlock the expanded yield and liquidity opportunities for both Bitcoin holders… https://t.co/Jiat6ebjga
– June 15th, 2025, Merlin Chain (@merlinlayer2)
Merlin will deploy to SEI
The alliance includes a strategic integration in which Merlin Chain and Takara combine high-tech infrastructure to extend the accessibility of Bitcoin offerings to Defi users around the world.
One of the major flagship products in the Merlin chain is MBTC. This integration includes a multi-chain bridging mechanism that allows for the transfer of MBTC from Merlin’s Layer 2 network to Takara Lending.
Takara Lend, running on the SEI blockchain, lists MBTCs. This means that MBTC, running on Merlin’s Layer-2 platform, can be used as a utility for users in the SEI ecosystem through Takara Lend. This mechanism uses distributed bridging solutions and smart contracts to ensure reliable, secure and seamless transfer of assets. Once MBTC reaches the SEI network, it is used by Takara Lend for various Defi activities.
Connect Bitcoin with the major defi ecosystem
The collaboration between the Merlin Chain and Takara Lenders retains a significant importance to the debt sector. First, the Alliance is set to unlock the potential of Bitcoin in a dynamic and rapidly growing sector. Despite Bitcoin being the biggest digital asset, its use has historically remained limited in the defi space due to its inherent blockchain design.
The Merlin Chain, the layer 2 solution for the Bitcoin blockchain, deals with this set-off. By introducing MBTC into SEI, this collaboration will further expand BTC applications beyond the scope of the main blockchain. This allows BTC users and Web3 participants to access a variety of yield farming, borrowing and lending opportunities associated with BTC in prominent chains like SEI.
The partnership also introduces more gateways to help BTC holders make more profits and improve liquidity. This approach will expand your investment strategy and allow BTC tokens to be more profitable in the Defi world.