CORN: An Ethereum Layer 2 Solution Using Bitcoin as Gas

·

CORN is an innovative Ethereum Layer 2 solution that leverages Bitcoin as its primary fuel, bridging the gap between two of the most powerful blockchains in the crypto ecosystem. By integrating the VeChain Super Yield Network and the Crop Circle system, CORN enhances transaction efficiency and unlocks new DeFi opportunities for Bitcoin holders. The platform utilizes $BTCN—a 1:1 Bitcoin-pegged token—as its gas currency and $CORN as its governance token. Additionally, CORN features a unique Kernels points system that incentivizes user contributions through asset deposits, task completion, and referrals. Backed by leading DeFi experts and major investors, CORN is poised to revolutionize the BTCFi space by seamlessly connecting Bitcoin’s security and value with Ethereum’s scalability and smart contract capabilities.

Overview of the CORN Project

CORN stands out as a distinctive Ethereum Layer 2 blockchain that uses Bitcoin (BTC), rather than Ether (ETH), to cover transaction fees and secure network operations. This makes it the first Bitcoin-centric high-yield network in the DeFi landscape. By introducing BTCN—a hybrid tokenized form of Bitcoin—CORN expands Bitcoin’s utility in decentralized finance through mechanisms like Super Yield Farming and the Crop Circle system.

This integration enables smoother interoperability between Bitcoin and Ethereum, boosting Bitcoin liquidity while maintaining security and decentralization. In a crowded Layer 2 market dominated by ETH-based solutions, CORN carves a unique niche by combining Bitcoin’s store-of-value properties with Ethereum’s robust DeFi infrastructure, offering users a novel platform that leverages the strengths of both ecosystems.

👉 Discover how Bitcoin-powered DeFi is reshaping Layer 2 scalability and yield opportunities.

Team and Funding Behind CORN

In August 2024, CORN successfully raised $6.7 million in a seed round led by Polychain Capital, with participation from Binance Labs and Framework Ventures—clear signals of strong industry confidence in the project’s vision. This strategic funding supports CORN’s development roadmap and ecosystem expansion.

The team comprises seasoned DeFi professionals with prior experience in high-impact projects such as BadgerDAO, Code4rena, Slingshot, and 0xBow. Their deep expertise in protocol design, security auditing, and decentralized governance provides a solid foundation for CORN’s technical innovation and long-term sustainability.

Following the seed round, HTX Ventures—the investment arm of Huobi—made a strategic investment in CORN. Known for backing cutting-edge blockchain initiatives, HTX Ventures’ involvement underscores growing market interest in CORN’s pioneering approach to Bitcoin yield generation and cross-chain integration.

Technical Architecture and Core Mechanisms

Bitcoin-Based Layer 2 Network

CORN is an innovative Ethereum Layer 2 network built around Bitcoin. It connects the Bitcoin and Ethereum ecosystems, enabling Bitcoin holders to access advanced DeFi applications while benefiting from Ethereum’s scalability, lower transaction costs, and faster processing speeds.

Unlike traditional Layer 2 solutions that rely on ETH for gas, CORN uses Bitcoin-pegged assets to power transactions, creating a more inclusive environment where BTC holders can actively participate in DeFi without converting their assets into other tokens.

Super Yield Network: Inspired by veTokenomics

CORN adopts the veTokenomics model popularized by Curve Finance, implementing a unique “Crop Circle” mechanism to incentivize users, liquidity providers (LPs), and developers. The network uses tokenized Bitcoin (BTCN) as both a gas token and economic incentive, aiming to unlock Bitcoin’s latent liquidity and build a sustainable BTCN-based DeFi ecosystem.

Key Tokens in the CORN Ecosystem

Kernels: The Incentive Points System

At the heart of CORN’s user engagement strategy is the Kernels points system—a non-token reward mechanism designed to drive early adoption and community contribution. CORN has explicitly stated that there will be no KERNEL token, warning users against scams.

Users earn Kernels by participating in early access programs through:

How Kernels Are Calculated

To qualify for the bonus, accounts must meet specific criteria and maintain balances above a defined threshold.

Three Ways to Earn Kernels

  1. Deposit Assets: Users earn 1 Kernel for every $1 deposited into approved vaults every 210 minutes. Withdrawals are penalty-free at any time.
    Eligible assets: wBTC, wETH, rsETH, USDC, DAI, sDAI, USDe.

    Some vaults offer Juice—a multiplier that boosts Kernel earnings:

    • 1.25x: CORN-sDAI Vault, CORN-weETH Vault
    • 1.5x: CORN-eBTC Vault, CORN-LBTC Vault
    • 2x: CORN-BTCN Vault, LOMBARD-LBTCv Vault
    • 3x: PENDLE-solvBTC.BBN Vault, PENDLE-LBTC Vault, PENDLE-uniBTC Vault, PENDLE-pumpBTC Vault

    Juice increases Kernel Per Hour (KPH) rates—especially when depositing into Pendle-based vaults—allowing users to maximize rewards.

  2. Complete Tasks: Users can earn Kernels by completing quests on Galxe (app.galxe.com/quest/CORN). Each point earned equals one Kernel. Matching your Galxe wallet address with your CORN account is crucial to avoid losing credit.

  3. Referral Rewards: Eligible users receive unique invite codes. Kernels accumulate during airdrop events based on referral tiers:

    • 20% of direct referrals’ Kernel earnings
    • 12% from second-level referrals
    • 6% from third-level referrals
    • 3% from fourth-level referrals

Future phases may expand Kernel utility—potentially redeemable for $CORN airdrops or exclusive privileges—making early participation highly valuable.

👉 Start earning high-yield rewards by staking BTC-backed assets in next-gen DeFi protocols today.

Real-World Use Cases and Ecosystem Integration

BTCFi: Re-Staking Bitcoin for Maximum Returns

CORN’s primary application lies in BTCFi (Bitcoin Finance)—a growing movement focused on re-staking Bitcoin to generate yield while preserving its security and decentralization.

By adopting a Curve-like ve-token model and integrating with platforms like Pendle, CORN taps into the rising BTCFi trend. This synergy allows Bitcoin holders to maximize returns while adding value to the CORN ecosystem and $BTCN token holders.

A key component is LBTC, a liquid staking token backed by Lombard and secured by Babylon’s Bitcoin staking infrastructure. Users who deposit LBTC into CORN support early access programs and earn Kernels—later convertible into $CORN airdrops.

Other re-staked Bitcoin products available on Pendle include:

Strategic Partnerships: Babylon, Lombard, Pendle & Solv

In September 2024, CORN announced a major integration allowing users to deposit Lombard’s $LBTC into Pendle’s Corn Pool—unlocking compounded yields from both Lombard and CORN (up to 3x multipliers), plus Lux points, Lombard-native points, and Kernels.

Key partners include:

Yield Optimization Through Ecosystem Integration

CORN has integrated with leading protocols like Pendle and Babylon to create powerful yield-generation opportunities. These partnerships enable participants to earn Kernels alongside external rewards such as Babylon Points, Bedrock XP, and Solv XP.

Pendle Liquidity Pools

Pendle offers flexible entry and exit from liquidity pools at market price, reducing impermanent loss (IL) risk through structured pools using underlying assets and PTs.

The CORN pools on Pendle deliver high APYs on BTC-denominated deposits:

(Source: app.pendle.finance/trade/pools)

Pendle Points Marketplace

Users can earn rewards through three strategies:

Purchasing YT tokens in Pendle’s Corn Pool amplifies point accrual:

Frequently Asked Questions (FAQ)

Q: What is $BTCN?
A: $BTCN is a tokenized form of Bitcoin pegged 1:1 to BTC. It serves as the gas token on the CORN network and can be minted via trusted custodians or cross-chain protocols.

Q: Is there a KERNEL token?
A: No. Kernels are reward points only—there is no KERNEL token. Beware of scams claiming otherwise.

Q: How do I earn Kernels?
A: Deposit eligible assets into vaults (especially Juice-enabled ones), complete Galxe quests, or refer others using your invite code.

Q: What is the role of $CORN?
A: $CORN is the governance token. Locking it grants voting power, influences reward distribution, and enables participation in protocol decisions.

Q: Can I withdraw my deposits anytime?
A: Yes. All vault deposits are non-locking—users can withdraw at any time without penalties.

Q: How does CORN differ from other Layer 2 solutions?
A: Unlike ETH-based L2s, CORN uses Bitcoin as gas fuel via BTCN. It uniquely combines veTokenomics with multi-tier incentives to drive BTC adoption in DeFi.

Conclusion

CORN represents a bold step forward in blockchain interoperability and Bitcoin utility. By using Bitcoin as gas through its BTCN token, it creates a seamless bridge between Bitcoin’s security and Ethereum’s DeFi capabilities. With strong backing from top-tier investors like Polychain Capital and Binance Labs—and strategic partnerships with Babylon, Lombard, Pendle, and Solv—CORN is well-positioned to lead the emerging BTCFi movement.

Its innovative Kernels points system encourages early participation without speculative token launches, while integrations with high-yield platforms offer tangible returns. As CORN continues refining its cross-chain bridges and expanding BTCN adoption, it has the potential to become a cornerstone of the next-generation DeFi ecosystem—where Bitcoin isn’t just stored but actively deployed to generate value.

👉 Explore how next-gen Layer 2 networks are unlocking unprecedented yields for Bitcoin holders.