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Sui Launches Hashi Testnet, Bringing Bitcoin-Backed Lending Closer to Mainnet

Sui has launched its Hashi testnet, enabling developers and institutions to trial Bitcoin-backed lending applications before the mainnet release. This system allows native Bitcoin to be used as collateral on the Sui network without leaving the Bitcoin blockchain, governed by smart contracts and secured by a new Guardian Layer for enhanced safety. Over 25 partners, including major custody and trading firms, are testing the infrastructure, with legal analysis suggesting deposits and redemptions may not be taxable events in the U.S.

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