Sui Unveils Bitcoin Financial Infrastructure ‘Hashi’

Sui said on the 20th that it is rolling out key infrastructure dubbed ‘Hashi’ to put trillions of dollars’ worth of idle Bitcoin (BTC) assets to work in on-chain finance, stepping up its push into an institution-led Bitcoin financial market.

Through Hashi, Sui plans to build an environment where users can access a range of decentralized finance (DeFi) services—such as stablecoin lending and structured products—using Bitcoin as collateral. The infrastructure is designed around smart contracts that execute automatically without intermediaries.

Bitcoin currently represents about $1.4 trillion in assets, but only around 0.22% is utilized in DeFi. Even with the emergence of synthetic Bitcoin products, analysts say limited collateral transparency has constrained inflows from institutional investors.

To address these issues, Hashi introduces a structure that allows direct use of native BTC. Users can borrow stablecoins against Bitcoin collateral or, conversely, borrow BTC against stablecoin collateral, with cross-chain asset transfers handled automatically.

Major institutions have lined up even ahead of launch. Bitgo, Bullish, B, FalconX, Erebor Bank, Ledger, and FordeFi, among other global finance and custody firms, have confirmed participation. Sui ecosystem protocols including Alphaland, Navi, Scallop and Suilend are also joining from the outset.

Erebor Bank, in particular, will support on- and off-ramps to connect on-chain and off-chain fund flows. FalconX and Bullish will participate as liquidity providers for Bitcoin and stablecoins.

Adeniyi Abiodun, co-founder and chief product officer (CPO) at Mysten Labs, said, “Hashi is critical infrastructure that enables developers to access large-scale Bitcoin liquidity,” adding, “New financial services built on Bitcoin will begin to emerge in earnest.”