CSWAP has highlighted a new integration aimed at simplifying how Bitcoin holders can participate in decentralized finance on the Cardano network.
The update follows an announcement from $BTC Karma, CSWAP’s Bitcoin-native DeFi protocol, confirming support for the Phantom Wallet. With the integration now live, Bitcoin users can connect their Phantom wallets directly to $BTC Karma and stake $BTC in just a few clicks.
According to $BTC Karma, the new wallet support removes onboarding friction and creates a more straightforward path for Bitcoin holders seeking yield opportunities through decentralized finance applications.
CSWAP Positions Wallet Expansion as a Liquidity Gateway
Following the announcement, CSWAP emphasized the broader importance of the integration for the Cardano ecosystem.
The protocol noted that every additional wallet it supports lowers the barriers that prevent Bitcoin liquidity from flowing into Cardano-based applications. Consequently, the addition of Phantom support marks another step toward attracting the next generation of Bitcoin DeFi users.
“Every wallet we support makes it easier for Bitcoin liquidity to enter the Cardano ecosystem,” CSWAP remarked.
CSWAP CEO Hints at More Integrations
Reacting to the launch, CSWAP founder and CEO Jon Kravetz reiterated the team’s commitment to expanding $BTC Karma’s reach across additional wallets and user communities.
He described the Phantom integration as part of a broader effort to extend the $BTC Karma ecosystem across the cryptocurrency industry. Furthermore, Kravetz hinted that the team is already developing additional integrations, signaling plans to continue lowering entry barriers for Bitcoin holders interested in Cardano’s DeFi opportunities.
Just added @phantom wallet support on @btc_karma.
We’re spreading good $KARMA far and wide.
We’re turning bitcoin…in to productive capital one wallet at a time. (There’s more coming!) https://t.co/npV7lJoNyQ
— Jon Kravetz (@CSWAP_Destroy) June 30, 2026
For context, $BTC Karma is widely regarded as the first Bitcoin-native DeFi protocol operating directly on the Cardano mainnet. The platform serves as a bridge, allowing Bitcoin holders to earn yield and receive new tokens while participating in the Cardano ecosystem.
Notably, the protocol’s design aligns closely with Cardano founder Charles Hoskinson’s vision of bringing idle Bitcoin capital into the ADA ecosystem. Hoskinson argued that Cardano can unlock more than $2 trillion in Bitcoin DeFi opportunities, stressing that the network has a strong chance of becoming a major player in the emerging sector.
Cardano Continues to Expand Its Bitcoin DeFi Ambitions
Meanwhile, Cardano continues to advance its broader DeFi strategy through several processes, including Bitcoin integration initiatives.
Earlier this year, Fluid Tokens completed the first atomic swap between Bitcoin and Cardano, demonstrating growing interoperability between the two networks. In addition, Cardano previously introduced its first Bitcoin DeFi protocol, Cardinal, which allows $BTC holders to bridge and stake their assets without selling them.
Hoskinson also revealed plans earlier this year to launch a one-click Bitcoin yield system on Cardano before year-end. However, the project has yet to provide an update on its progress.
In the meantime, competition in the Bitcoin DeFi sector continues to intensify, with rivals such as Flare arguing that they are better positioned to lead the race for Bitcoin-based decentralized finance.
