Stacks sees Bitcoin DeFi growth as Granite Protocol lands on Borrow on Bitcoin

The article highlights two Bitcoin-related developments: Granite Protocol’s listing on Borrow on Bitcoin and a broader assessment of Bitcoin’s current bear market. Granite, a Stacks-based Bitcoin liquidity platform, now offers a 1.66% APR variable borrow rate, materially below centralized lending rates of 7.25% to 18.9% and below many EVM DeFi markets. The piece argues that Stacks is strengthening its Bitcoin-native DeFi role through sBTC collateral, isolated liquidity pools, and no rehypothecation risk, though U.S. users are excluded. Separately, Bitcoin’s drawdown from its October 2025 peak above $126,200 to around $60,000 is framed as a historically mild 49%-51% bear market, with analysts expecting a cycle bottom in Q3 or Q4 2026. The market implication is that institutional accumulation may be creating a stronger floor for Bitcoin, potentially reducing volatility and deep discount buying opportunities compared with past cycles.