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What is Ducat Protocol?

Ducat is a Bitcoin Layer 1 credit protocol that allows users to borrow dollar-pegged assets against their BTC while retaining non-custodial control of the collateral. Borrowers lock Bitcoin into a 2-of-2 Taproot vault and can receive either UNIT or USDC without bridging or wrapping their BTC. The protocol's loan logic, vault creation, liquidation rules, and redemptions are enforced through Bitcoin transactions and Bitcoin Script. Ducat lets users choose a collateral ratio based on their risk tolerance and supports borrowing up to 62.5% of the BTC value deposited in a vault. Instead of charging recurring interest, the protocol applies a one-time 7% minting service charge when UNIT is issued. Borrowers can repay at any time and redeem their Bitcoin, with the protocol stating that BTC redemption can occur within a single Bitcoin block. UNIT is a dollar-pegged stablecoin backed by overcollateralized BTC and issued directly on Bitcoin Layer 1. The protocol also supports USDC conversion for users who prefer external dollar liquidity rather than holding UNIT. Position management tools provide collateral tracking, liquidation-price monitoring, real-time BTC price updates, and dynamic health indicators from a central dashboard. If a vault falls below the protocol's collateral threshold, third parties can participate in liquidations by recapitalizing the position and receiving BTC at a discount. Ducat is designed for Bitcoin holders, digital asset investors, institutions, and decentralized finance users who want Bitcoin-backed liquidity while keeping borrowing activity anchored to the Bitcoin base layer.

What is Bequest Finance?

Solutions for managing digital assets without custodial oversight, which emphasize adherence to regulations, allow clients to retain full control of their private keys. By utilizing tamper-proof and verified smart contracts, the entire process becomes both efficient and safe. Clients will find the experience remarkably easy, akin to filling out a regular form. This method not only fosters greater trust but also enables users to handle their assets with assurance. Furthermore, such a framework can adapt to evolving regulatory landscapes, ensuring sustained compliance over time.

Media

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Media

Integrations Supported

Bitcoin

Integrations Supported

API Availability

API Availability

Pricing Information

Pricing not provided
Free Version
Free Trial Offered?

Pricing Information

Pricing not provided

Supported Platforms

SaaS

Supported Platforms

SaaS

Customer Service / Support

Not specified

Customer Service / Support

Web-Based Support

Training Options

Not specified

Training Options

Online Training

Company Facts

Organization Name

Ducat Protocol

Date Founded

2000

Company Location

United Kingdom

Company Website

ducatprotocol.com

Company Facts

Organization Name

Bequest Finance

Company Website

www.bequest.finance/

Categories and Features

Categories and Features

Crypto

Not specified

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