Bitcoin-native NFTs (Ordinals) can now move to the Cardano blockchain, thanks to a new interoperability protocol called BitVMX, unveiled by Input Output (IO) during the Bitcoin 2025 conference in Las Vegas. This development marks a significant milestone in bringing Bitcoin DeFi (BTCFi) closer to reality.
Bridging Bitcoin to Cardano: BitVMX in Action
The on-chain transaction was enabled by BitVMX, a novel interoperability protocol built using the BitVM programming language. BitVMX allows the secure transfer of Ordinals — unique satoshis inscribed with data — from the Bitcoin network to Cardano’s smart contract-enabled infrastructure.
The bridge is not just a technical achievement, but a preview of deeper integration between Bitcoin and Cardano, IO said in a statement.
Introducing “Cardinal”: A New Bitcoin x Cardano Protocol
IO also introduced a new protocol called Cardinal — a combination of “Cardano” and “Ordinals” — designed to allow Bitcoin-native assets to interact with Cardano-based DeFi applications.
Using BitVMX, Cardinal can assign BTC-native NFTs (Ordinals) to Cardano wallet addresses, effectively porting the assets across chains without compromising the integrity of Bitcoin’s base layer.
What Are Bitcoin Ordinals?
Ordinals were introduced in early 2023, allowing users to inscribe data directly onto individual satoshis, turning them into non-fungible tokens (NFTs) on the Bitcoin blockchain. Each inscribed satoshi becomes unique and traceable, giving rise to an entirely new ecosystem of Bitcoin-native digital collectibles.
Why This Bridge Matters: Unlocking BTC Liquidity for DeFi
By enabling Ordinals to be transferred to Cardano, IO’s BitVMX-powered bridge can help unlock billions in idle Bitcoin liquidity, giving BTC holders access to yield-generating DeFi services on Cardano — such as lending, staking, and token swaps — without selling or wrapping BTC.
This marks a major step forward in bringing the two largest blockchain ecosystems — Bitcoin’s security and Cardano’s smart contract capabilities — into synergy.
What’s Next?
The BitVMX bridge and Cardinal protocol are just the beginning. Input Output envisions a future where BTC holders can seamlessly interact with Cardano DeFi, while retaining the native qualities of their Bitcoin assets.
As more cross-chain infrastructure comes online, the Bitcoin DeFi narrative is likely to strengthen, and Cardano may well become a key platform for BTC-based decentralized finance.