Botanix Labs, a developer of Bitcoin Layer 2 networks, has announced the shutdown of its network after one year in operation.
The decision was made due to insufficient user demand and economic unsustainability. Despite processing 25 million transactions and supporting 200,000 wallets without security issues, the network failed to generate enough revenue from transaction fees to sustain itself.
The closure highlights broader challenges in sustaining Bitcoin-native decentralized finance (DeFi) platforms amid growing preference for centralized financial services and wrapped Bitcoin products on other networks.