The Stacks-based Bitcoin lending protocol now appears beside centralized and DeFi rivals on Sypher Capital’s comparison platform, highlighting lower borrowing costs but also its U.S. user restriction.
Granite Protocol, a Bitcoin liquidity platform built on Stacks, has been added to Borrow on Bitcoin, a rate comparison platform operated by Sypher Capital. The July 29 listing places Granite’s terms alongside centralized finance and EVM-based DeFi markets, where its variable 1.66% APR borrow rate compares with 7.25% to 18.9% APR in centralized lending and 3.57% to 8.02% APR in EVM-based DeFi. The protocol lets users post sBTC (Stacks’ 1:1 Bitcoin-backed asset) as collateral to borrow USDCx. Users can convert BTC to sBTC through the official Stacks bridge before using it in Granite. Its design relies on isolated liquidity pools, meaning each market operates separately rather than sharing risk across the entire platform. Granite also says it avoids rehypothecation (reusing pledged collateral) by not lending out deposited collateral, and it uses soft liquidation mechanics instead of hard liquidations for undercollateralized positions. The listing comes as Stacks continues its broader push into Bitcoin DeFi. In Q1 2026, sBTC total value locked peaked at $545 million, while total deployed DeFi capital across the Stacks ecosystem reached $121 million. Granite’s own TVL has fallen from about $26 million to a current range of $7.5 million to $12 million. Borrow on Bitcoin functions as a comparison tool rather than a lender, and Granite’s inclusion may help it reach users seeking Bitcoin-backed loan terms. The protocol remains unavailable to users in the United States, a constraint the source says limits its growth ceiling.