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Botanix, a Bitcoin Layer 2 network, is shutting down. 🌌 Why did a Bitcoin scaling project fail while the ecosystem is supposedly booming? The reason: low transaction volume and fee revenue. Users weren't trading or using dApps—they were just parking assets long-term. That killed the economic flywheel. Weak token launches and a clear shift toward wrapped Bitcoin on Ethereum networks sealed the deal. Convenience beat decentralization. 📡 This is a reality check for the Bitcoin L2 narrative. The bull case for these networks is massive—unlocking BTC liquidity, native DeFi, and scaling. But the bear case is playing out now: if users prefer Ethereum's mature infrastructure and wrapped BTC, pure L2s struggle to gain traction. Liquidity is sticky where the action is. Upside path: A few Bitcoin L2s with strong token incentives and real dApp ecosystems could still break through. Downside risk: More closures if activity doesn't pick up. Users must withdraw assets before July 9. ⚡ Sharp takeaway: The market is voting with its feet—wrapped Bitcoin on Ethereum is winning the convenience war, and pure L2s need more than a narrative to survive. Disclaimer: Not financial advice. Do your own research. $STRAX $STG #Bitcoin #L2 #DeFi #Crypto