Bitcoin and Ethereum have long represented two different philosophies in blockchain design. Bitcoin prioritizes security and immutability, while Ethereum focuses on programmability and flexible application development. Hemi was created to bridge this divide, offering a modular Layer 2 network where both ecosystems can operate together rather than in parallel.
Hemi’s core idea is simple but ambitious: allow developers to build applications that can read and react to Bitcoin state directly, while still using Ethereum-compatible smart contracts and tooling.
What Is Hemi?
Hemi is a modular Layer 2 blockchain designed to connect Bitcoin and Ethereum within a shared execution environment. It combines Bitcoin-anchored security with Ethereum-style programmability, giving decentralized applications the ability to interact with Bitcoin data without sacrificing compatibility with the EVM.
This is made possible through two core innovations. The first is the Hemi Virtual Machine, an EVM-compatible environment that embeds a Bitcoin node directly inside the execution layer. The second is Proof of Proof, a consensus model that anchors Hemi’s state to the Bitcoin blockchain, reinforcing finality and security.
Together, these components allow applications on Hemi to use Bitcoin as a native data source rather than treating it as an external system.
The Origins of Hemi
Hemi was co-founded by Jeff Garzik, one of the earliest Bitcoin Core contributors, and Max Sanchez, a blockchain security engineer with experience at Coinbase. Their work under Hemi Labs reflects a long-standing goal in the crypto space: extending Bitcoin’s utility without altering its base layer or compromising its security assumptions.
Instead of modifying Bitcoin itself, Hemi builds around it, using Bitcoin as a security anchor while expanding what developers can do on top.
Proof of Proof: Anchoring to Bitcoin
Hemi’s consensus model, known as Proof of Proof, is designed to inherit Bitcoin’s security properties. Alongside standard validators, the network introduces PoP miners who periodically commit cryptographic proofs of Hemi’s state to the Bitcoin blockchain.
These proofs include Hemi block headers and are published to Bitcoin at intervals rather than every block, due to Bitcoin’s variable fees and block times. To account for this, Hemi applies a finality delay of nine Bitcoin blocks, typically around 90 minutes. Once this window passes, Hemi blocks are considered final and highly resistant to reorganization.
By anchoring its state to Bitcoin in this way, Hemi significantly raises the cost of attacks and strengthens trust in its execution layer.
The Hemi Virtual Machine (hVM)
The Hemi Virtual Machine is a modified EVM that includes a built-in Bitcoin node. This design allows smart contracts to access Bitcoin data directly, including transactions, balances, and unspent transaction outputs.
Developers interact with this data through specialized precompiled contracts, which act as efficient shortcuts for querying Bitcoin state. To keep information synchronized, Hemi uses a Tiny Bitcoin Daemon, a lightweight process that connects to the Bitcoin network, downloads new blocks, and updates all Hemi nodes in parallel.
Each Hemi block includes refreshed Bitcoin data, ensuring that every node maintains a consistent view of the Bitcoin chain. This gives developers deterministic access to Bitcoin information without relying on external relayers or oracles.
Cross-Chain Transfers With Tunnels
Instead of traditional bridges, Hemi uses a native cross-chain mechanism called Tunnels. These tunnels enable asset transfers between Bitcoin, Ethereum, and Hemi by tracking the state of each chain directly at the protocol level.
When assets are deposited, they are locked on the source chain and represented on Hemi as equivalent tokens. These representations can be used immediately within the ecosystem. When users withdraw, the Hemi-side tokens are burned, and the original assets are released once the transaction is finalized.
As of late 2025, Tunnels support common token standards such as ERC-20 and BRC-20, with plans to expand support to additional Bitcoin-native and Hemi-native assets over time.
Hemi Bitcoin Kit (hBK)
To make Bitcoin integration easier for developers, Hemi provides the Hemi Bitcoin Kit, a smart contract library designed to work directly with the hVM. The library abstracts away much of the complexity involved in querying Bitcoin data, allowing developers to integrate Bitcoin logic into applications using familiar EVM patterns.
As the ecosystem evolves, the toolkit is expected to expand with more advanced utilities, further reducing the friction between Bitcoin and smart contract development.
The Role of the HEMI Token
HEMI is the native token of the Hemi network, with a maximum supply of ten billion. It underpins nearly every aspect of the ecosystem. HEMI is used to pay gas fees for smart contract execution, Bitcoin state interactions, and cross-chain transfers through Tunnels.
Token holders can participate in governance by voting on protocol upgrades and parameter changes. Staking HEMI supports the Proof of Proof system by incentivizing validators and miners who help anchor Hemi’s state to Bitcoin. Stakers receive veHEMI, which grants access to a share of network rewards, including transaction fees and block incentives.
Hemi on Binance HODLer Airdrops
In September 2025, Binance announced HEMI as the 43rd project featured in its HODLer Airdrops program. Users who allocated BNB to eligible earning products during the snapshot period received HEMI tokens. One hundred million HEMI, representing one percent of the total supply, were distributed, and the token launched with a Seed Tag across multiple trading pairs.
Final Thoughts
Hemi represents a deliberate attempt to bring Bitcoin and Ethereum closer together without forcing trade-offs on either side. By embedding Bitcoin directly into an EVM-compatible environment and anchoring consensus to the Bitcoin blockchain, Hemi creates infrastructure that allows applications to benefit from Bitcoin’s security and Ethereum’s flexibility at the same time.
While its primary focus is expanding what can be built with Bitcoin data, the same architecture supports DeFi, cross-chain liquidity, and broader Web3 services that require trustless interaction between ecosystems. For developers and users seeking deeper integration between Bitcoin and programmable blockchains, Hemi offers a compelling and technically distinct approach.
