Howells Launches DeFi Token Representing Lost 8,000 BTC

Published: 2025-08-05 20:00:05 |

British engineer James Howells has abandoned plans to excavate a Newport landfill to recover 8,000 lost BTC and instead launched a new DeFi token on a Bitcoin layer-2 network. The DeFi token supply mirrors the original wallet balance, symbolically locking the coins in an immutable vault, but holders have no claim to the underlying funds. After UK courts denied excavation permits and prior token funding stalled, Howells leverages narrative value over practical recovery. Critics label the project a memecoin due to low claim validity. Howells also sold adaptation rights for the docuseries “The Buried Bitcoin.” This move underscores innovation in tokenization and self-custody risks in decentralized finance.

Neutral

By exchanging the excavation plan for a new DeFi token, this news has minimal direct impact on BTC price. In the short term, traders are unlikely to alter positions, as the token does not unlock real BTC and faces skepticism as a memecoin. Over the long term, Howells’ move highlights broader trends in tokenization and self-custody models on layer-2 networks but does not affect Bitcoin’s supply or fundamentals. Overall, the net market effect on BTC remains neutral.