Alisa Davidson
Published: September 26, 2024 at 7:35 am Updated: September 26, 2024 at 7:35 am
Edited and fact-checked:
September 26, 2024 at 7:35 am
In Brief
Solv Protocol has been deployed on Avalanche, enabling BTC.b holders to access SolvBTC LSTs and unlock yield-generating opportunities.
Unified Bitcoin liquidity layer, Solv Protocol announced its expansion to the Layer 1 blockchain Avalanche. This integration allows holders of Avalanche’s wrapped Bitcoin (BTC.b) to access SolvBTC Liquid Staking Tokens (LSTs), thereby opening up various yield-generating opportunities while still retaining their Bitcoin exposure.
BTC.b serves as Avalanche’s native wrapped Bitcoin. With more than 5,000 BTC.b currently in circulation, Avalanche stands out as one of the leading blockchains in terms of Bitcoin holdings, providing its community with broader access to the Bitcoin ecosystem.
SolvBTC introduces a new opportunity for BTC.b holders, offering the ability to mint LSTs from BTC.b, thereby allowing for participation in decentralized finance (DeFi) without relinquishing Bitcoin exposure.
By integrating SolvBTC with the Avalanche network, BTC.b holders gain enhanced utility, expanded liquidity options, and an enriched BTCFi ecosystem on one of DeFi’s most Bitcoin-abundant chains.
BTC.b holders now have the option to mint SolvBTC by using their BTC.b as collateral, granting access to Solv’s liquid staking opportunities. This allows users to leverage the value of their Bitcoin holdings to generate additional yield while still maintaining their Bitcoin exposure.
Once minted, SolvBTC tokens offer a variety of applications, enabling holders to take part in yield-generating strategies, benefiting from the expanding BTCFi ecosystem. Users can also leverage SolvBTC across various DeFi protocols on Avalanche, including contributing to liquidity pools and engaging in staking opportunities.
Solv Collaborates With Ethena To Unlock Yield For Bitcoin-Based Assets
Solv operates as a Decentralized Bitcoin Reserve with a mission to unlock the potential of more than $1 trillion in Bitcoin assets via a liquidity consensus infrastructure. By addressing the fragmentation of BTC assets, offering yield opportunities, and providing compliant custody solutions, it is creating a gateway into BTCFi, while also facilitating the entry of traditional financial funds into the cryptocurrency space.
Recently, it has collaborated with the Ethereum-based synthetic dollar protocol, Ethena, to introduce yield-earning opportunities for Bitcoin-based assets. This integration brings Ethena’s yield strategies to the Bitcoin DeFi ecosystem, thereby increasing the earning potential of SolvBTC, Solv Protocol’s liquid Bitcoin asset.
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About The Author
Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
More articles
Alisa Davidson
Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
More articles
After exploring the expansion of Solv Protocol to Avalanche and its collaboration with Ethena for unlocking yield for Bitcoin-based assets, it’s clear that the DeFi space continues to evolve and create new opportunities for cryptocurrency holders. The integration of SolvBTC with Avalanche offers Bitcoin holders a way to participate in DeFi while still maintaining their exposure to the leading cryptocurrency.
By leveraging SolvBTC’s liquid staking tokens, users can explore various yield-generating strategies and contribute to the growing BTCFi ecosystem on Avalanche. The collaboration with Ethena further enhances the earning potential for Bitcoin-based assets, showcasing the innovation and versatility of decentralized finance solutions.
For more trending news articles like this, be sure to visit DeFi Daily News for the latest updates in the world of decentralized finance.
