Solv Protocol has launched ‘SolvBTC.JUP’, a brand new Liquid Staking Token that permits Bitcoin buyers to earn returns by way of Solana’s decentralized monetary ecosystem.
Though SolvBTC.JUP is barely in its pilot section, it presents Bitcoin holders a strategy to generate returns, paid in Bitcoin (BTC), by collaborating in Solana’s (SOL) Jupiter Trade, in keeping with a press launch shared with Crypto. information.
The method works by depositing Bitcoin into the Solv Protocol. In return, customers obtain SolvBTC.JUP, which represents their staked Bitcoin.
This token accrues returns over time primarily based on Solv’s involvement within the Jupiter Liquidity Supplier Pool. The Jupiter Trade, a decentralized perpetual buying and selling platform, permits liquidity suppliers to earn charges primarily based on buying and selling exercise.
Solv’s technique minimizes threat by hedging publicity to market actions whereas sustaining Bitcoin stakes.
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What this implies
For Bitcoin holders unfamiliar with DeFi, staking means quickly locking up tokens to help a community or take part in a buying and selling pool. In return, the staked tokens earn rewards, typically within the type of the identical token.
SolvBTC.JUP permits Bitcoin homeowners to take part on this system on the Solana community with out giving up their Bitcoin publicity. With an anticipated return of 12%, in keeping with the press launch, SolvBTC.JUP builds on Solv’s earlier success in providing Bitcoin staking on different platforms.
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