Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesCopyBotsEarn
Nomic and staking protocol Babylon team up to offer liquid bitcoin staking

Nomic and staking protocol Babylon team up to offer liquid bitcoin staking

The BlockThe Block2024/04/10 05:10
By:The Block

Quick Take The team behind Nomic launched a bitcoin liquid staking token (LST) called stBTC through a partnership with Babylon, a bitcoin staking protocol. Babylon will also help dual-stake Nomic’s security by using staked bitcoin and staked NOM, Nomic’s native token.

Nomic and staking protocol Babylon team up to offer liquid bitcoin staking image 0

The team behind Nomic, a Layer 1 blockchain providing a decentralized Bitcoin BTC -2.79% bridge, launched a bitcoin liquid staking token (LST) called stBTC. 

Nomic, which has the native token NOM, entered a partnership with bitcoin staking protocol Babylon to launch the LST. Babylon will also help dual-stake Nomic's security by using staked Bitcoin and staked NOM, according to a release from Nomic developers. 

Individuals can use Babylon to stake bitcoin to Nomic, rewarding the user with NOM and nBTC that can redeemed for bitcoin. The cryptocurrency nBTC reflects 1:1 ownership of bitcoin in a token compatible with the Inter-Blockchain Communication Protocol (IBC). This standardized protocol allows many blockchains to transact with each other. Thus, users can use nBTC on the decentralized Cosmos exchange Osmosis, the Cosmos Hub and other DeFi protocols. 

The Nomic team intends to have a funding round later this year. stBTC is currently on a testnet but will go into mainnet once Babylon does the same, a Nomic spokesperson told The Block. The blockchain tech firm Turbofish is Nomic's founder and contributor.

“Nomic and Babylon provide two important primitives to Bitcoin: decentralized custody and staking,” said Turbofish CEO Matt Bell in a statement. “By pairing the two, their impact is magnified, making a more practical solution for the average Bitcoin holder to earn yield through staking. With innovations like stBTC emerging, Bitcoin DeFi now has the potential to compete with the trading volumes and total value locked of Ethereum DeFi.”

Babylon's testnet 

Babylon lets BTC holders earn rewards by staking their assets on proof-of-stake blockchains. The platform's developers launched its first testnet on Feb. 28 this year. 

Babylon raised $18 million in a Series A funding round co-led by Polychain Capital and Hack VC, with further support from Framework Ventures, Polygon Ventures, Castle Island Ventures, OKX Ventures and Symbolic Capital in early December 2023.


0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Locked for new tokens.
APR up to 10%. Always on, always get airdrop.
Lock now!

You may also like

MARA's stock jumps after raising $1 billion via convertible notes to buy more bitcoin

MARA Holdings announced the successful closing of its $1 billion offering of 0% convertible senior notes due 2030.The bitcoin miner plans to allocate around $199 million of the proceeds to repurchase $212 million in principal of its existing convertible notes due 2026. The remaining funds will be used to acquire more bitcoin.

The Block2024/11/21 16:11

Gold loses luster as institutional demand fuels bitcoin price surge, analysts say

Bitcoin’s 46% surge over the past month, contrasted with gold’s 3% decline, highlights a shifting investor preference toward alternative store-of-value assets, analysts say.Derivatives traders are buying up bitcoin call options ahead of Trump’s inauguration, signaling strong bullish sentiment for the beginning of 2024.

The Block2024/11/21 16:11

SEC is 'engaging' Solana ETF applicants: report

SEC “engaging” on Solana ETF applications, sparking optimism for potential approval in 2025.VanEck, 21Shares, and Bitwise lead Solana ETF filings amid pro-crypto White House hopes.SOL token rises 4.6% to $247.91, bolstered by Solana’s strong DeFi ecosystem and demand.

The Block2024/11/21 16:11