Knowledgeable Deep Dive: stBTC and BTC Shared Security
The next frontier for Bitcoin is using its massive market cap for shared security across Proof-of-Stake (PoS) chains.
@Lorenzo Protocol is pioneering this by leveraging the Babylon model, issuing stBTC as the liquid representation of staked Bitcoin.
How it Works: You stake native BTC, and Lorenzo issues stBTC. Your BTC secures PoS networks, generating yield, while stBTC remains liquid for use in the wider DeFi ecosystem (lending, trading, etc.).
The Utility Hook: This flips the BTC narrative from being purely passive (HODL) to being productive capital, secured by institutional-grade custody (like Ceffu).
This mechanism makes BANK a core governance token in the future of BTCFi utility. Do you think BTC liquid staking will be the biggest catalyst for the next DeFi bull run? Share your thoughts! 👇
#LorenzoProtocol #stBTC #BTCFi #LiquidStaking #bitcoin $BTC $BANK


