Solv Protocol attracts over 12k BTC investment, integrates Babylon partnership

May 6, 2024 at 10:20 am

Edited by Dorian Batycka

News

Solv Protocol attracts over 12k BTC investment, integrates Babylon partnership

Solv Protocol, a decentralized liquidity financial protocol, has reported a significant milestone in its operations.

According to an announcement on X, the protocol has attracted over 12,000 Bitcoin (BTC) in investments across multiple chains, including Arbitrum, BNB Chain, and Merlin Chain.

Solv Protocol x @babylon_chain

We’re thrilled to announce our partnership with Babylon, bringing native BTC restaking yields to SolvBTC. This integration will enable SolvBTC to be used to help secure PoS chains, roll-ups, and AVS, unlocking use cases for the large idle… pic.twitter.com/8A9pvhy27Q
— Solv Protocol (@SolvProtocol) May 5, 2024

Recall that in January 2022, crypto.news reported a significant investment by Binance Labs in Solv Protocol. This move was an attempt from the investment arm of the world’s largest exchange to help bolster the growing adoption of financial NFTs in the crypto scene.

The recent influx of funds into the protocol, which marked a significant feat, totaled more than $800 million. In addition to the impressive investment figures, Solv Protocol has revealed plans to integrate additional income sources into its platform.

One such integration involves Babylon’s restaking income, a move aimed at enhancing the value proposition of SolvBTC. Babylon, a blockchain project focused on security-sharing protocols in the decentralized economy, offers promising synergies for Solv Protocol. Binance Labs also announced an investment in Babylon in February.

The integration of Babylon’s restaking yield is expected to unlock new use cases for SolvBTC, particularly in securing Proof-of-Stake (PoS) chains, roll-ups, and Arbitrum Virtual Machines (AVMs).

This development leverages the substantial liquidity of Bitcoin and also facilitates its integration into various decentralized finance (DeFi) protocols. Networks such as zkSync and Linea are poised to support SolvBTC bridging, further expanding its utility within the broader DeFi ecosystem.

Launched in April, SolvBTC has already garnered significant interest, with one user holding over 158,000 tokens. However, its trading volume, per CoinGecko data, remains relatively negligible, currently sitting at $514K over the last 24 hours. SolvBTC has continued to trail BTC’s price movements, changing hands at $61,401 at the time of writing.