Solv Introduces Innovative Bitcoin Token on Avalanche
Solv Protocol has unveiled SolvBTC.AVAX,a new Bitcoin token on the Avalanche blockchain. This token allows BTC holders to earn real-world asset-backed yield. Its a collaborative effort involving major players like BlackRock.
the new token is designed to help Bitcoin users earn more from their holdings. It’s not just another yield product.Instead, it’s a bridge between Bitcoin adn customary finance. The project brings together seven partners, including Solv, Avalanche, and Elixir.These firms aim to make Bitcoin more useful in the crypto space.
How does it work? SolvBTC.AVAX lets users earn interest on their Bitcoin. The token uses deUSD, a stablecoin backed by U.S. Treasuries and private credit.
Hear’s how it works:
- deUSD is used on the Euler lending protocol to boost real-world asset exposure.
- Re7 Labs manages market risks on Euler.
- Extra funds go into liquidity pools on LFJ and Balancer to earn swap fees and AVAX rewards.
Solv automates the process, from minting to rewards distribution. Avalanche’s fast and low-cost infrastructure supports it all. Users can earn AVAX tokens and other incentives, promoting wider adoption.
This isn’t just about yield. It’s about connecting Bitcoin with traditional finance.As Ryan Chow, Solv’s founder, notes, it’s a framework to align Bitcoin with the broader financial world.
BlackRock’s entry into DeFi with its BUIDL token further strengthens this bridge. Euler Labs confirmed sBUIDL, backed by BlackRock’s BUIDL, is now live on the Euler protocol. This integration marks a critically important step for DeFi. Learn more about crypto news and stay updated on these developments.
