Starknet, an Ethereum layer two network, has announced the integration of Bitcoin staking, enabling BTC holders to participate in the decentralized financial ecosystem.
Launch of Bitcoin Staking on Starknet
Starknet has announced the completion of Bitcoin staking integration. Users will be able to participate in Starknet's consensus and earn STRK tokens as rewards. The integration was completed today, but reward distribution will begin on September 30. Currently, four major wrapped Bitcoin tokens are supported, including Wrapped BTC (WBTC), Lightning Bitcoin (LBTC), Threshold Network’s tBTC, and Solv Protocol’s SolvBTC.
Features and Benefits of the Integration
With the introduction of staking, Bitcoin users will have 25% power to participate in consensus, while the remaining 75% will be allocated to STRK token holders. Additionally, BTC liquidity pools can now be deployed, allowing other DeFi projects to utilize Starknet’s new staking infrastructure.
Bitcoin's Role in DeFi
Since the emergence of decentralized finance practices on Ethereum, Bitcoin has remained somewhat isolated due to technical limitations. The integration of Bitcoin into the broader DeFi ecosystem has been challenging, but new developments such as token wrapping and the use of Bitcoin-specific layer 2 networks have helped bridge this gap. Currently, Starknet's total value locked (TVL) is $155.66 million, and the introduction of Bitcoin staking is expected to make a significant contribution to this ecosystem.
The integration of Bitcoin staking into Starknet marks an important step toward merging Bitcoin and DeFi, opening new opportunities for market participants.
