Add Collateral SolvBTC and SolvBTC.BBN on WBTC Market on Mainnet

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Introduction

BTCFi narrative is gaining healthy traction over the past month with successful introduction of various BTC LST protocols such as SolvBTC & SolvBTC.BBN. According to IntoTheBlock’s Bitcoin in DeFi dashboard, 1% of total BTC supply is currently circulating in DeFi. This signals rising interests in BTCFi, thereby presenting an opportunity for leading money markets like Compound to participate in this vertical through an addition of WBTC market.

About Solv Protocol

Solv Protocol is a leading Bitcoin staking platform that leverages SolvBTC to unlock the potential of over $1 trillion in Bitcoin assets. Through a transparent Proof-of-Reserve model, incorporating diverse reserve assets, and enabling access to Bitcoin Liquid Staking Tokens, Solv offers a comprehensive gateway to BTCFi, paving the way for traditional funds to confidently enter the crypto world.

Backed by prominent investors such as Binance Labs, Blockchain Capital, Laser Digital, and others, Solv Protocol stands as a beacon of security and trust. Solv Protocol has undergone extensive security audits by leading firms, including Quantstamp, Certik, SlowMist, Salus, and SECBIT, ensuring the highest standards of safety.

About SolvBTC

SolvBTC, is a token representation of Bitcoin kept in Solv’s Bitcoin Reserves, where it allows Bitcoin liquidity to seamlessly flow across various chains, breaking down inter-chain barriers and providing crucial liquidity infrastructure for the entire BTCFi ecosystem.

Deployed on 10 major networks, including Ethereum Mainnet, BNB Chain, Arbitrum, Avalanche, Base, Merlin, Mantle, BoB, Bitcoin Mainnet and Core, SolvBTC is a key liquidity provider with over 20,000 BTC kept in our reserves. Our robust liquidity has attracted many key players in the DeFi world to partner and build using SolvBTC. Among them include Bitcoin Staking protocol Babylon, Synthetic Dollar Stablecoin Protocol Ethena, and many other projects.

About SolvBTC.BBN

SolvBTC.BBN is a liquid staking token (LST) for Bitcoin, representing the staked Bitcoin in Babylon. SolvBTC.BBN allows Bitcoin holders to earn staking yields, in exchange for sharing $1.3 trillion economic security of Bitcoin with PoS chains, while enabling them the flexibility to participate in DeFi. The market cap for SolvBTC and SolvBTC.BBN are approximately $1.38 billion and $307.8 million, respectively.

Type: Collateral deployment

Motivation

Adding SolvBTC and SolvBTC.BBN as collateral in the WBTC market on Mainnet will offer users enhanced capital efficiency and liquidity, while also promoting broader DeFi participation. By integrating SolvBTC and SolvBTC.BBN, which allow users to continue earning staking rewards while using their staked assets as collateral, Compound can unlock several key benefits:

  • Increased Liquidity: Listing SolvBTC and SolvBTC.BBN as collateral will attract liquidity from Bitcoin stakers seeking to optimize their holdings. This will enhance the protocol’s asset pool, contributing to the overall liquidity and stability of the WBTC market.
  • Enhanced Capital Efficiency: Users will be able to leverage their SolvBTC and SolvBTC.BBN as collateral to borrow assets, all while maintaining their Bitcoin staking yields. This can lead to more efficient asset utilization and foster a more attractive DeFi ecosystem.
  • Potential for User Growth: The introduction of SolvBTC and SolvBTC.BBN has the potential to attract a wider range of users, especially Bitcoin holders who seek flexibility in managing their staked assets. This could result in the expansion of the Compound’s user base.

Important Links

  1. Website: https://solv.finance/
  2. Documentation: https://docs.solv.finance/solv-documentation
  3. Twitter: x.com
  4. GitHub: solv-finance · GitHub
  5. SolvBTC Address: $60,836.00 | Solv BTC (SolvBTC) Token Tracker | Etherscan
  6. SolvBTC.BBN Address: $60,961.00 | SolvBTC Babylon (SolvBTC.BBN) Token Tracker | Etherscan
  7. Oracle: SolvBTCYieldTokenCurveRateProvider | Address 0x3A8C69046935c61d6F5568AB6d16Dee43af0edf8 | Etherscan
  8. SolvBTC Market Cap: https://www.coingecko.com/en/coins/solv-protocol-solvbtc
  9. SolvBTC.BBN Market Cap: Solv App – Decentralized Liquidity Infrastructure
  10. Communities: Solv Protocol | Telegram: Contact @SolvProtocol
  11. Audits: GitHub - solv-finance/Audit: Audit reports of SOLV Protocol

Next Steps

We invite the community to give their feedback and recommendations for the assets.

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Hello, aaaaaaaaaa from Dialectic here.

We did a bit of DD on solvBTC and found the following items that should be taken into consideration: