StarkNet has launched Bitcoin staking, enabling BTC holders to participate in network consensus and earn rewards starting September 30.
Summary
- Bitcoin contributes 25% of network consensus, with STRK holding the remaining 75%.
- WBTC, LBTC, tBTC, and SolvBTC are supported at launch; additional wrappers can be added through governance.
- The unstaking period has been reduced from 21 days to 7 days, and validators can deploy BTC delegation pools immediately.
StarkNet (STRK) has officially integrated Bitcoin into its staking mechanism, allowing BTC holders to participate in network consensus and earn rewards. The upgrade went live today, with rewards set to start on Sept. 30.
Under the new system, Bitcoin contributes 25% of the network’s staking power, while StarkNet’s native token, STRK, accounts for the remaining 75%. Supported BTC wrappers at launch include WBTC, LBTC, tBTC, and SolvBTC, with the possibility of additional wrappers being added via governance.
The upgrade also reduces the unstaking period from 21 days to 7 days, offering stakers more flexibility and faster access to their funds. Validators can now deploy BTC delegation pools, and builders can begin integrating the feature immediately.
This development follows the ratification of StarkNet Improvement Proposal 31 (SNIP-31) by the community on August 21, which laid the groundwork for Bitcoin staking on the network. Approved by 93% of voters, SNIP-31 established the governance framework allowing BTC and STRK to coexist in network consensus, assigning BTC a maximum of 25% staking power while keeping STRK in majority control. It also set rules for tokenized BTC wrappers and outlined security measures to ensure the staking mechanism operates reliably.
The rise of Bitcoin staking
The launch of Bitcoin staking on StarkNet reflects the broader growth of BTCfi, where BTC is increasingly being used in DeFi to earn rewards, participate in governance, and power cross-chain applications beyond simple holding or trading.
Notably, Kraken has recently partnered with Babylon Labs to provide Bitcoin staking services. Users can stake their BTC directly on Kraken and earn rewards in Babylon’s native token, BABY, without the need for wrapping or bridging their assets.
Source: https://crypto.news/starknet-launches-bitcoin-staking-integration-upgrade/