Through "One Piece", we continue to talk about @Solv Protocol exiting ONE PIECE
Level product: BTC+
Imagine if you are a coin hoarder, your Bitcoin is no longer just quietly lying in your wallet, waiting to appreciate like a pile of gold, but rather like a diligent employee, continuously earning you extra income. Doesn’t that sound appealing?
@Solv Protocol , as a decentralized platform focused on Bitcoin finance (BTCFi), has managed over 20,000 BTC in staked assets, with a TVL exceeding $2 billion. This release targets over $1 trillion of idle Bitcoin globally, helping investors earn returns effortlessly without manually operating complex strategies.
In-depth exploration of BTC+ strategies:
On-chain credit market: You lend your Bitcoin to others, and they pay you interest. Utilize DeFi liquidity to help you earn stable lending returns without worrying about the complex procedures of traditional banks.
Liquidity provision: On DEX, you provide Bitcoin as liquidity, helping others trade, thus earning transaction fees. It’s like running a toll booth on a highway; the more cars, the more you earn. But BTC+ will automatically optimize to minimize losses.
Basis and funding rate arbitrage: It sounds professional, but it’s actually about making money from subtle differences in futures and spot Bitcoin prices. Solv’s algorithm monitors the market in real-time to achieve low-risk arbitrage.
Protocol incentive rewards: By staking Bitcoin in various protocols, you earn extra rewards. For instance, participating in Bitcoin network validation or Layer 2 solutions to receive token incentives.
Real-world income streams: Integrating tokenized assets from traditional finance, such as BlackRock’s BUIDL fund (a blockchain-based short-term treasury fund) and Hamilton Lane’s SCOPE (private credit fund). Linking Bitcoin with traditional investments like stocks and bonds to provide diversified returns.
The architecture design of BTC+ adopts a dual-layer structure: the custody layer (securely storing your Bitcoin) and the execution layer are separated, greatly reducing risk. Even if one layer encounters issues, the other can operate independently. It also integrates Chainlink's proof of reserve, allowing real-time asset verification to ensure transparency.