#Babylon主网将上线

Babylon is finally going to launch its mainnet. Let me tell you what Babylon is doing.

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Babylon has proposed a new way to expand Bitcoin. It extracts security from the Bitcoin chain and shares it with various proof-of-stake (PoS) chains, such as Cosmos, Binance Smart Chain, Polkadot, Polygon, etc., thereby bringing yields to BTC staking providers while ensuring the security of the POS chain.

Here is a brief introduction to the POS mechanism to help us understand what Babylon is doing:

Public chain tokens usually require a mechanism for issuance, such as using mining machines to dig pits, which is called the PoW mechanism. The PoS mechanism is to pledge assets in the validator node to ensure the security of the public chain and obtain tokens rewarded by the validator.

One thing Babylon wants to do is to bring the trillion-dollar market value of Bitcoin into the PoS public chain, such as by staking BTC to ensure the security of the PoS chain.

The technical details are in the developer documentation, so we won’t introduce them here. Let’s introduce what this protocol can do.

1️⃣ Babylon’s trustless staking mechanism

Babylon enables users to stake without transferring Bitcoin out of their own addresses. Thus, Bitcoin holders can keep Bitcoin in their own self-custodial vaults. Funds can only be withdrawn from the vault under two circumstances:

Unlocking: Pledgers can use private keys to retrieve their pledges.

Default: If pledgers violate the agreement, funds will be automatically liquidated and deducted from the vault.

This means that the user’s assets can be guaranteed to be secure in the greatest possible way, which is very friendly to Bitcoin holders, such as miners. After all, most Bitcoin Holders have not actually developed the habit of interacting on the chain.

2️⃣ Expand the PMF of the Bitcoin market and create a trillion-dollar market for BTCfi

Babylon has two directions for the development of BTCfi: empowering the entire BTC ecosystem, such as BTC rollup or BTC middleware, and enabling Bitcoin to generate revenue on other POS chains, which is very critical