1. Project Overview

Babylon is the first trustless protocol that enables native Bitcoin staking, allowing BTC holders to contribute security and liquidity to Bitcoin Secured Networks (BSNs). In return, users earn validation rewards.

Babylon Genesis is the first BSN built on the Cosmos SDK and acts as:

  1. A control plane for coordinating other BSNs with Bitcoin.

  2. A liquidity hub, enabling secure and efficient BTC liquidity management.

The protocol removes the need for bridges by leveraging Bitcoin’s native security directly through a modular staking layer with dual-quorum finality.

2. Token Information

  • Token Name: $BABY

  • Token Type: Cosmos SDK native token

  • Initial Supply (Listed on Binance): 2,294,036,491

  • Total Supply: 10,015,636,491

  • Maximum Supply: Infinity (inflation starts at 8%, subject to governance)

  • Current Circulating Supply: 2,294,036,491

  • Binance HODLer Airdrop Allocation: 75,000,000

  • Airdrop Start Date: April 10, 2025

3. Project Highlights

  • Bitcoin-native staking: Enables trustless staking of native BTC directly on Bitcoin Layer 1.

  • Modular finality gadget: Introduces Bitcoin finality into PoS consensus via a dual-quorum mechanism.

  • Control Plane & Liquidity Hub: Babylon Genesis is the L1 that orchestrates security and liquidity for all future BSNs.

  • Dual staking: Both BTC and BABY are used to secure the network. Validators and BTC stakers receive BABY rewards.

  • Phase-driven rollout:

    • Phase 1: Supply side bootstrapped with 57,000 BTC staked from 140k+ stakers.

    • Phase 2: Babylon Genesis L1 launches with DEX, restaking, vaults, and LST minting.

    • Phase 3: Expansion to support EVM compatibility and independent BSNs with BTCFi use cases.

  • Security architecture:

  • CometBFT PoS consensus layer

    • Bitcoin Finality Providers (60) finalize blocks alongside 100 PoS validators

    • Governance built on Cosmos SDK module

  • Fundraising: Raised ~$96M through private rounds (SAFE + token warrants); valuation based on equity, not tokens.

4. Token Utility

  • Staking:

    • BABY and BTC are both staked to secure the network.

    • BABY rewards are distributed to both validator sets.

  • Payment Currency:

    • BABY is used to pay transaction fees and smart contract gas within the Babylon Genesis chain.

  • Governance:

    • BABY token holders can vote on-chain for protocol upgrades and decisions.

    • Delegation and off-chain discussions enhance transparency.

  • Economic Security:

    • Dual-quorum design with BABY and BTC stakers maximizes security while keeping decentralization.

    • Aligns validator, staker, and governance incentives through BABY tokenomics.

Disclaimer: This content is for project research purposes only and does not constitute any investment advice.