SolvBTC opens the doors to a new universe: that of a Bitcoin that earns through liquid staking.

But like any financial innovation, this opportunity comes with risks that need to be understood, managed, and anticipated.


Here is a complete guide to help you take advantage of SolvBTC while protecting your capital.


📌 REMINDER: WHAT IS LIQUID STAKING OF SOLVBTC?


Thanks to Solv Protocol, you can transform your Bitcoin (via SolvBTC) into a productive asset.

You deposit your SolvBTC in the application, and in exchange, you receive a Liquid Staking Token (LST) that generates yield through partners like Babylon, Berachain, Jumper, Ethena, etc.


You remain free to use your LST in other protocols while earning interest.


But beware: the promise of yield should not overshadow the reality of risks.


⚠ 1. SMART CONTRACT RISK


Liquid staking relies on smart protocols (smart contracts).

Even if Solv Protocol has been audited, zero risk does not exist.


A bug in a smart contract can lead to the loss of funds.


Interoperability flaws between blockchains can lead to exploits.


✅ GOOD PRACTICE:

Use a secure wallet, stay updated on security audits, and do not put 100% of your capital in the same place.


⚠ 2. COUNTERPARTY RISK (EXTERNAL PARTNERS)


SolvBTC draws its yields from external DeFi partners.

If one of these protocols (Babylon, Jumper, Ethena
) encounters a problem or a hack, your yields may disappear, or even impact your capital.


Examples:


If Ethena has an issue with its sUSDe, it can affect your LST.


If Berachain does not deliver the promised rewards, your yield decreases.


✅ GOOD PRACTICE:

Diversify your LSTs (SolvBTC.BBN, .ENA, .JUP
) and research each partner before investing.


⚠ 3. LIQUIDITY RISK


Even if you can sell or use your LST, there is no guarantee that you will find a buyer quickly or that the value will be stable.


Some LSTs are still illiquid, especially in the early phases.


✅ GOOD PRACTICE:

Check the liquidity of the token on secondary markets (DEX, CEX), especially if you plan to sell quickly.


⚠ 4. UNGUARANTEED YIELD RISK


The announced APYs are never guaranteed.

They can vary depending on the market, partners, and overall economic activity.


A yield of 8% today can become 2% tomorrow.


✅ GOOD PRACTICE:

Never base your strategy solely on the displayed yields.

Think long term and follow updates from partner protocols.


⚠ 5. REGULATORY RISK


Liquid staking, with derivative tokens like LSTs, evolves in a regulatory gray area.

Laws can change and affect the use or taxation of these products.

✅ GOOD PRACTICE:

Stay informed about the legislation in your country and consult a tax expert if you engage significant amounts.

✅ CONCLUSION: TAKE RISKS
 INTELLIGENTLY

Liquid staking with SolvBTC is one of the most promising innovations for BTC holders.

It transforms a static asset into a source of passive income, while maintaining multi-chain interoperability.

But like any investment, the key is knowledge, diversification, and caution.

🔒 Tips to limit risks:

Keep a portion of your BTC off staking.

Do not limit yourself to a single partner.

Stay informed about the developments of the protocol and its partners.

IT'S YOUR TURN TO PLAY!

Do you want to maximize your yield with your BTC without selling it?

SolvBTC is a solid option.

But remember: the best gains come with good risk management.