Mezo, a Layer 2 Bitcoin network aiming to expand the decentralized finance (DeFi) market on the flagship blockchain, has launched its liquid stake Bitcoin token, stBTC.
The introduction of stBTC brings the yield of Bitcoin (BTC) to Mezo, the Pantera-backed project announced on August 28.
StBTC is a 1:1 backed token with tBTC, the Bitcoin bridge token powered by The Threshold Network.
According to Mezo, users can now mint stBTC against their Wrapped Bitcoin (WBTC) and tBTC, a Bitcoin-backed token that allows holders to participate in Ethereum (ETH) DeFi applications.
BitcoinFi Expansion
Mezo claims that depositing WBTC and tBTC on Mezo and minting stBTC will allow users to earn yield on DeFi applications in the growing Bitcoin DeFi space. BTC holders can mint the liquid-staked token and leverage its benefits on Curve Finance while maintaining exposure to their bitcoin.
“As early holders of bitcoin, many of us have seen its value increase over the years. But we’ve also seen DeFi grow, often feeling like we have to choose between holding onto our bitcoin and participating in these new financial opportunities.”
Mezo on X.
According to Mezo’s post, decentralized exchanges, lending marketplaces, and Bitcoin L2 platforms that have deployed tBTC include Morpho Protocol, Silo Finance, Beefy, and Velodrome. The team plans to expand to major DeFi and DEX platforms, including Aave, GMX, and Synthetix.
Thesis, the studio behind projects like AcreBTC, Fold Bitcoin, and Taho, is also the developer of Mezo.
