cryptonews.net
Lombard Finance has launched its LBTC token on Etherlink, the Layer 2 network built on the Tezos blockchain. This move brings Bitcoin liquidity into the Tezos ecosystem and expands access to DeFi services through LBTC, a liquid version of staked Bitcoin.
With the launch, users can stake their Bitcoin through Lombard and receive LBTC in return. This token mirrors the value of Bitcoin and can be used within various DeFi applications on Etherlink. LBTC is fully backed and redeemable 1:1 for Bitcoin. The Bitcoin used to mint LBTC is staked to Babylon, allowing users to earn yield while holding the token.
Lombard Finance has previously deployed LBTC on other blockchains, including Ethereum, Sui, Base, and BNB Chain. The addition of Etherlink supports Lombard’s goal of expanding across multiple chains. Currently, nearly $2 billion worth of LBTC is in circulation, with the majority of it active in DeFi platforms.
On Etherlink, LBTC will be supported by applications such as Superlend, Hanji, IguanaDEX, and Oku. It will also be included in the Apple Farm rewards program, offering incentives for user participation.
The launch is part of Lombard’s plan to increase Bitcoin’s use in DeFi and further integrate it across various blockchain networks. LBTC has already been adopted in about 75 DeFi applications and continues to grow as a cross-chain asset for decentralized finance.
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