Key Highlights
- Bitcoin holders can now earn staking rewards without losing custody
- $100M STRK fund fuels liquidity and DeFi opportunities
- Institutional strategies meet retail access for maximum gains
Starknet Launches Bitcoin Staking and a $100 Million Incentive Fund
The Starknet L2 network has officially introduced Bitcoin staking along with a massive $100 million STRK fund aimed at boosting the BTCFi ecosystem. This initiative signals a new era of digital gold adoption, allowing Bitcoin holders to earn rewards while strengthening network decentralization.
Holders of Bitcoin can now participate in staking without surrendering their assets, marking the first time any rollup solution has a native income source for Bitcoin. Users can delegate tokenized versions of Bitcoin, like WBTC, tBTC, Liquid Bitcoin, and SolvBTC alongside the STRK token, as approved in an online vote.
Security is guaranteed through zk-STARK cryptography, a technology renowned for its post-quantum protection. “Bitcoin is the best form of collateral,” said StarkWare CEO Eli Ben-Sasson. “I want you to borrow against BTC and invest the proceeds while contributing to network security.”
Institutional and Retail Opportunities
In October, Starknet will launch the Bitcoin Institutional Yield Fund via Re7 Capital, managing over $1 billion. The fund targets institutional investors but will also be accessible to retail users through a tokenized version on MidasRWA. According to Re7 founder Evgeny Gokhberg, the fund aims to grow Bitcoin sustainably using derivatives, DeFi strategies, and Starknet staking.
Starknet has also expanded accessibility through XverseApp, Hyperlane, Atomiq Labs, and Garden Finance, with upcoming integrations including LayerZero, BitGo, and Stargate Finance.
This development comes after a brief network outage in early September, demonstrating Starknet’s ongoing commitment to improving reliability while offering Bitcoin holders innovative earning strategies.