Bankless: How to Participate in Starknet BTCFi
Cross-chain bridge, stake BTC
Acquire liquid-staked BTC
Starknet Flips the Switch on Bitcoin Staking
Starknet just launched Bitcoin staking, letting wrapped BTC secure the network, flow into DeFi strategies, and earn STRK rewards.
Take 3 mins to learn how to earn on these new yields👇
~~ Analysis by @Web3zy ~~
@Starknet's fresh BTCFi rollout has a few core pillars:
BTC staking live — WBTC is supported out of the gate, and governance can approve more wrappers like LBTC, SolvBTC, and tBTC over time.
100M STRK incentives — ~$14M in "BTCFi Season" rewards are now open for earning and are attracting attention, capital, and development.
Institutional participation — Re7 Capital has launched a BTC-denominated yield strategy integrating with Starknet apps like Ekubo.
Why it matters
Many Bitcoin Layer 2 visions hinge on future opcode upgrades like OP_CAT, which may take years to materialize.
Starknet isn't waiting. By routing wrapped BTC through bridges and oracles into staking and credit systems, Starknet's kickstarting its BTC DeFi flywheel without protocol changes.
BTC has historically been sidelined in DeFi, but making it first-class collateral on a high-throughput ZK rollup opens the door to Ethereum-class UX for perps, basis trades, credit, and more. Faster finality, lower fees, and full composability, all centered on BTC.
It's still early days. But if Starknet can eventually align settlement across both Bitcoin and Ethereum, it can become a powerful hub for BTC innovation. Staking is one of the first steps forward here.
How to participate
Getting started with Starknet's BTCFi scene is straightforward:
Prep your BTC — Move your desired funds into WBTC or retrieve a wallet with existing WBTC holdings.
Bridge to Starknet — Transfer your WBTC to Starknet via a supported bridge like @layerswap or @rhinofi.
Time to stake — Once your BTC is on Starknet, you have two main ways to stake:
1. Delegate to Validators — Delegate wrapped BTC to validators through wallets like @ready_co or @myBraavos or on platforms such as @0xvoyageronline. Choose a validator, delegate your tokens, and start earning staking rewards.
2. Acquire Liquid Staked BTC — Use a liquid staking provider like @endurfi to receive a liquid-staked BTC token. These tokens accrue staking rewards while remaining usable in DeFi, e.g. as collateral in lending markets or to LP in perps protocols.
What to watch
The real test for Starknet's BTCFi play will be adoption. Early signs are promising, as the L2's total value locked (TVL) has surged over the past two weeks. Yet the next phase will hinge on how sticky that momentum becomes once incentives taper.
Will activity hold once the 100M STRK rewards wind down, or will liquidity flee? Can Starknet apps like @EkuboProtocol, @vesuxyz, and @extendedapp maintain rising volumes after this bump?
We'll have to wait and see. Yet there's no denying that Starknet has positioned itself as one of the few teams capable of pulling this BTCFi vision off successfully. If the L2's shipping pace and partner traction continue, it has a real shot at becoming a major BTC layer. Don't sleep on this crossroads!

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