**Bitcoin Yield Boom on the Horizon**
Bitcoin (BTC) is evolving from a mere store of value to a lucrative yield asset. Historically, BTC holders faced low returns, often below 0.5%. However, Bitcoin’s layer-2 (L2) networks and decentralized finance (DeFi) ecosystems are changing the game.
Key developments:
- L2 networks like Lightning Network, Core Chain, and Stacks are gaining traction, with total value locked (TVL) on Bitcoin’s L2s reaching $1.4 billion, a 275% increase year-to-date.
- Bitcoin-native staking is emerging, offering higher yields. CoreChain’s liquid staking derivative (LSD), stBTC, offers an 8.8% reward rate.
- DeFi ecosystems on Bitcoin L2s host decentralized exchanges and lending protocols, enhancing BTC’s utility.
Institutional interest is growing, with asset managers launching BTC staking products. As BTC becomes more integrated into DeFi, the opportunities for yield are expanding. Stay informed and consider your options carefully.