PumpBTC (PUMP): Transforming BTC Into a Multi-Chain Yield-Bearing Asset
PumpBTC (PUMP): Transforming BTC Into a Multi-Chain Yield-Bearing Asset
What is PumpBTC (PUMP)?
PumpBTC (PUMP) is a liquid staking solution for Bitcoin that allows BTC holders to stake their assets and earn yield while maintaining full liquidity.
what-is-pumpbtc-pump-and-how-does-it-work
What is PumpBTC (PUMP)?
PumpBTC (PUMP) is a liquid staking solution for Bitcoin that allows BTC holders to stake their assets and earn yield while maintaining full liquidity. Unlike traditional staking, which requires locking assets, PumpBTC lets users keep their BTC liquid while still benefiting from staking rewards.
The key innovation behind PumpBTC is its integration with Babylon, a decentralized system that enables trustless Bitcoin staking. This means BTC holders can stake their Bitcoin directly on the Bitcoin network without using wrapped tokens or intermediaries. Babylon then extends Bitcoin’s security model to other blockchain networks, which means that BTC is used in securing Proof-of-Stake (PoS) networks and other blockchain-based applications.
Thanks to the integration with Babylon, PumpBTC allows BTC to be in users’ control while still being used to provide security for Bitcoin Secured Networks, which include blockchains, DeFi protocols, and infrastructure projects that need Bitcoin’s economic security. This approach transforms BTC from a passive asset into an active yield-generating tool while reinforcing the security of PoS blockchains.
Who Created PumpBTC (PUMP)?
While specific details about the founders of PumpBTC are not publicly disclosed, the platform's mission is clear: to provide BTC holders with opportunities to maximize yields through staking.
What VCs Back PumpBTC (PUMP)?
In October 2024, PumpBTC secured $10 million in seed funding. This round was co-led by SevenX Ventures and Mirana Ventures, with participation from UTXO Management and the Mantle Ecosystem Fund. The capital is earmarked for launching the BTC-fi Yield Vault, a DeFi-based Bitcoin liquidity vault designed to optimize yields for BTC holders.
How PumpBTC (PUMP) Works
PumpBTC is designed to be simple, secure, and highly efficient. The staking process follows a structured flow that ensures users can stake BTC, earn yields, and maintain liquidity across multiple blockchain ecosystems.
1. Depositing BTC
Users start by depositing BTC into the PumpBTC protocol. The deposited BTC is held securely using Babylon’s trustless staking mechanism, ensuring that it remains under the user’s control and is never wrapped or converted into another asset.
2. Receiving PumpBTC Tokens
After depositing BTC, users receive PumpBTC tokens in return. These tokens represent their staked BTC and can be freely used in DeFi applications across various blockchains, including EVM networks, Layer 2s, and Layer 3s. This means users are not locked into a single ecosystem and can maximize their yield opportunities.
3. Earning Yield from PoS Staking
Staked BTC is used to secure PoS networks and Bitcoin Secured Networks through Babylon’s multi-staking system. These networks rely on Bitcoin’s security and economic weight to strengthen their consensus mechanisms. The yields generated from staking are then distributed to PumpBTC holders, allowing BTC holders to earn yield while their BTC remains secure. The yields come from Bitcoin’s ability to enhance PoS security, making it a valuable asset for securing these networks. The Annual Percentage Rate (APR) is determined by the economic security model of Babylon and similar PoS systems.
4. Points Aggregation Incentives
PumpBTC also integrates various point systems to enhance user yields. Participants can earn:
● PumpBTC Points – The native points system that gives advantages to early adopters and liquidity providers.
● Babylon Points – Earned for securing PoS chains with BTC and contributing to Babylon’s staking ecosystem.
● FBTC Points – Related to Frax’s BTC integration.
● L2 Points – Earned for engaging with Layer 2 ecosystems.
By accumulating these points, users increase their long-term yields and benefits within multiple blockchain ecosystems.
5. Redeeming BTC or Using PumpBTC in DeFi
One of the biggest advantages of PumpBTC is instant liquidity. Users are not forced to keep their BTC locked; they can:
● Redeem their PumpBTC for BTC at any time (subject to withdrawal availability).
● Use PumpBTC in DeFi applications to earn additional yield through lending, borrowing, and liquidity pools.
This flexibility makes PumpBTC a superior option compared to traditional BTC staking solutions that require long lock-up periods.
PUMP Goes Live on Bitget
PumpBTC is revolutionizing the way Bitcoin holders can earn passive income while contributing to blockchain security. By enabling BTC staking in PoS networks, it transforms Bitcoin from a passive store of value into an active, yield-generating asset without sacrificing liquidity. With its secure custody model, multi-chain integration, and innovative points aggregation system, PumpBTC ensures that users maximize their BTC’s earning potential while retaining full flexibility.
PumpBTC is positioned to become a leading liquid staking solution for Bitcoin in the DeFi era. As adoption grows, early participants stand to benefit the most, whether through staking yields, liquidity incentives, or trading opportunities.
For those looking to take advantage of this innovation, trading PUMP on Bitget offers a great way to get involved in the ecosystem early.
PUMP on Bitget CandyBomb
PUMP will come to Bitget CandyBomb, the first-of-its-kind tasks-and-airdrop platform by Bitget!
Starting from 1 April 2025, 18:45 – 8 April 2025, 18:45 (UTC), you can grab tickets to share 1,299,000 PUMP simply by completing the given tasks!
All you have to do is to go to Bitget CandyBomb, click on the [Join] button below the corresponding event, and complete any tasks you prefer.
Complete Tasks to Get PUMP now!
How to Trade PUMP on Bitget
Listing time: April 1, 2025
Step 1: Go to PUMPUSDT spot trading page
Step 2: Enter the amount and the type of order, then click Buy/Sell
Trade PUMP on Bitget now!
Disclaimer: The opinions expressed in this article are for informational purposes only. This article does not constitute an endorsement of any of the products and services discussed or investment, financial, or trading guidance. Qualified professionals should be consulted prior to making financial decisions.
