Babylon to launch self-custodial bitcoin staking mainnet in two days

[ABCbits]

Babylon to launch self-custodial bitcoin staking mainnet in two days

Quick Take

• Babylon is set to roll out its self-custodial bitcoin staking mainnet in two days, marking the beginning of its phased rollout.

Blockchain developer Babylon stated that the upcoming launch of its self-custodial bitcoin staking mainnet is set to go live in two days as part of its phased rollout.

This launch will utilize bitcoin's economic properties to enhance the security frameworks of proof-of-stake blockchains. Users will be able to stake their bitcoin through a designated smart contract. Read more here.


I haven't read how exactly it's supposed to be non-custodial, but i posted it on "News related to Crypto" since Babylon website state it'll be used to participate/secure altcoin network. In addition, some Bitcoin owner join the board, which caused Bitcoin TX fee rise to over $100 for few hours. Your opinion is greatly appreciated.

[Lucius]

What is known is that yesterday the fees jumped to some crazy values ​​and that this project is responsible for that - and it seems to me that this is just one of a series of ideas on how to make money from those users who are looking for a way to make a profit, and at the same time they don't have to sell their BTC.

I don't know how much this idea makes sense, but what is written in the article indicates that we can expect new blockchain spam with things that should not be on the same.

[_act_]

I don't know how much this idea makes sense, but what is written in the article indicates that we can expect new blockchain spam with things that should not be on the same.

The way bitcoin is, we have just start with bitcoin blockchain spam. As one will cool off, another one will arise. Bitcoin is created in a way its blockchain can be useful for other projects as well that can even be beyond cryptocurrencies. Now miners will only encourage it because the spam let them make money from transactions fees. But over time bitcoin transaction will completely replace the mining reward which can be an encouragement for bitcoin miners.

[MrSpasybo]

I haven't read how exactly it's supposed to be non-custodial, but i posted it on "News related to Crypto" since Babylon website state it'll be used to participate/secure altcoin network. In addition, some Bitcoin owner join the board, which caused Bitcoin TX fee rise to over $100 for few hours. Your opinion is greatly appreciated.

Babylon is simply rolling out its BTC staking program. BTC can be staked and unstaked anytime and holder will earn rewards from Babylon. The project has been very successful, quickly attracting 1000 BTC from the community.

I like the idea of staking BTC to serve as the basis for the PoS of a network. It almost creates additional real-world value for BTC in the blockchain market. However, as a BTC holder, I wouldn't want to risk entrusting my BTC to a protocol that I don't fully understand or trust. I would rather sacrifice the staking income for safety and peace of mind.

[TomPluz]

Babylon is simply rolling out its BTC staking program. BTC can be staked and unstaked anytime and holder will earn rewards from Babylon. The project has been very successful, quickly attracting 1000 BTC from the community. I like the idea of staking BTC to serve as the basis for the PoS of a network. It almost creates additional real-world value for BTC in the blockchain market. However, as a BTC holder, I wouldn't want to risk entrusting my BTC to a protocol that I don't fully understand or trust. I would rather sacrifice the staking income for safety and peace of mind.

I actually like this Bitcoin staking idea and in a non-custodial way which can mean more control and maybe safer compared to other staking opportunities out there, BUT we know that in this industry risk is always present here and there and so we should take things with some good amount of grain of salt. This all boils down how reputable is this Babylon in their words and promises that they will not pull the plug for us. Now, having said that, with this moderate level of success of Babylon, I can sense that there can be some other platforms who might offer similar programs soon.

[ABCbits]

What is known is that yesterday the fees jumped to some crazy values ​​and that this project is responsible for that - and it seems to me that this is just one of a series of ideas on how to make money from those users who are looking for a way to make a profit, and at the same time they don't have to sell their BTC.

I don't know how much this idea makes sense, but what is written in the article indicates that we can expect new blockchain spam with things that should not be on the same.

I don't expect major or long-duration spam, since i expect those who're interested would only make 2 TX (to stake and to unstake). If those people spend multiple UTXO, theoretically it should help slowing down UTXO growth as well. Meanwhile, Ordinal/BRC-20 would try to create or mint token as many as they wants.

[laijsica]

If they have far reaching thinking for this project, peoples should be inclined to accept it, but many spammers ensure the use of blockchain to maintain their credibility. But I think new projects usually return the initial investors massively and from that point of view I am interested. I believe high risk is associated with high profit.

[Lucius]

~snip~
I like the idea of staking BTC to serve as the basis for the PoS of a network. It almost creates additional real-world value for BTC in the blockchain market. However, as a BTC holder, I wouldn't want to risk entrusting my BTC to a protocol that I don't fully understand or trust. I would rather sacrifice the staking income for safety and peace of mind.

I have the same opinion, too many of these "secure protocols" have been hacked in the past, and no matter how much someone claims that this time things are secure, the only place where private keys are secure is cold storage. However, the idea of ​​not selling your BTC and making a profit while doing so has always attracted people, although people should understand that if they do that with BTC, then there is really no point in investing in it at all.

Just by keeping it in a non-custodial wallet, anyone who has invested in the past 5-10 years has made a profit greater than any staking or lending.

[Faisal2202]

I like the idea of staking BTC to serve as the basis for the PoS of a network. It almost creates additional real-world value for BTC in the blockchain market. However, as a BTC holder, I wouldn't want to risk entrusting my BTC to a protocol that I don't fully understand or trust. I would rather sacrifice the staking income for safety and peace of mind.

I can't agree more with you what if things with them go wrong and somehow they lost our assets. This is not acceptable although the project is really a big success till now I am seeing it for a long time and how it raised that much funds. They also have an early reward system for their early users but I was unable to join as I was late.

Overall project looks promising and the team's strategic plans are also good. By reading the posts of other members I realized that due to the staking of this platform fee of the token can increase to $100 I don't understand how but let's see till the staking is live.

[Ujok]

This is very interesting for everyone so they think this is a place to make money, but with this development, will it have an impact on bitcoin so that the price of bitcoin will soar? Does this only benefit one party?

[MrSpasybo]

I actually like this Bitcoin staking idea and in a non-custodial way which can mean more control and maybe safer compared to other staking opportunities out there, BUT we know that in this industry risk is always present here and there and so we should take things with some good amount of grain of salt. This all boils down how reputable is this Babylon in their words and promises that they will not pull the plug for us. Now, having said that, with this moderate level of success of Babylon, I can sense that there can be some other platforms who might offer similar programs soon.

Investors always have to weigh the trade-off between profit and security when participating in the crypto market. Those who prioritize profit have quickly joined Babylon BTC staking program, while those who prefer security will stay out of such projects. I think each decision is correct, as long as BTC holders are satisfied with them.

Many people believe that DeFi on Bitcoin is inevitable and the emergence of Layer-2 solutions serving that purpose, but ultimately the decision still belongs to the investor because Bitcoin is a unique asset and ecosystem in this market. BTC long-term holders are often very cautious and do not trust protocols from any particular team. I think we should wait for results from Babylon regarding the security of the network and the returns for BTC holders who have participated.

[LogitechMouse]

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I like the idea of staking BTC to serve as the basis for the PoS of a network. It almost creates additional real-world value for BTC in the blockchain market. However, as a BTC holder, I wouldn't want to risk entrusting my BTC to a protocol that I don't fully understand or trust. I would rather sacrifice the staking income for safety and peace of mind.

I've seen the project before when I'm still finding new airdrops. If I remember correctly, this project launched an airdrop as well, right?

Like you though, I would rather hold my Bitcoins on a wallet that I have control with. Joining and staking a few weeks from now and joining and staking after a few months when this project established itself already will not make that much of a difference. Maybe the APY might changed and it might decrease as more Bitcoins are being staked, but with some holders finding ways for their Bitcoin to earn, they might get attracted by this thus, many will stake their Bitcoin.

I might try this one, but not for now. I would apply my "1 year rule" for this one. I will wait for a year before making a decision on whether I will stake my Bitcoins or not (if I'm holding at that time) .

[Z-tight]

This is very interesting for everyone so they think this is a place to make money, but with this development, will it have an impact on bitcoin so that the price of bitcoin will soar? Does this only benefit one party?

No, i don't think this will have any impact on BTC or on its price. Needless to say that i do not recommend that anyone should stake their BTC, keep your BTC in your own self custody for the long term, that is a better strategy and a way to make money than through staking.

[_act_]

This is very interesting for everyone so they think this is a place to make money, but with this development, will it have an impact on bitcoin so that the price of bitcoin will soar? Does this only benefit one party?

No, i don't think this will have any impact on BTC or on its price. Needless to say that i do not recommend that anyone should stake their BTC, keep your BTC in your own self custody for the long term, that is a better strategy and a way to make money than through staking.

I do not know how the staking will work but it can be similar to the liquidity pool in the altcoins in a way it can also be made for transactions. And maybe what would be staked will be similar the ones like wBTC which is an altcoin on ethereum blockchain pegged to bitcoin price. I will not advice anyone to stake this way unless it is seen to be safe. But about impacting to bitcoin, I think it might but the effect could be minimal to a an insignificant level.

[NotATether]

The most important question that people should be asking is whether this thing is going to be deployed on Bitcoin mainnet or on another chain?

Because there will be a lot of hostility if they attempt to run this on Bitcoin's L1. The resistance to making changes in Bitcoin's protocol is what makes it seen as a safe haven asset.