Bitcoin, long viewed as digital gold, is now stepping deeper into the decentralized finance (DeFi) world. In a major development, Babylon Labs has partnered with Axelar, a leading blockchain interoperability platform, to enable Bitcoin staking across more than 70 blockchain ecosystems. This partnership could significantly boost Bitcoin’s utility, helping BTC holders earn staking rewards without giving up custody of their coins.
Babylon Labs, known for its innovative approach to Bitcoin-based security, has officially introduced Babylon Genesis, a new layer-1 blockchain powered by its native baby token. Built using Cosmos’ CometBFT stack, Genesis is designed to be a “Bitcoin-Secured Network” (BSN), which allows users to stake Bitcoin in a secure and self-custodial way. This new blockchain introduces a groundbreaking solution where Bitcoin, despite its proof-of-work foundation, can now support proof-of-stake (PoS) chains by providing additional cryptographic security.
The partnership with Axelar plays a critical role in this ecosystem. Axelar’s interoperability protocol connects over 70 blockchains, enabling seamless communication and token movement between them. Now, with Babylon integrated into Axelar, the baby token and staking capabilities of the Genesis chain are accessible across this vast network. This expansion makes it easier than ever for users from various blockchain communities to participate in Bitcoin staking.
According to Clayton Menzel, Head of Business Development at Babylon Labs, “With Axelar’s integration, the Babylon Genesis ecosystem is now accessible across more than 70 blockchain ecosystems.” This opens up a vast new audience to participate in and benefit from secure Bitcoin staking while remaining in control of their funds.
One of Babylon’s standout features is its self-custodial staking model. Unlike traditional staking solutions that rely on bridges or centralized custodians, Babylon allows users to stake BTC while keeping full control of their private keys. This is achieved through cryptographic methods that don’t require the actual transfer of Bitcoin to another chain, thereby reducing risk and increasing trust.
Babylon Genesis also acts as a control hub, providing liquidity and governance for other projects that aim to become Bitcoin-Secured Networks. The introduction of Genesis is more than just a single-chain milestone—it sets the stage for a growing network of decentralized applications powered by Bitcoin’s unmatched security.
Axelar co-founder Georgios Vlachos highlighted the significance of Bitcoin’s evolving role in the broader digital asset space. “Bitcoin’s status as an institutionalized asset reinforces its value as a store of wealth, but it also enables it to play a critical role in the innovation happening onchain,” he stated. This reflects a broader shift in how Bitcoin is being used—not just as a store of value, but also as an active contributor to DeFi systems.
In essence, the Babylon-Axelar integration represents a new frontier for Bitcoin. With self-custodial staking now available to users across dozens of chains, BTC can finally participate in the dynamic world of decentralized finance while preserving its core principles of security and ownership.
Get the latest Crypto & Blockchain News in your inbox.