The Core Foundation, in collaboration with Maple Finance, BitGo, Copper, and Hex Trust, has introduced a Bitcoin token aimed at enabling institutions to earn returns from their idle BTC.
According to a press release from crypto.news, IstBTC has unveiled a new liquid and yield-generating Bitcoin (BTC) token specifically crafted for institutions to recover billions of dollars while ensuring security, compliance, and liquidity.
Institutions can mint lstBTC by depositing Bitcoin with custodians such as BitGo, Copper, or Hex Trust. Unlike other tokens, IstBTC generates yield while remaining entirely liquid, allowing institutions to trade, transfer, or use lstBTC as collateral.
Upon redemption, holders receive their original Bitcoin value, along with any accrued yield, which is transferred to their custodial accounts. lstBTC leverages the Core blockchain’s dual-staking mechanism, allowing Bitcoin to earn rewards while fortifying the network. Thus, IstBTC provides institutional holders with the opportunity to enhance Bitcoin productivity without sacrificing security or operational efficiency.
Previously, institutional BTC holders faced the dilemma of either securely storing their BTC value or relinquishing security and liquidity to earn BTC yield. With IstBTC, institutions can now generate sustainable yield paid in Bitcoin without moving their assets away from reliable custodians.
This innovation is made possible through Maple Finance’s oversight of yield generation strategies that comply with regulatory and risk standards, streamlining the process of earning yield without requiring the transfer of BTC out of custody.
Sydney Powell, CEO and Co-Founder of Maple Finance, noted that the market has lacked viable Bitcoin yield options for years, limiting institutions’ ability to fully leverage Bitcoin’s potential.
“Maple is pleased to partner with CORE on lstBTC, which allows institutions to earn yield on their BTC without sacrificing the security provided by trusted custodians,” stated Powell.
Hong Sun, Institutional Contributor at Core DAO, described the partnership behind IstBTC as a “game changer for institutional Bitcoin holders,” as it allows institutions to earn yield on Bitcoin while retaining custody and security.
“By integrating the Core blockchain’s dual staking, Maple Finance’s risk-managed strategies, and the trusted custodial services of BitGo, Copper, and Hex Trust, lstBTC establishes a new benchmark for institutional Bitcoin solutions,” Sun commented.
