As the Fusion Upgrade nears, bringing the launch of Liquid Staked Bitcoin (LstBTC), existing DAO Lockers of the coreBTC asset are winding down. To recap, coreBTC was the first Core-native bridged Bitcoin asset, enabling trust-minimized bridging of Bitcoin from the Bitcoin blockchain to Core’s BTCfi ecosystem. It achieved this through overcollateralization, specialized Lockers on Bitcoin, and smart contracts on Core. By providing an overcollateralized pathway from Bitcoin to Core, coreBTC successfully converted many Bitcoin holders into Core users. Details on the architecture of coreBTC can be found here.
However, its utility is now being surpassed by the highly anticipated LstBTC asset, which is both yield-bearing and fully usable within Core’s BTCfi ecosystem. LstBTC also has lower capital requirements and greater accessibility to a broad range of users.
Existing coreBTC in circulation remains fully redeemable, with redeemed assets being returned to the user’s Bitcoin address in batches. Instructions on how to redeem coreBTC can be found here. These assets can then be used to mint LstBTC or other bridged Bitcoin assets on Core, such as solvBTC. Of course, for users to get the full advantage of both staking yield and liquidity on Core, LstBTC will be the obvious choice. Similarly, builders on Core are encouraged to prepare for LstBTC to avoid fragmenting liquidity.
The shift from coreBTC to LstBTC marks a significant milestone in Core’s evolution, redefining what it means to hold Bitcoin on a composable chain.
Yield + Liquidity = Better BTCfi