Bitcoin News Today: Bitcoin's New Era: Staking Turns Digital Gold into Productive Power

Lombard Finance, a leading project in the emerging Bitcoin liquid staking sector, has launched the $BARD token and the Liquid Bitcoin Foundation to expand the use of Bitcoin within decentralized finance (DeFi). The initiative marks a pivotal step in transforming Bitcoin from a passive store of value to a productive asset integrated into onchain capital markets. Lombard has initiated a $6.75 million community sale through the Buidlpad platform, offering 1.5% of the total $BARD token supply and implying a valuation of $450 million [1].

The liquid staking model allows users to stake their Bitcoin while retaining liquidity through tradable tokens like LBTC, which is backed 1:1 by BTC. This process is facilitated primarily through Babylon, a trustless staking protocol, enabling users to earn staking rewards while utilizing their LBTC across DeFi platforms such as Aave, Morpho, and Ether.fi [1]. Lombard's LBTC currently secures about $1.5 billion in value, with institutional adoption playing a key role in its growth [3].

Lombard’s broader vision includes building a full-stack infrastructure for Bitcoin DeFi, including a security layer, middleware for BTC yield integration, cross-chain wrappers, and vaults for yield strategies. The project, founded in 2024, has already secured $17 million in funding from prominent investors such as Polychain, Franklin Templeton, and Bybit [3]. With the launch of the $BARD token and the Liquid Bitcoin Foundation, Lombard aims to foster governance, research, and education initiatives while ensuring decentralization and neutrality [1].

The BARD token will serve as the governance and utility token for the Lombard ecosystem, enabling holders to vote on proposals, access new products, and participate in securing the protocol [1]. Jacob Phillips, co-founder of Lombard, described the community sale as an opportunity for over 260,000 LBTC holders and the broader Bitcoin ecosystem to shape the future of onchain finance. The sale will allow eligible users to submit their KYC details between August 26 and August 29, with contributions accepted on September 1 using USD1, BNB, or LBTC [2].

The Bitcoin liquid staking market remains nascent, with a total market capitalization of approximately $2.5 billion, compared to Ethereum’s $38 billion liquid staking market dominated by stETH [1]. Lombard’s LBTC represents about 40% of the Bitcoin LST market, underscoring its growing influence. With its native token now in circulation, Lombard is positioning itself as a central player in the onchain financial ecosystem, aiming to expand Bitcoin’s utility beyond its traditional role as digital gold [3].

The sale is expected to attract both institutional and retail participants, with LBTC holders given priority access. While specific details on the token’s total supply and airdrop have yet to be disclosed, the event reflects a broader trend of innovation within the BTC DeFi space. As Bitcoin’s role in DeFi expands, projects like Lombard are helping unlock new value by bridging the gap between traditional finance and decentralized markets.

Source:

[1] Bitcoin Liquid Staking Gains Momentum as Lombard Launches BARD Token and Foundation (https://www.coindesk.com/tech/2025/08/23/bitcoin-liquid-staking-gains-momentum-as-lombard-launches-bard-token-and-foundation)

[2] GeckoPulse: A Second Wind for BTCFi? (https://www.coingecko.com/learn/geckopulse-a-second-wind-for-btcfi)

[3] Bitcoin DeFi Will Dominate Q4: BARD Crypto Launches ... (https://99bitcoins.com/news/presales/bitcoin-defi-will-dominate-q4-bard-crypto-launches-after-6-5m-buidlpad-raise-is-hyper-next/)