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The demand for yield-generating strategies around Bitcoin (BTC<\/a>) is surging, especially from firms seeking liquidity without liquidating their BTC, according to Ryan Chow, co-founder and CEO of Solv Protocol.<\/p>\n During a fireside chat at the Token2049 conference in Dubai on May 1, Chow said institutional interest in Bitcoin yield products has grown exponentially over the past few years.<\/p>\n Initially, generating Bitcoin yield was nearly impossible. However, recent innovations like staking via proof-of-stake (PoS)<\/a> protocols and delta-neutral trading strategies have made this possible.<\/p>\n Layer-1 and layer-2 advancements, such as Babylon, have made these strategies more viable. Babylon allows BTC holders to earn yield on their assets, which are used to provide security and liquidity for PoS networks.<\/p>\n \u201cBitcoin as the largest asset class here, you can stake your Bitcoin to secure the network [\u2026] that makes us feel like if it is the answer to really bring utility and also use case,\u201d he said.<\/p>\n Related: <\/strong><\/em>Bitcoin DeFi project Solv to launch native token on Hyperliquid<\/strong><\/em><\/a><\/p>\n Chow noted that institutions mainly focus on Bitcoin when entering crypto due to its dominance in portfolios. Once they purchase Bitcoin, they lend it out to gain liquidity without selling.<\/p>\n Companies like Coinbase now offer up to $1 million in borrowing against Bitcoin. Platforms like Aave and Compound also enable instant borrowing.<\/p>\n Chow also praised public firms like Strategy (formerly MicroStrategy) for helping normalize BTC as a treasury asset. \u201cMSTR is a very successful derivatives kind of use case based on Bitcoin [\u2026] That\u2019s also Bitcoin finance.\u201d<\/p>\n In an April report, crypto fund issuer Bitwise revealed that the amount of Bitcoin held on the books of publicly traded companies rose by 16.1% in the first quarter<\/a> of 2025.<\/p>\n The company detailed that Bitcoin holdings rose to around 688,000 BTC by the end of Q1, with firms adding 95,431 BTC over the quarter.<\/p>\n The value of the combined\u00a0Bitcoin stacks<\/a> rose around 2.2%, reaching a total combined value of $56.7 billion with a price per BTC of $82,445, the firm added.<\/p>\n Looking ahead, Chow said he expects over 100,000 BTC to enter ecosystems like Solana. \u201cThere should be more and more use cases come out,\u201d he said.<\/p>\n Related: <\/strong><\/em>Solv launches Bitcoin staking token on Solana<\/strong><\/em><\/a><\/p>\n Chow also mentioned the firm\u2019s recently launched Sharia-compliant Bitcoin yield product called\u00a0SolvBTC.core, which generates yield by securing the Core blockchain network and engaging in onchain DeFi activities while adhering to Islamic finance principles.<\/p>\n \u201cSharia compliance is something that we prepared for a long time […] you have to pass it before you really serve them through your platform.\u201d<\/p>\n With over 25,000 BTC already locked in Solv\u2019s protocol \u2014 worth more than $2 billion \u2014 Chow said the firm is now building infrastructure tailored to institutional needs, with an emphasis on regulatory and cultural requirements.<\/p>\nLending emerges dominant BTC financial use case<\/h2>\n
Solv launches Sharia-compliant yield products<\/h2>\n