The Bitcoin staking protocol, Babylon, has made waves in the cryptocurrency world with its recent $70 million funding round led by Paradigm. This funding round, supported by other prominent investors such as Bullish Capital and Polychain Capital, aims to propel Babylon’s mission of utilizing Bitcoin as a staking asset in Proof-of-Stake (PoS) systems.
Babylon’s innovative approach to integrating Bitcoin into active staking mechanisms has garnered attention for its potential to enhance the economic and security models of PoS systems globally. With a modular design and unique slashing functionality, Babylon is setting itself apart in the cryptocurrency landscape.
“The ability for holders to stake their bitcoin while retaining their keys is a significant breakthrough. It is a hard problem that has been solved by Babylon,” said Bullish Capital CEO, Alasdair Foster.
By tapping into Bitcoin’s vast market cap of over $1 trillion, Babylon aims to alleviate inflationary pressures faced by native PoS tokens. This strategic move is intended to accelerate Babylon’s mission of making Bitcoin the security backbone of PoS systems.
Edward, Managing Partner at HTX Ventures, highlighted Babylon’s trustless design as a key innovation that unlocks new possibilities for Bitcoin and paves the way for innovative Bitcoin-native applications.
Babylon’s recent technological milestones include the launch of the world’s first trustless Bitcoin staking testnet in February 2024, which quickly attracted over 100,000 stakers within the first 48 hours. With this latest funding round, Babylon is poised to continue pushing the boundaries of what is possible with Bitcoin in the cryptocurrency space.
