Veda Now Powers Lombard's DeFi Vault
Veda Now Powers Lombard’s DeFi Vault
Veda is thrilled to announce that it will power Lombard’s DeFi Vault. Lombard’s DeFi Vault is designed to bridge the gap between bitcoin and DeFi, by offering LBTC holders one-click access to DeFi yields without any of the complexities.
The State of Bitcoin
Satoshi envisioned Bitcoin as a peer-to-peer electronic cash system, where decentralized digital currency could be used as a medium of exchange. Today, Bitcoin has made its mark, inspiring countless new payment systems, blockchains, and applications.
Despite its success, over $1 trillion worth of BTC remains idle. Unlike ETH, which benefits from a thriving staking economy, Bitcoin lacks a comparable low-risk source of yield. Current methods to use BTC in DeFi compromise security and decentralization, leading to fragmented BTC liquidity across various Layer 2 solutions and wrapped tokens. Yet, Bitcoin remains the largest cryptocurrency by market cap, liquidity, and institutional adoption.
Introducing Lombard’s DeFi Vault: The Game Changer for Bitcoin
Lombard's flagship product, LBTC, is a yield-bearing, cross-chain, liquid Bitcoin backed 1:1 by BTC. This innovation brings DeFi interoperability to Bitcoin, allowing it to be held as a store of value while also being used to earn, stake, trade, and transfer in DeFi at scale. For the first time, Bitcoin holders can leverage their assets in new and exciting ways without compromising on the inherent value of Bitcoin.
Veda: Powering Lombard’s DeFi Vault
Veda will play a crucial role in amplifying the value of LBTC by providing secure, tokenized DeFi yields. More specifically, Veda will aim to provide access to the highest risk-adjusted yields available within LBTC DeFi.
Veda's Revolutionary Native Yield Layer
Veda was built to help Lombard and other protocols tokenize the best DeFi yields in their ecosystem and deliver them seamlessly to users. Veda does this by essentially embedding yield at the network layer. Veda’s key features include:
Configurable Yield Optimization: Flexible strategies managed by DeFi strategists or AI agents.
Verifiable Constraints on Capital Allocation: On-chain constraints for enhanced security.
Modular and Extensible Architecture: Rapid integration with new protocols and assets.
Secure Cross-Chain Operations: Ensuring interoperability and security across multiple blockchains.
Veda will power Lombard’s DeFi Vault through an evolving set of DeFi strategies. Initially, Veda will provide liquidity on Curve as well as concentrated liquidity provision on Uniswap and other V3-style protocols to ensure peg stability for trading LBTC. As DEX liquidity grows, it becomes easier for LBTC to be adopted as collateral allowing Veda to run even more DeFi strategies. Other DeFi integrations will also be utilized as part of Lombard’s DeFi Vault. As LBTC is exported to other Layer 2s, Veda can tap into those yield sources as well.
Deposit into Lombard’s DeFi Vault and Earn 3x Veda Points and 4x Lombard Lux
How to Participate: Participate in Lombard’s DeFi Vault (hold LBTCv tokens)
Visit the Lombard WebApp to stake your BTC and mint LBTC. Learn more here.
Additional DeFi integrations may also be eligible for points and will be announced through Veda’s official X account and displayed on the Points dashboard on the Veda website. Please be aware that you will only earn Veda Points during the period when you are participating in qualifying activities listed on the Veda Points dashboard.
Eligibility: The Veda Points campaign is geared towards long-term participants in the Veda ecosystem. In addition, participation is unfortunately restricted for users in certain jurisdictions, including the United States. The relevant Veda Points dashboard on the Veda website will be blocked to users in such jurisdictions.
Conclusion
As Bitcoin DeFi reaches an inflection point reminiscent of early 2020, Lombard's LBTC and Lombard’s DeFi Vault are poised to drive exponential growth. By unlocking Bitcoin's potential and integrating it seamlessly with DeFi, Lombard and Veda are expanding opportunities and creating a more prosperous and dynamic ecosystem for all Bitcoin holders.