DeFi Technologies to Launch Validator Node and Stake $100M in BTC
Toronto-based digital asset company DeFi Technologies is set to launch a validator node on Core Chain and stake nearly $100 million in Bitcoin (BTC).
Through its subsidiary Valour, DeFi Technologies will not only validate transactions but also receive staking rewards for its participation, the firm said in a Tuesday press release.
The staking process will be facilitated by Core Chain’s Ethereum Virtual Machine-compatible consensus mechanism on its layer-1 BTC-powered blockchain.
“By staking 1,498 BTC and participating in network consensus, we are advancing our mission to bridge traditional finance with innovative blockchain technology,” Olivier Roussy Newton, the CEO of DeFi Technologies, said.
“This approach offers our investors unique exposure to yield and growth within the digital asset space.”
During the lockup period, stakers will retain custody of their BTC holdings while receiving rewards in CORE tokens, which will be reinvested in the product.
Staked CORE tokens will provide a reward of 11.66%.
To ensure the security of transactions and the blockchain, 50% of the BTC mining hash power will be distributed to the Core Chain.
Currently, Core Chain has over 2,800 BTC staked, excluding the upcoming stake from DeFi Technologies.
The collaboration marks the second step in the partnership between the two organizations.
On May 10, they jointly launched the Valour Bitcoin Staking exchange-traded product (ETP) on the Nordic Growth Market exchange, with the Swedish krona serving as the base currency.
The Valour ETP, touted as the first yield-bearing BTC ETP, offers exposure to BTC with a 5.65% yield and a 1.9% management fee.
Additionally, the partners plan to introduce a Core ETP that will provide yield through BTC staking.
Valour
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