Ether.fi Staked BTC (eBTC) is a liquid restaking token developed by ether.fi, designed to provide users with yield opportunities from both Bitcoin staking and restaking protocols. It allows users to deposit Bitcoin-backed assets, such as LBTC and WBTC, to earn rewards. ^[3]

Overview

eBTC functions as a liquid restaking token that represents staked and restaked Bitcoin-backed assets within the ether.fi ecosystem. Its primary purpose is to simplify the process of earning yield from multiple sources simultaneously, including native Bitcoin staking and various restaking protocols. The token is designed to be compatible with multiple blockchain networks, including the Ethereum mainnet, Base, Arbitrum, and Corn, while maintaining the same contract address across these chains.

The token is backed by LBTC through a collaboration with Lombard, aiming to deliver a product that offers dual yield generation from both staking and restaking activities. Staking is facilitated through the Babylon protocol, while restaking services are integrated via platforms such as EigenLayer, Symbiotic, and Karak. This structure allows users depositing LBTC and WBTC to potentially earn yields aggregated from these different protocols. eBTC is positioned as an alternative form of collateral within the growing restaking landscape, offering simplified yield optimization and expanded utility for Bitcoin holders. ^{[1] [2]}

Technology

The eBTC token operates on a technical framework that integrates multiple underlying protocols to generate yield. When users deposit supported assets, such as LBTC or WBTC, into the eBTC vault, these assets are utilized across various strategies. Staking yield is primarily derived through integration with the Babylon protocol, which focuses on Bitcoin staking. Concurrently, the deposited assets are also deployed into various restaking protocols, including EigenLayer, Symbiotic, and Karak.

This dual approach allows eBTC holders to potentially earn rewards from both native Bitcoin staking and the additional yields offered by restaking activities on Ethereum-based protocols. The system is designed to abstract the complexities of managing individual staking and restaking positions, providing users with a single liquid token that represents their underlying staked and restaked assets, as well as accumulated rewards. The eBTC token is available and bridgeable across multiple networks, including Ethereum mainnet, Base, Arbitrum, and Corn, using a consistent contract address. ^{[7] [8]}