Starknet Launches Bitcoin Staking and Yield Product as Part of BTCFi Expansion

Edyme

September 30, 2025

The system is secured by zk-STARK cryptography, a technology Starknet has long promoted for its scalability and security properties.

Bitcoin holders now have a new way to put their assets to work. Starknet has rolled out what it describes as the first trustless method to stake BTC on a Layer 2 network, opening the door to yield opportunities and a new role for the world’s largest cryptocurrency in decentralized finance.

Bitcoin staking on Starknet

Unlike Ethereum, Bitcoin’s proof-of-work consensus does not natively support staking. Starknet’s approach relies on wrapped versions of BTC, including WBTC, tBTC, Liquid Bitcoin, and SolvBTC, which can be delegated within the network.

Following an onchain vote in August, these assets are now able to participate in Starknet’s consensus mechanism alongside its native STRK token.

1/ Bitcoin doesn’t change. But what you can do with it just did.

From the June 2024 announcement that Starknet would scale Bitcoin, to the product rollouts of March 2025, the path has been clear.

BTCFi on Starknet is where that momentum now leads 🧵 pic.twitter.com/dznkDJYsK8
— Starknet (BTCFi arc) (@Starknet) September 30, 2025

The system is secured by zk-STARK cryptography, a technology Starknet has long promoted for its scalability and security properties.

“Today we’re making good on that promise … bringing value to Bitcoin holders with no loss in trust,” StarkWare CEO Eli Ben-Sasson said in a statement. He added that merging Bitcoin’s foundational vision with Starknet’s zero-knowledge technology represents “two dreams converging.”

The Starknet Foundation has also earmarked 100 million STRK (roughly $12 million) to jumpstart the BTCFi ecosystem. Incentives will support lending, borrowing, and yield strategies centered around Bitcoin as collateral, with the stated goal of making Starknet one of the most cost-efficient venues for BTC-backed finance.

Re7 capital joins with BTC yield product

In a parallel development, digital asset investment firm Re7 Capital announced it will launch a Bitcoin-denominated yield strategy on Starknet this October.

The product combines off-chain derivatives trading, curated DeFi yield strategies, and BTC staking on Starknet, with returns distributed directly in Bitcoin. According to Re7 founder Evgeny Gokhberg, the fund is designed to help BTC holders compound their assets while reinforcing Starknet’s security.

Ben-Sasson welcomed the move, describing it as a signal of confidence in the network’s long-term potential. Together, the staking mechanism, incentive program, and Re7’s upcoming strategy mark the first wave of what Starknet is calling “BTCFi.”