How Solv Protocol works

Four steps turn idle Bitcoin into a yield-bearing asset: deposit, mint, route, earn. Underpinning all of it is a backing model you can audit. Here is each step without the jargon.

Step 1 — Deposit and mint SolvBTC

You start with Bitcoin (or a recognised wrapped form of it). When that Bitcoin enters the system, an equivalent amount of SolvBTC is minted to you. The intent is a one-to-one relationship: one SolvBTC per Bitcoin backing it. SolvBTC is the liquid, chain-native representation of your holding — you can hold it, move it between supported networks, or take the next step and put it to work.

Step 2 — The Staking Abstraction Layer (SAL)

This is the piece that makes Solv more than a wrapper. Bitcoin yield comes from many different places — staking protocols, network security programs, market strategies — and each one has its own rules, contracts and risks. The Staking Abstraction Layer sits between you and all of that, standardising how Bitcoin is routed into a chosen venue and how the resulting position is represented.

Instead of learning each venue, you pick a strategy and the SAL handles the routing. It was built in cooperation with infrastructure partners across custody, networks and cross-chain messaging, which is what lets one token plug into many yield sources.

Step 3 — Receive a liquid staking token

When SolvBTC is committed to a strategy, you receive a liquid staking token (LST) that represents that position — for example SolvBTC.BBN for Bitcoin staked through Babylon, or SolvBTC.CORE for Bitcoin helping secure the Core network. The token stays liquid: you can hold it while it accrues yield, and in many cases use it elsewhere in DeFi. The supported assets page lists the family in detail.

Step 4 — Earn, then redeem

Yield accrues according to the strategy behind your LST. Returns are not fixed and not guaranteed — they reflect what the underlying activity actually pays, minus risk. When you want out, you redeem back toward SolvBTC and, ultimately, Bitcoin, subject to the protocol’s redemption process and any strategy-specific conditions such as unbonding periods.

The backing model: proof of reserve

The credibility of any wrapped or pegged asset comes down to one question: is it really backed? Solv addresses this with proof of reserve — publishing the relationship between Bitcoin held and SolvBTC issued, reviewed by third parties. It is the mechanism that lets the “1:1” claim be verified instead of trusted. Read more on the security & audits page.

Cross-chain by design

SolvBTC is meant to be one asset that exists consistently across many networks rather than a different token on each. Movement between chains is handled by cross-chain interoperability infrastructure, so a holder on one network can bridge to another without the backing fragmenting. The ecosystem page lists the networks involved.

Ready to try it in practice? Read the depositor guide →