Staking and governance
Two different things share the word “staking” in Solv’s world. Staking Bitcoin through SolvBTC is about earning yield on BTC. Staking the SOLV token is about governance and protocol rewards. This page is mostly about the second — and why the distinction matters.
Bitcoin staking happens when SolvBTC is routed into strategies and you hold a liquid staking token — covered in how it works. SOLV staking is staking the governance token itself, described below. They are separate activities with separate risks and rewards.
Staking SOLV
Holders can stake SOLV to earn a share of protocol emissions. The purpose is alignment: people who commit their tokens have a stake in the protocol’s long-term health, not just its short-term price. Rewards come from the emission schedule built into the tokenomics, so the rate depends on how much is staked and how emissions are set — both of which can change.
As with any staking, weigh the reward against what you give up: staked tokens may be subject to lock-ups or unstaking delays, and emission-based rewards can dilute if supply expands. Read the SOLV token page for supply and vesting context.
Governance: who decides what
SOLV is a governance token, which means holders can participate in deciding how the protocol evolves. Typical matters put to governance include:
- Parameters — settings that tune how the protocol behaves.
- Upgrades — changes to the protocol’s contracts and features.
- Treasury and incentives — how community funds and rewards are directed.
- New initiatives — for example offerings tied to the Bitcoin reserve.
How a decision typically moves
- Discussion. An idea is raised and debated in community forums and official channels.
- Proposal. It is written up as a formal proposal with specific, votable terms.
- Vote. Token holders vote, with weight usually tied to holdings or staked tokens.
- Execution. If it passes, the change is implemented.
The precise rules — thresholds, quorum, voting periods — are defined by the protocol’s governance framework and can themselves be changed by governance. For current procedures, follow the official channels in the footer.
Why governance matters to ordinary holders
Even if you never vote, governance shapes the things you care about: fee levels, which strategies are supported, how conservatively risk parameters are set, and what happens to the treasury. Paying attention to active proposals is one of the better early-warning systems for changes that affect your position.
Read proposals in full before voting, be sceptical of last-minute or vaguely worded changes, and never delegate or sign anything outside official governance interfaces. “Vote now” links in DMs are a classic phishing hook.
Related: SOLV token · Ecosystem