Stake bitcoin with Babylon and Kiln, enterprise-grade staking

Babylon

John Mulreany, Protocol Specialist
April 15, 2025

* Gross Reward Rate (GRR) may change over time and vary depending on the open source blockchain protocol code. In addition, fees might be deducted from the gross effective rewards earned.

What is Babylon? 

Babylon aims to harness Bitcoin to secure Proof-of-Stake chains and Decentralized Applications. It does so through innovative cryptographic technologies to bring staking to Bitcoin without involving any third parties.

As of April 10th, 2025, Babylon launched its very first Bitcoin Staking Network (BSN), the Babylon Chain. This genesis chain enables BTC stakers to earn additional yield in the form of BABY tokens, while also contributing to the shared security of the network. It marks a major milestone in the Babylon roadmap and brings the vision of Bitcoin-backed security to life.

With Babylon, Bitcoin holders can choose to stake their BTC to secure PoS chains and dApps to earn staking rewards from them, and those chains and apps can leverage this bitcoin-backed security.

Learn more about Babylon with David Tse’s keynote during Kiln Rendez-Vous '23:

Download our 1-pager and learn everything you need to know about Babylon staking.

How does Babylon actually enable bitcoin staking?

Babylon makes bitcoin staking possible by generating “EOTS”, which are one-time signatures to create spendable bitcoin transactions (UTXOs) associated with a Babylon node. If the node behaves dishonestly, the EOTS will be triggered, and the UTXO or a portion of it will be slashed as a penalty.



Thanks to this specific architecture, there is no need for a third party and to bridge BTC assets to another chain, and bitcoin holders can generate staking rewards from their assets, without leaving the Bitcoin chain.

Watch the Kiln Rendez-Vous talk at EthCC '24 with Botanix, CoreDao and Babylon to learn more about bitcoin staking:

Why should you stake your bitcoins?

The Bitcoin network doesn’t support staking as a Proof-of-Work network. Hence it is not possible to generate rewards from bitcoins without bridging assets to another blockchain like Ethereum. Idle bitcoins create opportunity costs by leaving staking rewards out of the table.



Babylon makes it possible to generate rewards from bitcoin assets maximising capital efficiency of idle bitcoins.

Deep-dive into the BTC staking ecosystem through our detailed blog post.

What are the rewards associated with staking BTC?

As an incentive for helping to safeguard the network, you can get rewarded depending on the PoS blockchains you opt-in to support. The more protocols supported, the higher the GRR will be, but also the risk!

Rewards will be issued in the native asset of the protocols you opt-in to secure (i.e. NTRN on Neutron).

You can stake your BTC as well as other digital assets to:
  • 1
    Put your treasury to work
  • 2
    Diversify and earn, while contributing to blockchains decentralization
  • 3
    Bring new opportunities by enabling your users to earn staking rewards

Why should you stake your BTC with Kiln?

Kiln is the leading enterprise-grade staking platform, enabling institutional customers to stake BTC, and to whitelabel BTC staking functionality into their offering. Our platform is API-first and enables fully automated validators, rewards, data, and commission management.

Our clients can stake their tokens from our dashboard, a hardware wallet, a browser wallet, a B2B custodian, a crypto exchange, or just their favorite investment app. Kiln makes staking BTC easy, secure, and accessible to everyone.

Kiln has been closely working with Babylon to make sure we provide the best bitcoin staking experience as possible.

We are serving thousands of businesses worldwide so that everyone can securely and seamlessly:

  • Excellent track record in staking on 50+ protocols, managing more than $11B in stakes.
  • Trusted by industry leaders such as Ledger, VanEck, Coinbase Cloud, Bitpanda, Crypto.com and many more!
  • Non-custodial, work with your existing custodians solutions e.g.Ledger, Fireblocks
  • SOC 2 Type II certified and Industry leading SLAs (0 penalties recorded and 99.95% effective uptime)

How to stake your BTC with Babylon and Kiln?

Check out this blog post to learn how to stake BTC with Babylon and Kiln as well as detailed instructions in our docs.

Why should you stake your BTC with Kiln?

Kiln is the leading enterprise-grade staking platform, enabling institutional customers to stake BTC, and to whitelabel BTC staking functionality into their offering. Our platform is API-first and enables fully automated validators, rewards, data, and commission management.

Our clients can stake their tokens from our dashboard, a hardware wallet, a browser wallet, a B2B custodian, a crypto exchange, or just their favorite investment app. Kiln makes staking BTC easy, secure, and accessible to everyone.

Kiln has been closely working with Babylon to make sure we provide the best bitcoin staking experience as possible.

We are serving thousands of businesses worldwide so that everyone can securely and seamlessly:

  • Excellent track record in staking on 50+ protocols, managing more than $11B in stakes.
  • Trusted by industry leaders such as Ledger, VanEck, Coinbase Cloud, Bitpanda, Crypto.com and many more!
  • Non-custodial, work with your existing custodians solutions e.g.Ledger, Fireblocks
  • SOC 2 Type II certified and Industry leading SLAs (0 penalties recorded and 99.95% effective uptime)

How to stake your BTC with Babylon and Kiln?

Check out this blog post to learn how to stake BTC with Babylon and Kiln as well as detailed instructions in our docs.

Protocol Card

Token
BABY
GRR
1-2%
Number of finality providers
250
Consensus
DPoS

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John Mulreany, Protocol Specialist
April 15, 2025

* Gross Reward Rate (GRR) may change over time and vary depending on the open source blockchain protocol code. In addition, fees might be deducted from the gross effective rewards earned.

Babylon FAQ

What does Proof-of Stake mean?

Does interest compound when staking BTC?

Is there a minimum and maximum amount to stake for BTC?

Do I maintain custody of my BTC tokens? Is BTC staking non-custodial?

What is the lockup period to stake BTC? When can I unstake and withdraw my BTC?