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Stake Bitcoin with Lombard and Kiln, enterprise-grade staking
Lombard
What is Lombard?
Lombard Finance is a decentralized Bitcoin restaking protocol built on Babylon. It lets Bitcoin holders convert BTC into LBTC – a liquid staked token that preserves exposure to Bitcoin’s value while generating yield by enhancing Proof-of-Stake (PoS) network security.
By addressing Bitcoin’s DeFi limitations (fragmented liquidity, limited integrations, and no native yield), Lombard transforms Bitcoin from a passive asset into a functional, yield-bearing resource. LBTC enables Bitcoin to serve as collateral across chains, supporting broader market participation while preserving its core promise.
Download our 1-pager and learn everything you need to know about Lombard staking.
How does staking Bitcoin with Lombard work?
Lombard is built on Babylon, a protocol that introduces shared security to PoS networks. Similar to EigenLayer – but using Bitcoin instead of Ethereum – Babylon leverages Bitcoin’s economic value for network security while allowing BTC holders to earn yield.
When you deposit BTC into Lombard, it is restaked in Babylon, boosting network security. In return, you receive LBTC, a liquid token backed 1:1 with BTC that earns staking rewards while remaining available for DeFi activities (lending, borrowing, trading, or collateral use) without the need to exit your position. This model not only secures PoS networks with Bitcoin’s weight but also grants holders both yield and composability.
You can also stake LBTC via Kiln using a direct link.
Why should you stake your assets?
Staking Bitcoin through Lombard allows you to earn yield and participate in DeFi while maintaining ownership, security, and liquidity. Built on Babylon’s shared security layer, Lombard makes it possible for BTC to support PoS networks and earn rewards without being locked or wrapped through centralized solutions.
You can stake your BTC to:
- 1Put your treasury to work
- 2Diversify and earn, while supporting the security of emerging PoS networks
- 3Bring new opportunities by enabling your users to earn staking rewards
What are the rewards associated with staking LBTC?
When you stake BTC and receive LBTC, you can access several rewards:
• Babylon Staking Yield (BABY): Earn native rewards for supporting PoS network security.
• Lombard Lux: Accumulate Lux points through the Luminary Program, calculated as Days Staked × Amount of LBTC × 1,000.
• DeFi Partner Rewards: Leverage LBTC on various platforms to earn extra yields and incentives.
You can find more information in Lombard Docs.
Why should you stake your LBTC with Kiln?
Staking LBTC with Kiln is the most reliable way to participate in Bitcoin restaking through Lombard, backed by infrastructure trusted across both the Lombard and Babylon protocols. Kiln combines deep technical integration with enterprise-grade operations to ensure your staking activity is secure, compliant, and well-supported.
Kiln's role includes:
- Signer for Lombard: Validating BTC deposits, confirming staking transactions, and authorizing minting and burning of LBTC – ensuring accurate 1:1 BTC representation.
- Finality Provider for Lombard: Operating a co-branded finality provider for BTC deposits into Lombard, securing the bridge from BTC to LBTC.
When you stake LBTC with Kiln, you gain:
- One-click staking
- Infrastructure and practices aligned with institutional and regulatory standards.
- 95% uptime guarantee uptime guarantee
- Full custody of your assets
- SOC 2 Type II certified and industry-leading SLAs
- Transparent monitoring – dashboards and APIs for real-time tracking of rewards
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Protocol card:
Consensus
PoS
GRR*
TBD
Number of validators
15
Token
LBTC
Lombard
What is a Proof-of Stake?
Proof-of-Stake (PoS) is a consensus mechanism that secures blockchains without the energy-intensive mining of Proof-of-Work. Instead of solving complex puzzles, users lock up (stake) their tokens to help validate transactions. Validators are selected based on the amount staked, and dishonest behavior risks losing a portion of the staked tokens.
Do I maintain custody of my LBTC tokens?
Yes. Staking LBTC with Kiln is non-custodial, meaning you retain full ownership and control of your tokens throughout the staking process. Additional security measures, such as using a hardware wallet, are available if desired.
What are the risks when staking LBTC?
Staking LBTC involves risks such as potential slashing from validator misbehavior, depeg risk during volatile markets over a 7-day unstaking period, and technical risks like smart contract bugs or network attacks – all of which are mitigated through regular audits, continuous monitoring, and proactive measures.
How do rewards work on LBTC?
Staking LBTC rewards you with a native BABY yield for securing PoS networks, loyalty rewards through Lombard Lux based on your staked amount and duration, and extra earnings from DeFi activities like lending and trading, often with auto-compounding options.
What is the average block time associated with LBTC?
LBTC itself isn’t a standalone blockchain – it represents a staked Bitcoin position on Babylon. The block time depends on the underlying PoS networks secured by Babylon, which typically produce blocks every 10-15 seconds.
Where can I learn more about staking LBTC?
For additional details, refer to the official Lombard Finance and Babylon protocol documentation.