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Mezo is an EVM blockchain-based platform that allows users to stake BTC assets to secure itself and serve as Bitcoin’s economic layer.
Through this economic layer, Mezo powers an infrastructure for Bitcoin-based protocols and payments, as well as saving, investing, and self-banking systems.
Mezo is built on tBTC, the largest decentralized bridge in production for Bitcoin. tBTC allow users to bridge and use their bitcoins across EVM blockchains.
By combining a dual-staking model for rewards and validation, Mezo incentivizes network participation and security by enabling economic security through bridged BTC assets.
This process allows users to earn staking rewards while maintaining exposure to Bitcoin's value. BTC assets can be utilized across various decentralized finance (DeFi) applications in the BitcoinFi ecosystem, such as providing liquidity to generate additional rewards.
This system transforms Bitcoin from a passive asset into a productive one, enabling holders to participate actively in the DeFi ecosystem without relinquishing their Bitcoin holdings.
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.
Mezo makes it possible to generate rewards from bitcoin assets maximising capital efficiency of idle bitcoins.
To stake BTC with Mezo and Kiln, delegate your tokens to Kiln validators from our Mezo node following these steps:
Reach out to us if you’re an institution wanting to stake BTC with Kiln.
For now, users depositing assets to Mezo are eligible for the Mezo points program.
Later, as an incentive for helping to safeguard the network, users will get rewarded with BTC staking rewards.
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.
We are serving thousands of businesses worldwide so that everyone can securely and seamlessly. 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.
Proof-of-Stake (PoS) is a type of consensus mechanism used to validate cryptocurrency transactions. Through PoS, validators can contribute to the block production of a chain while keeping environmental concerns to a minimum, which is becoming an increasingly large issue in Proof-of-Work.
By staking capital rather than energy, validators risk losing a portion of their value and future potential for staking by misbehaving while creating blocks. This incentives collaboration and fair practices while validating information in a similar way that PoW has with incentives and punishments to curtail malicious activity in the consensus process.
BTC staking rewards aren’t enabled yet, stay tuned to learn more.
No, the interest doesn’t compound when staking BTC with Mezo.
You need at least 0.01 BTC or equivalent assets to start staking BTC on Mezo.
While you may maintain self-custody of your staked BTC (ideally using a Ledger hardware wallet), you may also choose a third-party custodian to control the withdrawal of your staked BTC (i.e. Fireblocks).
Upon depositing assets to stake with Mezo, you must choose a lock period. You can choose between 2, 6 and 9-month lockup periods.
Staked bitcoins can be slashed if a validator behaves dishonestly with the network. Slashes can be partial according to slashing parameters on each protocol.
BTC staking rewards aren’t enabled yet, stay tuned to learn more.
The average block time is 10 minutes on Bitcoin.
In the context of Proof-of-Stake blockchains, the gross reward rate (GRR) refers to the total or gross amount of rewards earned from staking before deducting any fees or expenses. This is a reward rate that fluctuates with the operations of the protocol and the performance of validators, it is not set by Kiln. The net reward rate (NRR), on the other hand, takes into account the deductions or expenses, providing a measure of the actual rewards received after subtracting fees or costs.
You can learn more about Mezo on their official documentation and on the Mezo website.