Babylon Bitcoin Staking by Babylon Labs: status and timeline

Milestones

No announced next step

Series A funding: $18M from Polychain and Hack VCDec 2023Complete.
Protocol testnet launchApr 2024Complete.
Series B funding: $70M from ParadigmMay 2024Complete.
Babylon Genesis mainnet launchApr 2025Complete.
57,000+ BTC staked ($4B+ TVL)Q2 2026Complete.
a16z Crypto purchases $15M BABY tokensJan 2026Complete.

Most important updates

Current obstacles

Bitcoin finality is probabilisticBitcoin uses proof-of-work, which is probabilistically final, not instantly final like proof-of-stake. Slashing can be delayed by minutes.
Wallet and custody complexitySelf-custody is secure but requires users to manage threshold signatures and vaults, barriers to mainstream adoption.

Physics limits

Bitcoin block timeBitcoin blocks arrive roughly every 10 minutes. Transaction finality is measured in hours, not seconds, limiting fast state updates.
Threshold cryptography overheadSelf-custodial security requires multi-signature or threshold schemes, which are more complex and costly than centralized key management.

How it works

3 parts

Self-custodial vaults

Bitcoin stays on Bitcoin

Users create threshold cryptographic vaults that lock Bitcoin on the Bitcoin blockchain. Only the user holds the keys; Babylon has no custody.

Proof-of-stake security

Stake to secure other chains

Staked Bitcoin backs PoS networks like Cosmos chains and EigenDA. Slashing enforced via Bitcoin signatures, not smart contracts.

Yield earning

Rewards from multiple sources

Stakers earn yield from the networks they secure, plus rewards from Babylon Genesis if running a validator.

Spec sheet

Spec	Babylon Bitcoin Staking
Native Bitcoin staked	57,000+ BTC^R (reported)
Total value locked	$4–5 billion^R (reported)
Supported networks	Multiple proof-of-stake blockchains^R (reported)

^R reported by the company

Update log

2 updates

Thu 10 Apr 2025

Major: Babylon Genesis mainnet launches with 57,000+ BTC stakedPressOther

May 2024

Major: Babylon raises $70 million Series B led by Paradigm to scale Bitcoin stakingPressFunding

About Babylon Labs

The team behind Babylon Bitcoin Staking

Babylon Labs

Bitcoin staking, Bitcoin security

Babylon Labs builds infrastructure for native Bitcoin staking and credit markets. Its Bitcoin staking protocol lets native Bitcoin holders stake directly from self-custodial wallets to secure proof-of-stake blockchains and earn yield without wrapping or intermediaries.

Over 57,000 BTC worth ~$4-5 billion is now staked through Babylon, securing proof-of-stake networks without leaving Bitcoin.
In January 2026, a16z Crypto purchased $15M BABY tokens to support Babylon Trustless Vaults development.
Native Bitcoin-backed borrowing is integrated with Aave v4, allowing Bitcoin to serve as collateral for decentralized finance.

babylonlabs.io (opens babylonlabs.io)Company profile →

Founded: 20224 yrs
Headquarters: United States
Status: Private
Valuation: private
Raised: $111M4 rounds
Last round: Token purchase · $15MJan 2026
Works in: CryptoData & restaking
Coverage: 2 programs · 4 updateslatest 7 Jan 2026checked 11 Oct
Lead investors: a16z CryptoParadigmPolychain CapitalHack VC
Partners: Aave (opens aave.com)Bitgo (opens bitgo.com)
People: David Tse (opens en.wikipedia.org)Co-founderFisher YuCo-founder

Spec

Babylon Bitcoin Staking

Native Bitcoin staked

57,000+ BTC^R (reported)

Total value locked

$4–5 billion^R (reported)

Supported networks

Multiple proof-of-stake blockchains^R (reported)