Lombard Staked Bitcoin
LBTCLombard Staked Bitcoin (LBTC) is a liquid staking token for Bitcoin, backed one-to-one by BTC staked through the Babylon protocol to secure proof-of-stake networks. It lets holders earn a native Bitcoin yield while keeping a transferable, DeFi-compatible token. LBTC scores 59/100 (Tier 3) on the RWTS Trust Score: the BTC backing is sound, but it inherits smart-contract and slashing risk from Babylon plus bridge and custody dependencies, and native redemption runs through a seven-day unbonding queue. The headline yield is small, reflecting Bitcoin staking's early economics.
- Issuer / protocol
- Lombard Finance
- Backing
- 1:1 BTC (staked via Babylon)
- Redemption / lock-up
- 7-day unbonding for native redemption
- Audit & proof of reserves
- Independently audited
- Availability
- Global
- Chain
- Multi-chain
- Tier
- Tier 3 — Secured DeFi
- Contract
- 0x8236…d4c2
Scored on the published RWTS methodology (v1.1), reviewed quarterly and on material events. Ratings are independent and never pay-influenced.
Addresses verified against each chain's explorer. Native = canonical or natively issued; bridged = wrapped or messaged across.
Calculations are indicative. Actual yields may vary.
Price data from CoinGecko. Not financial advice.
| Pool | DEX | Liquidity | 24h Vol |
|---|---|---|---|
| LBTC / cbBTC | uniswap | $11.2M | $2.4M |
| LBTC / cbBTC | uniswap | $2.4M | $432K |
| LBTC / WBTC | uniswap | $822K | $121K |
| LBTC / WBTC | uniswap | $60K | $388 |
| LBTC / WBTC | curve | $48K | $31K |
Aggregated across public DEX pools holding more than $10K in liquidity. Daily snapshot, not a live feed. Source: DexScreener. Deep, distributed liquidity makes a token easier to enter and exit without slippage.
Current yield of 0.27% sits at 0% of the observed range. There may be room for rates to improve.
Projections assume constant APY of 0.27%. Actual returns may vary. Not financial advice.
Babylon restake exposure; multi-protocol dependency.
Methodology v1.0 · independent rating · published rubric · no issuer payments
Backed 1:1 by BTC staked via Babylon Bitcoin Staking Protocol; yield from securing other PoS networks via Babylon's consensus rewards distribution. Structurally equivalent to validator staking; collateral verifiable on Bitcoin chain.
Lombard publishes proof of reserves; staked BTC verifiable on Bitcoin chain; cross-chain wrapper (Ethereum, Solana, others) state visible on-chain; on-chain transparency framework.
7-day unbonding period for native BTC redemption via Babylon protocol; deep secondary market liquidity with 70+ DeFi protocol integrations including Aave and Morpho for instant exit at near-par. Right 4/8, route 7/7: three or more routes the issuer cannot close.
Multiple smart contract audits across Lombard contracts and Babylon integration; active bug bounty program; institutional security operations.
Lombard Finance registered entity with published terms; partially regulated framework; clear legal structure.
Live since late 2024 (~18 months as of May 2026). 60% market share of Bitcoin liquid staking by TVL. No material incidents. Babylon protocol itself is newer (mainnet 2024); slashing economics not yet stress-tested at scale.
TIER_RECLASSIFIED_T4_TO_T3Reclassified from T4 to T3 (2026-05-03) on methodology-aligned structural review: 1:1 BTC backing + validator staking via Babylon + verifiable on-chain + multiple audits + proven track record meets all five T3 conditions. Original T4 placement reflected Babylon novelty; that risk is now captured in trackRecord scoring rather than tier classification.
BABYLON_PROTOCOL_NOVELTYBabylon Bitcoin Staking Protocol mainnet launched 2024; slashing mechanics and consensus security model not yet stress-tested at sustained scale or during adversarial events.
WITHDRAWAL_QUEUE_7DAYSNative BTC redemption uses 7-day unbonding period; secondary market exit available immediately via DeFi protocol integrations.
Caveats document operational realities that don't change the dimensional score but shape practical use.
Beyond LBTC's own score, two structural questions matter: what is it built on, and what has broken before in this part of the market. A high score in isolation can still carry hidden, shared exposure.
The entire BTC-yield lane leans on one protocol. A Babylon-level issue is a single point of failure across LBTC, SolvBTC, and the newer Babylon LSTs simultaneously, even though each token looks independent on its own page.
See the full chain →What this and similar assets are built on, and where contagion could spread.
The depegs, defaults, and exploits that inform the Track Record dimension.
Liquidity read: TVL of $635.97M indicates healthy on-chain liquidity. Lock-up: 7-day unbonding for native redemption.
Is LBTC safe?
LBTC (Lombard Staked Bitcoin) scores 59/100 on the independent RWTS Trust Score, which places it in Secured DeFi (Tier 3). Tier 3 carries real DeFi exposure: the backing is sound but smart-contract and collateral risk are live, so size positions accordingly. Backing: 1:1 BTC (staked via Babylon). It is independently audited. The score reflects backing, verification, redeemability, audit, regulatory standing, and track record, not headline yield. We rate. You decide.
Exit routes
11/15 · right 4/8 · routes 7/7If the issuer stopped cooperating tomorrow, could you get out?
Yes, by more than one independent route
- independent
Fluid
44.9% of volume; $11.5m of standing liquidity across three pools and two DEXs.
- independent
Uniswap V3
20.1% of volume.
- independent
Turbos Finance and 13 further venues
16 venues carry volume, largest 44.9%, no collapse.
Route 7 on markets. Right 4: unstaking LBTC for BTC runs through the Lombard consortium and is not a claim any holder can exercise on demand.
This is the redeemability component of the Trust Score above, which stands at 59/100 (C). Until 1 September 2026 redeemability was a single figure measuring the right to redeem while ignoring how many routes existed to exercise it. Splitting it moved this asset’s score. How the score works
Assessed 2026-09-01. Route independence asks how many ways out the issuer cannot close, not how much the asset trades.