New Bitcoin Staking Oracles Launched for DeFi Integration

RedStone Oracles, a key provider of blockchain data services, has introduced staking oracles specifically for BTC, allowing users to stake Bitcoin in exchange for liquid-staking tokens (LSTs).

This is the first instance of Bitcoin LSTs being available for decentralized finance (DeFi) activities such as lending, according to RedStone’s COO Marcin Kaźmierczak.

Oracles serve as bridges that bring off-chain data to blockchains, and are crucial in DeFi for lending and staking, where users lock assets in smart contracts to earn rewards.

RedStone’s new Bitcoin staking oracles verify essential data like rewards and penalties, enabling Bitcoin LSTs to be used in DeFi protocols like Morpho and Compound for lending or on Gearbox Protocol for leverage strategies.

Previously, without oracles, Bitcoin LSTs were limited to providing liquidity on decentralized exchanges. This move is expected to increase the use of Bitcoin in DeFi, much like the ecosystem around Ethereum’s LSTs.

RedStone’s innovation comes after raising $15 million in a funding round led by Arrington Capital earlier this year.

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Alexander Stefanov

Reporter at CoinsPress

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