Bitcoin DeFi has been filling in its gaps throughout 2025, and Lorenzo Protocol has stayed focused on one of the harder problems: how to make BTC productive without forcing it into risky or illiquid setups.
Backed by YZi Labs, Lorenzo has leaned heavily into infrastructure rather than incentives. Its integration with Babylon remains the core of the system, giving BTC holders a way to earn yield while keeping liquidity intact.
As of late December 2025, $BANK has been ranging between $0.037 and $0.046. Daily volume sits around $5–8 million, with trading spread across Binance, HTX, and Bitget.Price has been volatile, but that’s been true across BTCFi assets this quarter.
Babylon staking is still the anchor
Most of Lorenzo’s activity still flows through Babylon.
Recent numbers put total BTC staked into Babylon at 2,127.83 BTC, with 1,528.85 BTC actively delegated through setups like the ChainUp partnership. For users, the flow is straightforward: deposit BTC into Lorenzo’s Babylon Yield Vault, receive stBTC, and keep that position usable across DeFi.
That matters. stBTC continues to accrue Babylon rewards and points, while remaining liquid. There’s no hard lockup, and no need to unwind positions to move capital elsewhere.
For users who want something more flexible, enzoBTC fills the gap. It’s a 1:1 wrapped BTC format designed specifically for cross-chain use and more complex strategies.
Cross-chain usage is no longer theoretical
One of the more practical updates this quarter has been Lorenzo’s integration with Wormhole.
stBTC and enzoBTC now account for roughly 50% of BTC liquidity moving through Wormhole, which is a meaningful share. Adoption has been strongest on chains like Sui and BNB Chain, where stBTC liquidity on Sui alone has crossed the $1 million mark.
The takeaway isn’t the number itself. It’s that BTC-derived assets are actually moving and getting reused across ecosystems, instead of sitting idle on a single chain.
Asset management beyond staking
Lorenzo hasn’t limited itself to BTC staking.
As the official asset management partner for World Liberty Financial, Lorenzo powers structured products like sUSD1+, an On-Chain Traded Fund that blends yields from RWAs, quantitative strategies, and DeFi protocols. This sits on top of Lorenzo’s broader Financial Abstraction Layer, which is meant to tokenize professional-grade strategies without relying on short-term yield farming.
It’s a slower approach, but one that’s aligned with the kind of capital BTC holders tend to prefer.
Where $BANK fits
$BANK has a 2.1 billion max supply, with around 527 million circulating.The token actually gets used governance, staking, revenue participation. Locking into veBANK boosts both yield and voting power. Most discussion lately hasn’t been about flipping BANK, but about Lorenzo’s longer-term role in BTCFi. Price action comes and goes, but usage has stayed relatively consistent.
Community activity and what comes next
December hasn’t been quiet. Lorenzo has stayed active with smaller community campaigns giveaways like Purr-Fect Agents whitelist spots with Pieverse, and participation in yield events such as Corn’s Baby Corn for stBTC holders.
Earlier in 2025, TVL crossed the $1 billion mark, and while that number fluctuates, the broader trend has been steady expansion rather than spikes.
As BTCFi matures, Lorenzo’s role looks increasingly infrastructural. Secure staking through Babylon, real cross-chain movement, and structured yield products built for BTC-native capital.
It’s not flashy. But for Bitcoin holders looking to put BTC to work without losing control of it, that’s exactly the point.
