I first noticed @Lorenzo Protocol , was during a certain late night last year when I was browsing X. At that time, BTC had just broken 100,000 dollars, and the market was as lively as fireworks during the New Year, with everyone talking about RWA and asset tokenization. But I always felt that BTC's potential shouldn't just be labeled as 'digital gold.' It should flow and earn money. Lorenzo Protocol is such a project, positioning itself as the 'Bitcoin liquidity financial layer.' Simply put, it helps BTC holders turn idle money into active assets. The core products are stBTC and enzoBTC. The former is your BTC staking derivative, allowing you to earn staking rewards without selling the principal; the latter is a packaged version of BTC, cross-chain friendly, seamlessly integrating into various DeFi protocols. It relies on the shared security mechanism of Babylon Chain to ensure everything is stable as a rock.

But #Lorenzo is not a team of empty talk concepts. In June 2024, their agreement officially went live on DeFiLlama. This step seems low-key, yet it’s like throwing a stone into a calm lake. DeFiLlama, known as the 'United Nations' of DeFi data, tracks the TVL (Total Value Locked), transaction volume, and protocol performance of hundreds of chains. It doesn’t do advertising or accept sponsorship fees; it survives on community contributions and open-source code. This purity has made it an essential tool for investors and developers. What does the launch of Lorenzo mean? It means that the TVL data of stBTC has been publicly available in real-time since that day. It’s not self-reported by the project but verified hard metrics from third parties. By mid-2025, Lorenzo's TVL had climbed to over $100 million, and the circulation of enzoBTC on Sui and BNB Chain also surged. This data is not for show; it directly impacts users' confidence: seeing steady growth in TVL, would you dare to invest more BTC to give it a try?

Digging deeper, the impact of this collaboration goes far beyond the digital dashboard. DeFiLlama's Bridged TVL dashboard now includes all of Lorenzo's assets. From BTC bridging to multi-chain liquidity. Imagine you are a BTC hoarder, holding a few hard currencies, yet always worried about missing out on DeFi's yield farming. Lorenzo's Financial Abstraction Layer (FAL) is here; it acts like a smart butler, routing your stBTC to the best yield sources: it could be the returns on RWA government bonds, or the alpha from quantitative trading strategies. DeFiLlama monitors in real-time to ensure these yields are not bubbles but sustainable. For example, in August 2025, Lorenzo partnered with OpenEden to integrate USDO (a stablecoin backed by government bonds) into their USD1+ OTF (on-chain trading fund). What was the result? DeFiLlama's data shows that this fund's annualized yield remains stable at 5-7%, far exceeding the dust of traditional stablecoins. Even cooler is that it mixes RWA, DeFi, and traditional strategies, diversifying risks like a seasoned fund manager.

$BANK

First, let’s talk about the pain points of BTCFi. The Bitcoin ecosystem is too closed off; while Ordinals and Runes are lively, the real liquidity still belongs to DeFi. Through the exposure of DeFiLlama, Lorenzo not only attracted retail investors but also caught the eye of institutions. Remember? They are the official asset management partner of World Liberty Financial (WLFI), and USD1+ was specifically designed for this. DeFiLlama's transparent data allows institutions to easily audit: reserve proofs using Chainlink's PoR, and yield distribution is clear at a glance. In the regulatory environment of 2025, this is a lifesaver. In contrast, many other BTC projects are still stuck in the 'proof of concept' stage, with TVL data either vague or simply not disclosed. Lorenzo's path is more pragmatic. Let the data speak and build a foundation through collaboration.

Of course, this collaboration has also exposed some minor challenges. For instance, the efficiency issue of cross-chain bridges: enzoBTC occasionally experiences delays when bridging from Bitcoin to Sui, and although DeFiLlama's real-time tracking is good, the calculation of bridged TVL sometimes lags half a beat. The team is already optimizing; their recent integration with Hemi Network targets this pain point, promising lower gas fees and faster settlements. But that said, these small bumps instead prove Lorenzo's ambition: not satisfied with small-scale operations on a single chain, but aiming to weave a large net of BTC liquidity.