Babylon Chain Surpasses $3.7 Billion in Bitcoin Deposits

Babylon Chain, a protocol that enhances the security of Layer 1 Proof-of-Stake chains through integration with the Bitcoin (BTC) network, has now surpassed $3.7 billion in total deposits.

The total, which amounts to more than 37,800 BTC, represents a 4.81% increase in deposits within the past 24 hours and a 58.31% increase over the past week, according to data from Dune. Nearly $350 million was deposited on Dec. 11 alone, following $834 million on Dec. 10, bringing Babylon Chain’s BTC deposits to around $1.2 billion in just two days.

Babylon’s surge in deposits comes after cryptocurrency exchanges Binance and Bitrue rolled out support for yield generation through Babylon Chain on Dec. 9.

These contributions have come from nearly 88,000 unique depositors, a 15% increase from the 76,000 depositors recorded on Dec. 11 and an 83% increase from 48,000 depositors on Dec. 10.

Babylon Chain’s rapid growth highlights the increasing demand for cross-chain security solutions that can help BTC stakers earn multiple forms of yield, experts say.

"The milestone of Babylon surpassing $3.6 billion in Bitcoin deposits represents a seismic shift in Bitcoin's role within DeFi," said Milena Repa, the head of marketing for Tomo Wallet, one of the supported wallets for staking on Babylon Chain.

Repa explained that one of the key drivers behind this surge is the growing demand for BTC to be more than just a store of value or a trading asset. Another major catalyst has been the rise of liquid restaking token (LRT) protocols built on Babylon.

“Lombard’s deposit into Babylon alone accounts for $1.4 billion – that's 40% of total deposits,” Repa said. “When users stake BTC through Lombard, they receive LBTC tokens that can be used across DeFi while still earning staking rewards. This means BTC isn't just sitting idle anymore - it's earning multiple forms of yield while staying liquid.”

This blend of secure infrastructure and innovative financial products is ushering in a new era for Bitcoin—transforming it from merely a store of value into productive capital within the expanding DeFi ecosystem, Repa noted.