Everyone uses LBTC.
But few understand how it actually grows your Bitcoin.

Let’s break down the engine behind LBTC yield:

1. BTC → LBTC
You stake BTC → mint LBTC.
Behind the scenes, that BTC is delegated to Babylon for native yield.
That’s your base APY.

2. LBTC → Vaults
When you deposit LBTC into a vault like Lombard DeFi Vault, it auto-compounds rewards and distributes points:
> LBTCv = vault token
> Vault yield = underlying + protocol rewards

3. LBTCv Value Accrual
LBTCv = Vault TVL ÷ Supply
As vault earns yield → TVL grows → LBTCv value increases.
That’s how you earn more BTC without wrapping or bridging.

4. Composability Bonus
Vaults are DeFi-native.
Use LBTCv as collateral, LP, or in yield strategies.
That means stacked yield, all BTC-denominated.

5. The Real Alpha
Most stETH users don’t understand how rebase works.
Most BTCFi users will miss how LBTCv accrues value.
You won’t.

LBTC isn’t just a token.
It’s a pipeline from native BTC to automated, compounded DeFi yield.