Liquidium’s Rebranding and Staking Model Boost LIQ Token to New Levels in the Bitcoin DeFi Space
The DeFi protocol built on Bitcoin known as Liquidium has successfully passed a significant governance proposal, launching a new staking model linked to its revenue.
Introduction of Staking
On May 13, the Liquidium Foundation announced that LIP-12 had been approved with unanimous support from the community, signaling a critical advancement for the protocol.
LIP-12 presents a staking system that allows LIQ holders to receive rewards that are directly associated with the protocol’s earnings.
In this updated model, users can stake their LIQ tokens to obtain sLIQ, a liquid staking derivative that represents their portion of the staking pool.
Under this reward framework, 30% of the protocol’s daily revenue will be used for purchasing LIQ through centralized exchanges. These acquired tokens will subsequently be distributed among stakers, while the remaining 70% will be utilized for covering operational expenses.
This initiative aims to enhance long-term token holding and create sustainable demand via automated buybacks. The foundation confirmed that development is already in progress, with a launch date set to be shared soon.
Rebranding Initiative
In conjunction with the staking launch, Liquidium has undergone a rebranding, changing its name from LiquidiumFi to LiquidiumWTF.
The protocol stated that the new name represents its commitment to exploring Bitcoin’s experimental aspects, including Ordinals and memecoin culture.
According to Liquidium’s CTO, Peter Giammanco, the rebranding reflects the platform’s evolution in developing DeFi tools on the Bitcoin network. He stressed the team’s focus on simplifying intricate technologies while preserving the fundamental principles of Bitcoin.
He also stated:
“Our aim has consistently been to transform complexity into simplicity, to make what appears unfeasible on Bitcoin feel intuitive. That principle is embedded in all our efforts.”
Even with the rebranding, Liquidium will continue to offer its existing peer-to-peer Bitcoin lending application. This update also rolls out a rewards feature allowing users to earn 30% of the points accrued by referred users from their initial five loans.
Additionally, the team is preparing to launch a new product labeled Liquidium.fi at the forthcoming Bitcoin 2025 conference. This new initiative will carry the message “Borrow Beyond Borders,” indicating an ambition to broaden its user base.
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