TL;DR
- Lombard aims to bring Bitcoin capital markets fully onchain through a three-phase roadmap focused on transforming BTC.
- In less than three months, their LBTC token surpassed $1 billion in TVL and attracted $2 billion in new liquidity, boosting BTC integration on platforms like Aave, Morpho, and Pendle.
- The company has already deployed an SDK that enables BTC deposits and yield integration.
Lombard Finance announced a plan to move the entire Bitcoin capital markets infrastructure to the onchain environment.
Their proposal includes tools designed to activate dormant BTC liquidity, ease its integration across different blockchains, and support the development of financial products compatible with DeFi, CeFi, and traditional applications. The goal is to turn Bitcoin into a usable and productive asset, overcoming its current operational isolation.
Three Phases to Transform Bitcoin
The roadmap unfolds in three phases. The first involved launching LBTC, a liquid Bitcoin version with built-in yield. This token reached over $1 billion in locked value within three months and brought more than $2 billion in new liquidity to twelve blockchains. It also encouraged platforms like Aave, Pendle, and Morpho to incorporate BTC into their strategies for the first time. Lombard established a security consortium made up of fourteen industry institutions to ensure decentralized custody.
Currently, the company is advancing through the second phase, focused on building middleware infrastructure. They are creating a wrapped BTC that is interoperable, fee-free, and backed 1:1 by Bitcoin. They also released an SDK that allows wallets, exchanges, and protocols to integrate BTC deposits and yield generation. Additionally, they offer a yield marketplace with tokenized products, arbitrage strategies, options, and solutions for corporate treasuries.
Lombard to Launch a Yield-Bearing Version of LBTC on July 22
The final phase will build a fully onchain Bitcoin economy by removing the barriers that currently limit developers from building on the network. To achieve this, Lombard is preparing open standards, plug-and-play components for custody and liquidity, and trustless bridges to other ecosystems. The objective is to enable any developer to create BTC applications without relying on centralized infrastructure.
Lombard emphasizes it is not creating an isolated ecosystem but integrating with existing platforms through concrete solutions that address real needs. Their strategy prioritizes immediate utility and gradual adoption. They have already secured integration of their staking toolkit with Binance and Bybit and plan to launch a yield-bearing LBTC version on July 22.
