Avalon Labs Partners with Bybit Earn to Launch Innovative Bitcoin Yield Product

Avalon Labs has announced a strategic collaboration with Bybit Earn to introduce a novel Bitcoin yield generation solution. This partnership aims to provide cryptocurrency investors with secure and competitive returns on their Bitcoin holdings through Bybit’s established Earn platform. The product launch comes as institutional and retail demand for Bitcoin-based yield products continues to grow in the current market environment. Avalon Labs brings its expertise in blockchain financial solutions to complement Bybit’s robust trading and investment infrastructure, offering users an integrated approach to Bitcoin yield generation. Market analysts suggest this could set a new standard for crypto yield products in terms of both security and returns.

• Avalon Labs partners with Bybit Earn to offer a stable Bitcoin yield through $FBTC.
• $FBTC enables Bitcoin lending on Avalon Labs with predictable returns for users.
• Avalon raises $2B in credit, fueling innovation in Bitcoin-backed lending solutions.

Avalon Labs has partnered with Bybit to include its lending protocol in the exchange’s Bybit Earn platform. Through this collaboration, Bybit users can earn yield from Bitcoin (BTC) while arbitraging Avalon’s fixed-rate institutional borrowing layer.

The integration aims to reshape how Bitcoin holders earn yield within centralized finance (CeFi). This collaboration bridges the gap between centralized and decentralized finance while allowing Bitcoin holders to yield higher investment returns.

Avalon Labs’ institutional layer is now live on @Bybit_Official Earn, redefining how Bitcoin lending and yield work within the centralized exchange ecosystem.

By integrating with Bybit Earn, Avalon unlocks new yield opportunities for Bitcoin holders by arbitraging our fixed-rate… pic.twitter.com/bX4DWZVyA5

How Avalon Labs’ Yield Engine Works

Avalon Labs employs a unique mechanism to enhance Bitcoin yield generation. Through its partnership with Bybit Earn, it aims to provide Bitcoin holders with a fixed-rate borrowing system that generates stable yields from its yield engine. The CORE component of this system works through $FBTC, which functions as a 1:1 Bitcoin-pegged token equivalent to Bitcoin.

With over $1.25 billion in Total Value Locked (TVL), $FBTC allows Bitcoin to be used as collateral within the Avalon Labs platform. After Bitcoin converts into $FBTC, users can be lent fixed-rate loans with returns for lenders and borrowers. The platform deploys borrowed USDT (Tether) through Ethena Labs’ synthetic dollar protocol to generate high yields.

The partnership with Ethena Labs enables a stable yield generation process and advanced strategic operations that deliver financial liquidity. The high yield operations funding Bybit Earn functions generate returns that users can receive safely as Bitcoin becomes a productive asset.

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Avalon’s Role in CeDeFi and the Future of Bitcoin Yield

The partnership between Avalon Labs and Bybit Earn presents a rising approach to CeDeFi by merging decentralized financial and centralized finance advantages. Through its hybrid framework, Avalon creates a Flow of capital that maintains regulatory requirements.

This provides both institutional and individual investors access to Bitcoin yield opportunities without the need for direct exposure to complex DeFi protocols. Through this integration, Avalon Labs demonstrates its dedication to developing new opportunities within the crypto finance industry. Avalon Labs secured at least $2 billion in credit funding to manage protocol operations in March.

Through its substantial investor support, Avalon maintains its ability to develop new solutions and deliver top-quality liquidity services to institutional debtors. The fixed rate of 8% for USDt borrowing against Bitcoin deposit positions Avalon as a top choice in the cryptocurrency lending market.