🧵 Protocol of the Day: @Lombard_Finance

Lombard transforms Bitcoin from a passive store of value into a yield-generating asset. Stake your $BTC, earn yield through Babylon, and stay liquid with LBTC, a secure and DeFi-ready representation of staked Bitcoin.

✅ Pros:
• Unlock $BTC staking yield while keeping liquidity
• Built on Babylon’s secure staking infrastructure
• Backed by a decentralized Security Consortium

⚠️ Risks:
• Depeg Risk – LBTC may diverge from $BTC during market stress or unstaking delays
• Smart Contract Risk – Despite audits, bugs or exploits in staking or bridging code could result in fund loss
• Oracle Risk – Pricing and validator behavior rely on accurate external data