Solv Protocol has teamed up with decentralized oracle network Chainlink to launch the SolvBTC-BTC Secure Exchange Rate feed, a pricing mechanism that combines market data with real-time proof of reserves. The integration aims to enhance transparency and provide a reliable on-chain redemption rate for SolvBTC, Solv’s bitcoin-backed liquid staking token.
Unlike traditional feeds that only track exchange prices, the new system anchors SolvBTC’s value to verifiable BTC reserves. It also incorporates reserve-based guardrails, adding protection against manipulation and boosting safety for use in lending protocols such as Aave.
“The launch of a Secure Exchange Rate feed represents a step forward for DeFi security, enabling protocols to price wrapped assets with redemption rates rooted in verifiable collateral,” said Ryan Chow, Co-Founder and CEO of Solv.
The feature is now live on Ethereum, with expansion to other networks including BOB planned.
SolvBTC, introduced in April 2024, allows BTC holders to stake bitcoin while retaining liquidity across DeFi platforms such as vaults, decentralized exchanges, and lending markets. Chainlink’s Proof of Reserve ensures that tokenized assets like SolvBTC remain fully backed, while its cross-chain interoperability (CCIP) further strengthens collateral security.
“By combining collateral verification with exchange rate logic, this system establishes a redemption rate grounded in cryptographic truth, setting a higher bar for wrapped assets across DeFi,” added Johann Eid, Chief Business Officer at Chainlink Labs.
