Solv Protocol Introduced SolvBTC.AVAX
Solv Protocol introduced SolvBTC.AVAX, a token on the Avalanche blockchain that offers Bitcoin-denominated yield tied to real-world assets (RWAs). The launch took place on May 16, 2025, through a seven-party collaboration involving Solv, Avalanche, Balancer, Elixir, Euler, Re7 Labs, and LFJ.
The token connects Bitcoin (BTC) to yield-generating products such as U.S. Treasurys and private credit offered by BlackRock and Hamilton Lane. A Solv Protocol spokesperson confirmed the yield is distributed in BTC, allowing users to earn returns without converting to other assets.
Multi-Protocol System Backs Yield Structure
The token uses Elixir’s deUSD, a synthetic dollar backed by RWAs, as its core stable asset. As of May, deUSD’s market capitalization stands at $220 million, according to RWA.xyz. These assets include U.S. government debt and private credit.
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To boost exposure, the protocol integrates with Euler, a decentralized lending platform. This route automates capital flow into RWA-backed strategies without manual input from users. Meanwhile, Balancer manages token routing and liquidity operations. LFJ supports institutional access to traditional financial channels.
Solv Protocol founder Ryan Chow said the goal is to tie Bitcoin to broader economic cycles, breaking away from its usual four-year market behavior.
Bitcoin Yield Products Expand Across Crypto
The demand for Bitcoin yield products has grown alongside institutional adoption. On May 3, Coinbase launched the Bitcoin Yield Fund, targeting 4% to 8% annual returns. It relies on a cash-and-carry strategy, combining spot purchases with futures contracts.
In December 2024, CoinShares analyst Satish Patel noted increased interest in BTC as a yield tool rather than just a value store. This shift has led to the development of yield-bearing BTC products across major platforms.
One example is Strategy, led by Michael Saylor, which tracks its performance through BTC Yield—a metric measuring additional Bitcoin gained relative to its shares. As of May, this figure stands at 15.5% year-to-date.
Solv Protocol Reaches $2.3 Billion in TVL
According to DefiLlama, Solv Protocol holds over $2.3 billion in total value locked (TVL). The platform offers BTC-focused yield services across several blockchains.
SolvBTC.AVAX adds to Solv’s RWA strategies by giving users exposure to traditional instruments through the Avalanche network. The token remains BTC-centric, with yield payouts made entirely in Bitcoin.
Although the protocol hasn’t provided an exact yield percentage for SolvBTC.AVAX, the structure reflects broader trends in RWA-token integration and automated yield delivery.