The ultimate store of value, but watching it sit idle while DeFi explodes with yields from restaking, RWAs, and liquidity plays. Lorenzo Protocol flips this script with its "shadow allocation" system—smart contracts that quietly route BTC into optimized strategies behind a simple token interface, making even 11% APY feel like playing it safe.
Shadow Allocation ExplainedLorenzo's core magic lies in On-Chain Traded Funds (OTFs) and vaults that abstract complexity. Users deposit BTC or stables, receive tokens like stBTC or enzoBTC, and the protocol handles rebalancing across single-strategy vaults (BTC restaking), multi-blends (staking + RWAs), or advanced structures (volatility harvesting).
This "shadow" layer keeps everything on-chain and auditable, turning passive BTC into a yield machine without users lifting a finger.
Why 11% Is the New ConservativeTraditional BTC yields hover at 3-6% from basic staking, but Lorenzo taps restaking networks, treasury products, and hedged DeFi for risk-adjusted returns often exceeding 11%—all while maintaining Bitcoin's self-custody ethos.
Products like enzoBTC enable structured BTC strategies that behave like institutional funds, blending liquidity provision with low-volatility yields to outperform spot holding.
In a BTCfi boom, this positions Lorenzo as the bridge from HODL to high-yield without selling your stack.Real-World Impact for HoldersFor everyday BTC maxis tired of idle sats, Lorenzo offers plug-and-play productivity: deposit into an OTF, watch allocations diversify automatically, and redeem anytime with full transparency via the Financial Abstraction Layer (FAL).
Institutions get audited, programmable treasuries; traders earn without leverage risks; builders integrate yield-bearing BTC primitives seamlessly.
BANK token holders lock into veBANK for governance boosts and revenue shares, aligning everyone for long-term growth.The Bigger BTCfi ShiftLorenzo isn't chasing hype—it's institutional-grade infrastructure backed by YZi Labs, live on BNB Chain with cross-chain expansion. By tokenizing pro strategies into enzoBTC and USD1+ OTFs, it unlocks BTC's $2T potential as collateral without CeFi pitfalls.
Early adopters are already seeing BTC work harder, proving shadow allocation isn't a gimmick—it's the future of productive Bitcoin.
@Lorenzo Protocol #lorenzoprotocol $BANK
