I was running through @BabylonLabs_io 's TBV testnet and hit this state: Verified.

My first instinct was, BTC is locked, time to borrow.

Not quite the same step.

Your BTC is locked first, but the vault isn't usable as collateral yet. The protocol completes its required processing and the vault eventually reaches Active. Only then can it be used in the Aave integration. During that period, your BTC remains locked while the protocol completes the required verification and activation flow.

Locked and borrowable read the same in marketing. Not the same category.

So the flow is Bitcoin locking underneath, followed by a separate verification and activation process, and 'BTC-backed borrowing' quietly blurs those into one action when they're really two.

Does an activation gap matter once users expect instant DeFi, or does it just expose how much trust instant products actually require?

#baby $BABY