Bitcoin DeFi Protocol Liquidium Launches Revenue-Linked Staking

Liquidium Rebrands and Launches Staking Model, Sending LIQ Token Soaring

Bitcoin-native DeFi protocol Liquidium has passed a major governance proposal and adopted a new brand identity, fueling a 73% surge in its native token LIQ.

On May 13, the Liquidium Foundation confirmed that governance proposal LIP-12 passed with unanimous community support. The proposal introduces a staking mechanism that allows LIQ holders to earn rewards directly tied to protocol revenue.

Under the new model, users can stake their LIQ tokens to receive sLIQ, a liquid staking derivative that represents their share of the staking pool. As part of the incentive system, 30% of Liquidium’s daily revenue will be allocated to market buybacks of LIQ tokens on centralized exchanges. These repurchased tokens will then be distributed to sLIQ holders. The remaining 70% will go toward operational costs.

This revenue-sharing mechanism is designed to promote long-term holding and create consistent market demand for LIQ. According to the foundation, development of the staking infrastructure is already underway, with a launch date to be announced soon.

A New Identity: LiquidiumWTF

Alongside the staking rollout, the protocol has rebranded from LiquidiumFi to LiquidiumWTF. According to the team, the updated name reflects the project’s experimental ethos and its embrace of Bitcoin-native innovations such as Ordinals and memecoins.

CTO Peter Giammanco emphasized that the rebrand reflects the platform’s goal to simplify complex DeFi tooling on Bitcoin while remaining true to the network’s core principles:

“The goal has always been to turn complexity into clarity, to take what feels impossible on Bitcoin and make it feel intuitive. That ethos is baked into everything we do.”

Despite the rebrand, Liquidium will continue to support its peer-to-peer lending marketplace for Bitcoin. The platform has also introduced a new referral rewards feature: users can now earn 30% of the points generated by a referred user’s first five loans.

Looking ahead, Liquidium is preparing to unveil a new product, Liquidium.fi, at the Bitcoin 2025 conference. This new platform will carry the message “Borrow Beyond Borders,” signaling an intent to expand Liquidium’s reach and functionality beyond its current audience.

Market Reaction

Following the approval of LIP-12, the LIQ token has surged more than 73%, trading around 0.25 at press time, according to CoinGecko. The strong market reaction underscores growing confidence in Liquidium’s evolving vision and revenue-sharing token model.

As Bitcoin DeFi continues to evolve, Liquidium’s approach to staking and branding offers a glimpse into how innovation and community governance can drive real adoption and value creation on Bitcoin.