Welcome to the sixth post in our BOB ecosystem spotlight series. Today, we’re focusing on SatLayer, a shared security platform that lets Bitcoin holders earn rewards for restaking wrapped BTC or Bitcoin Liquid Staking Tokens (LSTs) to secure decentralized applications. 

SatLayer launched on BOB on 5 June 2025 with a uniBTC restaking vault that offers a 2× Sats² multiplier and 1x Bedrock Diamonds. This means anyone with uniBTC on BOB can restake it through SatLayer, help protect emerging Bitcoin‑Validated Services (BVSs), and earn extra Bitcoin yield.

‍

What is SatLayer?

SatLayer is a shared security platform on Babylon that lets BTC holders restake wrapped BTC or Babylon LSTs, and delegate that collateral to node operators - who in turn validate Bitcoin‑Validated Services (BVSs). A BVS is any dapp or protocol that chooses to borrow Bitcoin’s economic weight.

‍

Meet the team

SatLayer was founded in 2024 by Luke Xie and Feynman to help solve the problem of Bitcoin’s inertia and lack of smart contract composability. Before turning to Bitcoin‑secured infrastructure, Luke previously co‑founded Press Start Capital (early backer of aPriori, Primodium, ZeroDev, Monad), whilst Feynman previously led research at Mirana.

Backed by an $8 million pre‑seed round from Hack VC, Castle Island Ventures, and Franklin Templeton, SatLayer was selected by Babylon as one of its restaking partners, achieving an all‑time‑high TVL of $405 million, and securing partnerships like BOB, Sui, Plume, LayerZero and Hyperlane.

‍

What's interesting

SatLayer converts idle Bitcoin into a modular security primitive. This means any developer can register a Bitcoin‑Validated Service, specify bespoke slashing conditions, and borrow the economic weight of restaked BTC without spinning up a new token or validator set. In doing so, SatLayer is delivering EigenLayer‑style restaking, but with the world’s hardest cryptocurrency as collateral.

This helps solve the “cold‑start” problem for emerging protocols, as collateral and node operators can be available on day one, and the cost to corrupt a service scales with the Bitcoin delegated to it. Enforcement happens in CosmWasm contracts on Babylon, whose finality is itself backed by slashable BTC, so SatLayer adds no trust assumptions beyond Bitcoin.

‍

What this means for BOB’s network and users 

For BOB’s network and users, restaking on SatLayer unlocks the following benefits:

  • Stack multiple yields on a single deposit: Wrapped BTC or LSTs (currently uniBTC) bridged to BOB keep their yield and accrue additional Sats² and partner incentives.‍
  • Deepening on‑chain liquidity: SatLayer already holds $50 million+ on BOB, making it the second largest TVL source on the Hybrid Chain.
  • 9x Spice: Users earn 9x Spice multiplier for depositing uniBTC into SatLayer on BOB.

‍

What’s next

BOB and SatLayer will keep working together, rewarding restakers while seeding the collateral that will soon secure live Bitcoin‑Validated Services. Over the coming months SatLayer will open Phase 2 to external operators and dapps, roll out institutional custody, have the first RWA collateralized on a BVS, and kick off public mainnet incentives.

‍