Kraken has launched native Bitcoin staking through Babylon, allowing users to earn passive yield directly on-chain without wrapping or bridging assets. Users can stake BTC via Kraken and receive up to 1% APR paid weekly in Babylon’s native BABY token. The staking includes a 7-day unbonding period and custodial security. This move reflects growing interest in Bitcoin-powered DeFi, which currently involves less than 1% of BTC supply. Kraken aims to simplify access to decentralized finance for Bitcoin holders, expanding its staking offerings. The integration signals a significant step in unlocking Bitcoin’s utility within the broader DeFi ecosystem while ensuring user-friendly participation.