Solv Protocol recently launched a yield-bearing Bitcoin token on the Avalanche blockchain, providing institutional investors with more exposure to yield opportunities supported by real-world assets (RWAs). The new token, SolvBTC.AVAX, connects Bitcoin (BTC) to assets like US Treasurys and private credit from BlackRock and Hamilton Lane. Developed through a seven-way partnership involving Solv, Avalanche, Balancer, Elixir, Euler, Re7 Labs, and LFJ, the token aims to link Bitcoin to real-world economic cycles in uncorrelated assets. The token generates yield using a multi-protocol strategy involving Elixir’s deUSD stablecoin, Treasurys from BlackRock and Hamilton Lane, and the lending platform Euler to increase RWA exposure. Solv is a Bitcoin-centric staking platform with over $2.3 billion in total value locked across various blockchains and decentralized finance applications. The demand for Bitcoin yield solutions has increased with the rise of institutional adoption of digital assets. Earlier this month, Coinbase introduced the Bitcoin Yield Fund, offering annual returns of 4% to 8% on BTC holdings through a cash-and-carry strategy. The growing interest in Bitcoin yield has been noted by analysts, with more investors viewing BTC as a means to generate yields. Various methods exist to generate Bitcoin yield, including derivatives, yield farming, and investment strategies like Michael Saylor’s Strategy, which has a current BTC Yield of 15.5% year-to-date. The race to provide Bitcoin yield intensifies as institutional interest in digital assets continues to grow.