Unlocking BTC Staking with Babylon Genesis Phase 2: Hex Trust Enables Institutional Access
Apr 9, 2025

Unlocking BTC Staking with Babylon Genesis Phase 2: Hex Trust Enables Institutional Access

The Babylon Genesis1 blockchain—the first Bitcoin Secured Network (BSN)—is preparing for its Phase-2 mainnet launch in April, bringing a new era of utility to the Bitcoin ecosystem. By enabling BTC staking without the use of bridges, wrapped assets, or smart contracts, Babylon Genesis introduces a secure, on-chain method for BTC holders to participate in staking and earn rewards.

As an Institutional Finality Provider and trusted custody provider, Hex Trust is proud to support this milestone and offer institutional clients seamless access to the Babylon staking protocol through Hex Safe, our institutional-grade custody platform.

How Bitcoin Staking Works on the Babylon Bitcoin staking protocol

Babylon Genesis introduces an innovative approach to Bitcoin staking—eliminating the need for bridges, wrapped BTC, or smart contracts. Instead, staking is achieved natively and securely on the Bitcoin network. Here’s how it works:

  • Native BTC Staking: BTC holders stake directly on Bitcoin’s UTXO-based ledger using timelock scripts, ensuring assets never leave your wallet on the Bitcoin network.
  • Delegation to Finality Providers: Clients delegate their BTC to Institutional Finality Providers such as Hex Trust. In return, they earn rewards for supporting the security of the Babylon Genesis Proof-of-Stake (PoS) chain.
  • Bitcoin Time Lock Mechanism: Staked BTC is locked for a duration of the client’s choice , with the option to unlock at anytime—subject to a 7-day unbonding period (~1008 blocks).
  • Security and Slashing: Babylon Genesis introduces slashing using Extractable One-Time Signatures (EOTS), allowing the protocol to slash the stake of delegators if their Finality Provider acts maliciously—ensuring accountability without smart contracts. 

What’s New in Phase-2 - Seamless BTC and BABY Staking via Hex Safe

Beginning with the Babylon Genesis Token Generation Event for the BABY token in April 2025, Phase-2 introduces new functionality that allows Hex Safe users to stake BTC directly from custody—without bridging or moving assets off the Bitcoin network—by delegating to Hex Trust as an Institutional Finality Provider. This marks a significant milestone in unlocking native Bitcoin staking for institutions.

New developments as a result of Phase-2 launch:

  • Stake BTC and earn BABY, Babylon Genesis’ native token — directly from custody.
  • Stake BABY to earn additional rewards within the Babylon ecosystem.
  • Ability to custody, deposit, and withdraw BABY tokens natively within the Hex Safe platform.

These features are now fully accessible through Hex Safe’s institutional-grade interface, delivering seamless, secure access to the Babylon protocol’s staking ecosystem—all within Hex Trust’s regulated infrastructure.

How to Stake Bitcoin on Babylon Genesis via Hex Safe

Follow these simple steps to stake your Bitcoin on Babylon Genesis via Hex Safe.

Why Stake BTC with Hex Trust?

Institutional investors require more than just access—they need security, reliability, and compliance. Here's why Hex Trust's capabilities align well with the Babylon Bitcoin staking protocol:

Institutional-Grade Security

  • BTC remains locked on the Bitcoin network via the Babylon Genesis protocol’s time-lock scripts.
  • Custodied securely with Hex Trust using air-gapped wallets and robust risk management procedures.

Seamless User Experience

  • Direct staking and unstaking through Hex Safe’s platform.
  • Secure, mobile app-enabled approvals for operational convenience.
  • Real-time tracking of rewards and performance.

Reliable Staking Infrastructure

  • Scalable, resilient platform engineered for 24/7 uptime
  • Near-zero disruptions ensure a secure, uninterrupted staking experience

#1 Institutional Finality Provider During Babylon Bitcoin Staking Protocol’s Phase-1, Cap3

  • Hex Trust has already staked over 2,000 BTC during Babylon protocol’s Phase-1.

With the launch of Phase-2, we’re deepening our commitment to unlocking Bitcoin’s utility—and enabling our clients to actively participate in the emerging ecosystem of decentralized security provisioning.

Ready to Stake BTC with Hex Trust?

Whether you’re a fund, treasury, or crypto-native institution, our team can guide you through Babylon Genesis’ staking process—from onboarding to reward optimization.

Contact us at sales@hextrust.com to discuss your BTC staking strategy and gain access to Babylon Phase 2 through Hex Trust.

Disclaimer

This material has been prepared by the Hex Trust group (“we”, “our” or “us”). It is not directed to or construed as solicitation or advertising to any person in any jurisdiction where (by reason of that person's nationality, residence or any other reason) the publication or availability of this material is prohibited or restricted by any law or regulation. This material is not intended for any use that would be contrary to local law or regulation. Products or services mentioned in this material are subject to legal and regulatory requirements in applicable jurisdictions and may not be available in all jurisdictions. Without limiting the generality of the foregoing, we are not licensed with the Hong Kong Securities and Futures Commission to carry on business in any regulated activity under the Securities and Futures Ordinance of Hong Kong.  Accordingly, persons are required to inform themselves of and observe such laws which are in force in their jurisdictions.

Any forecasts, projections and other predictive statements are based on assumptions and expectations in light of currently available information and involve various risks, variables and uncertainties. This material (including any pricing information, all of which is indicative only) is not intended as a recommendation or an offer or solicitation for the purchase of, or to enter into a transaction involving, any digital asset, security or financial instrument or trading strategy, or as a confirmation or valuation of any transaction mentioned in materials created or distributed by us. We make no commitment to transact at any particular price or at all, now, or in the future. These materials are informational only and do not bind us or any other entity or person in any way. No representation or warranty, express or implied, is given by any member of the Hex Trust group as to the accuracy, reliability, or completeness of the information and opinions contained herein. You should not construe the content of any material provided as accounting, financial, legal, tax or other advice, and you should consult your own attorney, financial advisor, tax advisor, accountant or other advisor as to legal, financial, tax, accounting and other matters.

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