One of the ways for SVCS to generate a passive income stream for users is the method of staking. SVCS has created a platform which enables users to take their SVCS tokens, stake them into a specific investment basket and earn rewards (interest) from the network. The platform has done extensive research and aims to simplify the complex process of staking by offering three different staking investment baskets. The first investment basket is wrapped Bitcoin.
As Bitcoin is a coin on a proof of work network, where you need computing power to confirm transactions on the network instead of Proof Of Stake, normally you won’t see Bitcoin in a staking protocol. However, there are already projects out there who managed to create a so called “wrapped Bitcoin”, where you have Bitcoin “wrapped” within a layer on the Ethereum Standard – ERC20. This version of Bitcoin is called wBTC and is a 1:1 representation of Bitcoin as we know it and directly connected. As decentralised finance itself is still very much looking towards Bitcoin, the wBTC token is utilised in many protocols.
The SVCS platform enables its users to take their SVCS tokens and stake them into wBTC. The platform takes the representation of SVCS and it automatically triggers an underlying staking into wBTC. The reward is paid out in wBTC but can be exchanged on the SVCS platform into SVCS anytime.