Ledger Wallet Enables BTC Yield with Lombard, Figment for Bitcoin Holders

Ledger Wallet has introduced a new feature allowing self-custody Bitcoin holders to earn yield through integration with Lombard and Figment, without losing control or altering Bitcoin's base layer.

The feature is available in the Ledger Wallet app via a Figment-powered dApp that links to Lombard's infrastructure.
Targets long-term Bitcoin holders and active traders seeking additional returns while maintaining asset control.
Users deposit Bitcoin which is converted into LBTC, a liquid token for earning staking rewards.
LBTC accrues BTC-denominated rewards by securing "Bitcoin secured networks" via the Babylon Bitcoin Staking Protocol.

The partnership between Ledger, Lombard, and Figment enhances Bitcoin DeFi options, offering yield-bearing BTC products. Despite the potential benefits, investors should consider the limited public disclosure on risks such as APY, fee schedules, and custodial risks.

Lombard's LBTC reports an APY of 0.41%, subject to change with incentives.
Current platforms involved are Babylon Protocol with $5.92 billion TVL and Lombard with $1.04 billion TVL.

This development could increase on-chain activity and strengthen Ledger's position as a DeFi gateway.