FAQ
What is aBTC?
aBTC represents your 1:1 claim on Bitcoin deposited in the platform.
it is universal, cross-chain, and could be staked in various staking plans to earn rewards flexibly. However, simply holding aBTC won’t generate rewards.
What is waBTC?
waBTC represents your staked aBTC in the Babylon staking plan.
This means you’ve locked your aBTC in the plan to earn Babylon Points, which can be exchanged for potential token rewards in the future. Unlike traditional methods that lock your Bitcoin, waBTC unlocks the liquidity of your staked assets, allowing you to participate in other DeFi activities while earning rewards.
Remember, only holding waBTC earns rewards. Make sure to manually stake your aBTC into waBTC to start earning.
Why do I need to connect BTC & ETH wallets?
Acorn acts as a bridge between Bitcoin and the DeFi ecosystem by introducing aBTC and its LSTs (Liquid Staking Tokens) on the Ethereum mainnet.
Your BTC wallet is where you deposit Bitcoin from, while your ETH wallet is where you receive aBTC and waBTC.
Will the waBTC & aBTC conversion ratio change?
Initially, the ratio is 1:1, meaning 1 waBTC represents 1 aBTC. You earn staking rewards through Babylon Points, which can be redeemed for tokens when announced.
In a later stage, after Babylon’s Token Generation Event (TGE), the rewards will be compounded into waBTC, and the ratio between waBTC and aBTC will fluctuate in real time.
How do I earn rewards with aBTC?
There are several ways to earn rewards with aBTC:
Staking rewards: By staking your aBTC in plans like Babylon, you can earn native rewards like Babylon Points, which can be redeemed for tokens in the future.
Market price appreciation: The value of LSTs like waBTC may fluctuate in the market, allowing you to profit from price increases.
Acorn rewards: We plan to introduce Acorn Points, airdrops, and other incentives for early participants in the future.
Is there a minimum amount of aBTC required for staking?
Yes, there is a minimum amount of aBTC required for staking, which is currently set at 0.005 aBTC.
What are the risks associated with staking aBTC?
As with any investment, there are risks associated with staking aBTC. These include, but are not limited to:
Smart contract risk: The smart contracts used by Acorn Network could have vulnerabilities that could be exploited.
Market risk: If you trade on the market, the market value of aBTC and waBTC could fluctuate, which could result in losses.
Liquidity risk: There may be limited liquidity for aBTC and waBTC, which could make it difficult to sell your tokens.
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