The world of decentralized finance (DeFi) continues to evolve, and Bitcoin is no longer just a store of value—it's becoming a powerful financial layer. At the forefront of this transformation is Liquidium, a native Bitcoin DeFi platform redefining how users lend and borrow bitcoin without leaving the base layer. By leveraging cutting-edge cryptographic tools and supporting popular Bitcoin-native assets, Liquidium unlocks new possibilities for yield generation and capital efficiency—all while maintaining full security on the Bitcoin blockchain.
What Is Liquidium?
Liquidium is a non-custodial, peer-to-peer Bitcoin lending platform built directly on Bitcoin’s first layer. Unlike many DeFi protocols that rely on bridged assets or smart contract chains, Liquidium operates natively within Bitcoin’s ecosystem. This means no wrapping, no cross-chain bridges, and no third-party custody—just secure, transparent transactions anchored in Bitcoin’s immutable ledger.
Users can borrow bitcoin by pledging Ordinals, Runes, or BRC-20 tokens as collateral. In return, lenders earn competitive yields, with annual percentage yields (APY) reaching up to 350%, depending on market demand and risk profiles. Every loan is secured using Discreet Log Contracts (DLCs)—a privacy-preserving smart contract protocol that enables conditional payments on Bitcoin without requiring complex scripting.
👉 Discover how decentralized lending is reshaping Bitcoin’s financial future.
Key Features That Set Liquidium Apart
1. Native Peer-to-Peer Bitcoin Lending
Liquidium eliminates intermediaries by enabling direct lending between users. Borrowers post collateral, lenders provide liquidity, and smart contracts enforce repayment terms—all without centralized oversight.
2. Support for Bitcoin-Native Assets
One of Liquidium’s most innovative aspects is its support for Ordinals, Runes, and BRC-20 tokens as valid collateral. These digital artifacts have gained massive popularity, but their utility has largely been limited to collectibles. Liquidium changes that by turning them into productive financial assets.
3. High-Yield Opportunities
With APYs climbing as high as 350%, Liquidium offers one of the most attractive yield-generating opportunities in the Bitcoin ecosystem. These rates are driven by strong borrower demand and limited supply of available lending capital.
4. Enhanced Security via DLCs
Each loan is protected through Discreet Log Contracts (DLCs), which allow two parties to enter into an agreement where outcomes are verified against real-world data (like loan repayment status). If a borrower defaults, the collateral is automatically transferred to the lender—without dispute or manual intervention.
5. On-Chain, Non-Custodial Architecture
All transactions occur directly on the Bitcoin blockchain using partially signed Bitcoin transactions (PSBTs). There's no need to deposit funds into a smart contract or trust a third party. Your assets remain under your control at all times.
Market Traction and Growth Potential
Liquidium has already demonstrated strong adoption metrics:
- $129 million in total loans issued
- $11 million in total value locked (TVL)
- Over 31,000 loans processed
- More than $3 million in interest paid to lenders
These figures highlight growing user confidence and increasing demand for decentralized borrowing solutions within the Bitcoin economy. With an initial circulating market cap of just $12.65 million** and a fully diluted valuation (FDV) of **$110 million, Liquidium remains early in its growth cycle.
As more users seek ways to unlock value from their Ordinals and BRC-20 holdings without selling, platforms like Liquidium become essential infrastructure. Its position as a first-layer solution gives it a distinct advantage over off-chain or multi-chain alternatives.
Economic Model: Sustainable Incentives and Fair Distribution
Liquidium’s tokenomics are designed for long-term sustainability and broad community participation. The total supply is capped at 100 million tokens, distributed as follows:
- Core Team: 27% (12-month lockup + 12-month linear release)
- Investors: 22% (same vesting schedule)
- Future Incentives: 20% (rewards for active users and ecosystem growth)
- Treasury: 17% (funding development and operations)
- Airdrop: 10% (community distribution)
- Advisors: 2.5% (locked and released over time)
- Market Making: 1.5% (ensures liquidity)
This structure ensures that major stakeholders are aligned with long-term success. The 37% allocated to Future Incentives and Treasury provides ample resources for ongoing development and user rewards, while strict vesting schedules prevent sudden sell-offs.
👉 Learn how token incentives drive innovation in Bitcoin DeFi.
Team and Funding Backing
Leadership
- Robin Obermaier, Co-Founder & CEO: A seasoned fintech entrepreneur with deep expertise in blockchain infrastructure and community building.
- Peter Giammanco, Co-Founder & CTO: A technical visionary focused on advancing Bitcoin’s programmability through secure, scalable solutions.
Together, they bring a rare combination of strategic vision and engineering excellence to the project.
Funding History
Liquidium has secured backing from top-tier investors in two rounds:
- Pre-Seed Round (Dec 11, 2023): Raised $1.25M from Sora Ventures, Bitcoin Frontier Fund, Side Door Ventures, UTXO Management, Actai Ventures, Spicy Capital, Portal Ventures, and others.
- Seed Round (Jul 18, 2024): Raised $2.75M from Wise3 Ventures, NGC Ventures, CMS Holdings, Newman Capital, Portal Ventures, Asymmetric, Dan Held, dingaling, ThreadGuy, and more.
This robust funding supports continued development, security audits, and ecosystem expansion.
Frequently Asked Questions (FAQ)
Q: Can I use my Ordinals as collateral to borrow BTC?
A: Yes. Liquidium allows users to pledge Ordinals, Runes, or BRC-20 tokens as collateral to take out bitcoin loans—unlocking liquidity without selling your digital assets.
Q: How does Liquidium ensure loan security?
A: Through Discreet Log Contracts (DLCs), which automate collateral settlement if a borrower defaults. No intermediaries are involved—just cryptographic enforcement.
Q: Is my money safe if I lend bitcoin on Liquidium?
A: Yes. The platform is non-custodial and operates entirely on Bitcoin’s blockchain. You retain control of your funds throughout the process.
Q: What happens if the borrower doesn’t repay?
A: The DLC automatically triggers the transfer of collateral to the lender upon default verification—ensuring trustless enforcement.
Q: Are there any geographical restrictions?
A: As a decentralized protocol, Liquidium is accessible globally wherever Bitcoin is supported—though users should always comply with local regulations.
Q: How are interest rates determined?
A: Rates are set by supply and demand dynamics between borrowers and lenders, with potential yields reaching up to 350% APY based on risk and market conditions.
Final Thoughts: A New Era for Bitcoin Finance
Liquidium represents a pivotal step toward realizing Bitcoin’s full potential—not just as digital gold, but as a living financial system. By enabling peer-to-peer lending with native assets, it brings DeFi functionality directly to Bitcoin’s base layer without compromising security or decentralization.
With strong fundamentals, experienced leadership, institutional backing, and a growing user base, Liquidium is well-positioned to become a cornerstone of the emerging Bitcoin economy.
👉 See how you can start earning yield on your bitcoin today.