LIP-12 introduces a staking mechanism that enables LIQ holders to earn rewards tied directly to the platform’s revenue.
Under the new model, users can stake LIQ tokens to receive sLIQ, a liquid staking derivative representing their share of the staking pool.
As part of the reward mechanism, 30% of the protocol’s daily revenue will be allocated for market buybacks of LIQ from centralized exchanges. The purchased tokens will then be distributed to stakers. The remaining 70% of revenue will cover operational costs.
The initiative is designed to strengthen long-term token holding and generate consistent demand through automated buybacks. The foundation noted that development is already underway, and a launch date will be announced soon.
Liquidium CTO Peter Giammanco said the rebrand reflects the platform’s journey in building DeFi tools on Bitcoin. He emphasized the team’s effort to simplify complex technologies while maintaining the core ethos of the Bitcoin network.
“The goal has always been to turn complexity into clarity, to take what feels impossible on Bitcoin and make it feel intuitive. That ethos is baked into everything we do.”
Despite the new branding, Liquidium will continue to support its existing peer-to-peer Bitcoin lending app. The update also introduces a reward feature that allows users to earn 30% of a referred user’s points from their first five loans.
Meanwhile, the team is set to debut a new product called Liquidium.fi at the upcoming Bitcoin 2025 conference. This latest offering will promote the message “Borrow Beyond Borders,” signaling a broader vision of expanding its reach beyond its current user base.
