Vesu Launches STRK Reward Program for BTC-Backed Borrowers

Vesu, a protocol on the Starknet network, has launched a rewards program for users borrowing stablecoins against tokenized Bitcoin collateral.

Accepted collateral includes WBTC, LBTC, SolvBTC, tBTC, and strkBTC. STRK token rewards are distributed weekly to help offset loan interest costs.

Effective rates, after accounting for rewards, can approach zero or even turn negative. The final outcome depends on the price of STRK and the loan interest rate. These subsidies are time-limited.

The initiative aims to boost Bitcoin usage in DeFi. Borrowing costs may change once the program concludes.

The Starknet Foundation has allocated 100 million STRK for the broader BTCFi Season program, not exclusively for loans facilitated through Vesu.