Babylon’s protocol allows PoS systems, including PoS chains, Layer 2 solutions, Data Availability layers, and oracles, to acquire staking capital from Bitcoin, the largest decentralized crypto asset. By leveraging Bitcoin’s vast supply and its role as a store of value, Babylon aims to reduce inflation pressure on PoS chains and enhance their financial utility. The protocol’s modular design and slashing functionality enables PoS systems to introduce Bitcoin as a staking asset, providing higher crypto-economic security than native tokens.