Question 1

**What is PumpBTC?**

Accepted Answer

PumpBTC is a protocol designed to bring Bitcoin liquidity into decentralised finance through liquid staking and cross-chain yield strategies. It allows users to deposit Bitcoin derivatives and receive liquid staking tokens that maintain usability within DeFi applications while the underlying assets remain yield-generating.

The protocol supports Bitcoin representations on multiple chains and relies on custodial infrastructure to secure deposited assets. These assets are staked or used in yield-bearing strategies while users retain liquidity through tokenised derivatives. PumpBTC is structured to reduce friction for Bitcoin holders seeking access to DeFi without needing to manage bridging or asset conversions manually.

Question 2

**What is PumpBTC (PUMP)?**

Accepted Answer

PumpBTC (PUMP) is the native governance and utility token of the PumpBTC protocol. It is used to coordinate participation, govern system parameters, and distribute incentives across the platform.

PUMP is used to:
- Participate in governance, including voting on protocol-level decisions
- Access fee advantages or enhanced functionality within the ecosystem
- Receive rewards based on platform usage, staking, or protocol contribution

PUMP aligns users, custodians, and liquidity providers by distributing incentives proportionally to engagement and stake within the system.