Kraken has launched a Bitcoin staking service through a partnership with Babylon Labs, allowing users to earn BABY tokens from their Bitcoin holdings. Users can stake their Bitcoin directly on the Kraken platform without the complications of bridging, wrapping, or lending out their assets. This new service enables users to earn interest while their Bitcoin is secured in a vault on the Bitcoin blockchain and delegated to proof-of-stake networks via the Babylon protocol. Kraken's global head of consumer, Mark Greenberg, emphasized that many Bitcoins were previously sitting idle on the exchange and that this integration presents a significant opportunity for clients to earn returns on their investments. Greenberg also noted the benefit of using Bitcoin's economic weight to enhance the security of emerging proof-of-stake blockchains. Since the announcement, the price of BABY tokens has increased nearly 5%.

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