Summary
We will be upgrading the Verse Staking program from the current state V2 to V3 in order to improve capital efficiency of the VERSE staked in the program.
Verse Holders voted in favor of this upgrade in Feb 2025. For more context on the motivations and rational, please refer to the community vote here.
Note: Verse Staking is also referred to as “Stake VERSE earn BTC”. Both refer to the same staking program.
Table of Contents
What is the underlying mechanics behind Verse Staking V2 and V3? How does Stake VERSE earn BTC V3 improve capital efficiency?
In V2, deposits are merely held in the staking contract.
In V3, deposits will contribute to a 80/20 VERSE-tBTC balancer pool and receipt tokens (LP Tokens) are subsequently deposited into respective V3 staking contracts on Ethereum and Polygon. This supports VERSE-tBTC trades on Ethereum and Polygon.
What is the migration plan?
Phase 1: Verse Staking V3 pre-launch announcements
Phase 2: Migration announcement and V2 variable APY wind down
Phase 3: Migration complete
What are the new APYs for V3?
APYs are variable and will change depending on the participation rate in V3. In the first month of the migration, we expect a higher variable APY of around 40% which will stabilize at around 25% at the end of the migration exercise.
How will the APYs change for V2?
APYs are variable and will reduce depending on the remaining participation in V2 as we wind down the rewards in V2. We expect a lower variable APY of around 10% which will wind down to 0% at the end of the migration exercise.
Since V3 is an 80/20 VERSE-tBTC pool, will I be exposed to Impermanent Loss (IL)?
As the underlying staked asset is a LP token, participants in Verse Staking V3 are exposed to Impermanent Loss (IL), which occurs when the value of assets provided to a liquidity pool changes relative to simply holding them, leading to potential losses for liquidity providers when prices diverge significantly. Learn more about IL here
However, IL is less for an 80/20 Balancer pool compared to a traditional 50/50 pool because the pool is weighted more heavily toward one asset (80%) rather than requiring equal exposure. This reduces the need for frequent rebalancing as prices fluctuate, minimizing the divergence between the pool's asset ratio and market prices. As a result, price changes have a smaller impact on the pool's value, lowering the extent of IL. Read more about how Balancer reduces IL here
When must I migrate my funds by?
You must complete your migration by the end of migration phase 3. We will announce the specific date during the launch.
What happens if I don’t migrate by the end of the migration phase?
At the end of migration phrase 3, your VERSE staked in V2 will no longer earn rewards. We will announce the specific date during the launch. You will still be able to access V2 to migrate your funds here:
How do I check my current position in V2?
On a desktop browser:
Visit
Ethereum: https://verse.bitcoin.com/earn-bitcoin/eth/
Polygon: https://verse.bitcoin.com/earn-bitcoin/matic/Connect your wallet
On the Bitcoin.com self-custodial wallet app:
Visit the Earn section of the app
Ensure that the wallet that you staked with is selected
View your Verse Staking position on Ethereum and Polygon
Will the migration affect Verse Farms?
No, rewards for the existing Verse Farms will not be affected.
Need Help?
If you need help, here’s how to reach us:
In-App Assistance:
Open the **Bitcoin.com Wallet** app.
Tap "More" (bottom right corner).
Tap "Help & Support."
Select "Speak with a support agent."
Tap the chat icon to connect with a live support agent.
Email Support:
You can also email us at [email protected]. Our team is available 24/7 to help you.