BounceBit

• BounceBit is a Bitcoin restaking chain that combines centralised custody with on-chain yield strategies.

• Deposited Bitcoin is held with regulated custodians while a mirrored token circulates on the BounceBit chain.

• BB is the gas, staking and governance token.

• Fixed supply with allocations to staking rewards, investors, team and ecosystem.

• Dual-token staking secures the chain using both BB and bridged Bitcoin.

Pros:

• Custody with regulated providers is more transparent than most bridge designs.

• Yield combines funding-rate strategies with on-chain rewards rather than emissions alone.

• Bitcoin holders get exposure without a purely trustless bridge they may not trust anyway.

Cons:

• The model is explicitly custodial, so it is not trust-minimised in the way its restaking framing suggests.

• Funding-rate yield compresses or inverts in quiet markets.

• Chain activity beyond the yield product is limited.

• Exposure to Bitcoin yield through a structure that is honest about using custodians.

• Yield sources are identifiable rather than opaque.

• The custodial dependency is the central thing to weigh.

• A dual-token chain secured by both its native token and bridged Bitcoin, with custody held by regulated providers rather than a bridge contract.

• Bitcoin holders want yield but distrust bridges, which have been the largest source of losses in crypto.

• Regulated custody substitutes a different, more familiar counterparty risk in their place.

• Founded by Jack Lu, who previously worked on Bitcoin infrastructure projects.

• Backed by Blockchain Capital, Breyer Capital and Binance Labs.

• No public ICO. BB was distributed via Binance Megadrop and ecosystem allocations in May 2024.

• Custodial risk is the defining exposure; the model depends on custodians performing.

• Funding-rate strategies lose money when rates turn negative.

• Unlocks to investors and team over several years.

• Regulatory treatment of custodial yield products varies sharply by market.