DeFi Technologies, a Toronto-based firm, is set to launch a validator node on Core Chain and stake nearly $100 million worth of Bitcoin. The move marks a significant step in the company's efforts to bridge traditional finance with innovative blockchain technology.

Through its subsidiary Valour, DeFi Technologies will stake the substantial amount of Bitcoin, enabling it to receive rewards for validating transactions and staking rewards on Core Chain. Olivier Roussy Newton, CEO of DeFi Technologies, emphasized the unique exposure to yield and growth within the digital asset space that this approach offers to investors.

Staking on Core Chain's Ethereum Virtual Machine-compatible consensus mechanism allows stakers to retain custody of their BTC while earning rewards in CORE token, which are reinvested in the product. Staked CORE provides a reward of 11.66%.

Security is a key focus, with 50% of BTC mining hash power distributed to the blockchain itself. Excluding DeFi Technologies' stake, Core currently boasts over 2,800 BTC staked.

This initiative follows the organizations' recent collaboration, which saw the launch of the Valour Bitcoin Staking exchange-traded product (ETP) on the Nordic Growth Market exchange. Positioned as the first yield-bearing BTC ETP, the Valour ETP offers BTC exposure with a 5.65% yield and a 1.9% management fee. Plans are also underway to introduce a Core ETP that will offer yield through BTC staking.

DeFi Technologies' strategic pivot towards greater reliance on BTC was further underscored by its recent announcement of adopting BTC as its primary treasury reserve asset. This decision, coupled with the purchase of 110 BTC, led to a notable 23% spike in the company's share price.

With DeFi Technologies reporting a cash balance of $51 million and Valour boasting $607 million in assets under management (AUM) as of May 31, the collaboration between the two entities signals a significant push towards innovation and growth within the digital asset space.