Ledger Wallet rolls out 'BTC yield' feature in collaboration with Lombard and Figment

Crypto hardware manufacturer and software developer Ledger is rolling out the first version of a "bitcoin yield" feature in Ledger Wallet, allowing users to explore yield opportunities connected to the foremost cryptocurrency through integrations with Lombard BARD and Figment.

The feature is available via the Discover section of Ledger Wallet, with an initial rollout starting Wednesday, the Paris-based firm confirmed in a statement shared with The Block.

Facilitated through the third-party integrations rather than native wallet infrastructure, the new functionality enables users to access Lombard's LBTC, described as an institutional-grade, BTC-backed, yield-bearing token designed for use across DeFi.

LBTC generates BTC-denominated yield by supporting network validation via Figment on the Babylon Bitcoin Staking Protocol, while aiming to preserve bitcoin exposure. The setup does not involve staking on Bitcoin's base layer, which does not support staking, but instead relies on bitcoin-backed economic security mechanisms tied to other networks.

Jean-Francois Rochet, executive vice president of consumer services at Ledger, said the company's scale positions it to address what he described as a fragmentation gap in the bitcoin ecosystem.

"Previously, BTC holders had limited options for generating returns without selling or moving assets," Rochet said, adding that the product is intended to expand how both long-term holders and active traders interact with DeFi using bitcoin.

Users who deposit BTC with Figment via Ledger Wallet have their bitcoin converted into yield-bearing tokens. For Lombard's implementation, this involves signing two transactions: an Ethereum message to specify the destination account for LBTC, and one bitcoin transfer to a Lombard address.

Unlocking bitcoin's largely dormant onchain supply

Jacob Phillips, co-founder of Lombard, said the integration marks a milestone for bringing bitcoin onchain given the substantial number of Ledger users, while Figment product lead Guillaume Galuz said the collaboration extends Figment's yield infrastructure to BTC without, in his view, compromising asset safety.

Both firms framed the launch as an effort to activate bitcoin's largely dormant onchain supply. Ledger said that just 1.5% of total BTC is currently active onchain, despite the asset's approximate $2.1 trillion fully diluted valuation.

Rewards generated via the Babylon protocol currently stand at 0.4% APY, with no maximum deposit size and a minimum of 0.0002 BTC, while withdrawals back to native bitcoin take seven days from the request date, a spokesperson for Ledger told The Block.

The feature is available across all Ledger-supported jurisdictions, they added, confirming that partners offering services in the Ledger Wallet app typically "share economics" with the company. Though their BTC is converted, LBTC remains in users' self-custody, with private keys controlled by the user, the spokesperson said, describing the integration as one of a broader set of potential bitcoin-related services that could be added to the platform over time.

The Block reached out to Lombard to seek comment on the specific risks and protections associated with the Lombard–Figment–Babylon setup.

Ledger eyes New York IPO amid growing demand

Ledger previously signaled it is weighing a New York listing or private fundraising round as demand for its hardware wallets and security products accelerates. CEO Pascal Gauthier told the Financial Times in November that the French firm is expanding its New York presence as U.S. investor interest in crypto infrastructure rebounds.

The potential capital raise follows what Ledger described as its strongest financial year to date, driven by rising demand for self-custody solutions amid persistent security breaches across the crypto sector. The company was last valued at $1.5 billion in 2023 and said revenues had reached triple-digit millions in 2025, according to the FT.

Ledger has also been broadening its product scope, recently unveiling a next-generation Nano device, the rebranded Ledger Wallet app (formerly Ledger Live), and new enterprise-focused security tools — a strategy that could underpin its longer-term public market ambitions.

Updated with additional details from Ledger.