Boltz, a platform specializing in Bitcoin and Lightning Network liquidity management, has launched Boltz Pro, a service aimed at addressing liquidity imbalances by offering users incentives to participate in specific swaps.
This initiative seeks to balance the platform’s liquidity while providing opportunities to earn Bitcoin.
Today we are launching Boltz Pro, a non-custodial way to earn sats with swaps on Boltz 🫰
Tl;dr: users earn sats for swapping in a specific direction based on the current liquidity situation of our wallets.
Get started here:👉 https://t.co/hGJBwdhba3 👈 pic.twitter.com/0HUNpv4qFl
— Boltz – Non-Custodial Bitcoin Bridge (@Boltzhq) December 30, 2024
Addressing Liquidity Challenges
Liquidity imbalances occur when the flow of transactions favors one direction, such as a surge in Lightning-to-Bitcoin swaps depleting on-chain Bitcoin reserves.
Kilian, a co-founder of Boltz, noted that these imbalances are compounded by processes like Bitcoin-to-Liquid peg-ins, which can take hours to complete and temporarily tie up funds.
To address these issues, Boltz Pro implements a dynamic fee structure.
For example, if Bitcoin reserves run low, the platform may offer a negative fee, such as -0.15%, for Bitcoin-to-Lightning swaps.
Users receive a bonus for facilitating these transactions, helping restore balance. Once liquidity stabilizes, fees return to standard rates.
Features and Target Audience
Boltz Pro operates as a non-custodial service, allowing users to retain full control of their funds.
No registration is required, though the service is designed with professional users and large-scale transactions in mind.
Restrictions on smaller swaps and tighter network fee controls are expected as the service evolves.
Experimental Nature
Boltz views Boltz Pro as an experimental product, testing its ability to address liquidity needs efficiently while evaluating market demand.
Future plans include developing tools for Lightning node operators to monitor and automate swap opportunities.
The service’s focus on professionals and large transactions may limit its appeal to casual users, but it addresses specific liquidity challenges in a targeted manner.
Broader Context
Boltz Pro reflects a broader trend in the Bitcoin ecosystem toward incentivized solutions for operational challenges.
Its success will depend on user adoption and the scalability of its model, but it highlights ongoing innovation in decentralized financial services.
For more information, users can visit pro.boltz.exchange or join the discussion on Telegram and Discord.