Bitcoin is evolving from a passive asset to a productive one, earning native onchain yield worth over $7 billion. This shift is redefining capital pricing, institutional reserves, and portfolio theory. Bitcoin’s scarcity and productivity are attracting miners, treasuries, and funds to park assets in BTC, transforming it into productive capital.

Bitcoin’s capped supply at 21 million and transparent issuance schedule have always set it apart. Now, new protocol layers are enabling BTC to generate onchain returns, changing how capital interacts with the asset. El Salvador and the US recognize Bitcoin as a strategic asset, while ETFs hold over 6% of the total supply. Public miners are shifting to staking and yield strategies for long-term returns.

Bitcoin holders can now earn yield without compromising base-layer neutrality using new protocol layers. Platforms allow staking for network security, DeFi app use for fees, all without giving up ownership or relying on centralized platforms. A native Bitcoin yield curve is emerging, grounded in transparency and self-custody.

With Bitcoin now able to earn returns, a standard to measure its yield is needed. Currently, there is no benchmark for Bitcoin yield, leading to inconsistencies in risk assessment and strategy evaluation. Establishing a repeatable, self-custodied, onchain yield benchmark grouped by term lengths can provide clarity for investors, treasuries, and miners to make informed decisions.

Bitcoin’s evolution into a yield-producing asset requires a benchmark to measure its productivity. Without a standard to describe and compare Bitcoin yield, decisions around treasury management, risk assessment, and strategy evaluation remain opaque. Establishing a baseline yield measurement can bring transparency to Bitcoin’s evolving role as a productive asset.

Read more at CoinTelegraph: Bitcoin No Longer Plays Gold’s Game