Launched in April 2025 by SatLayer Labs, Cube by SatLayer is a liquid staking protocol built natively on the Babylon Genesis blockchain, a Cosmos SDK-based chain. It enables users to stake Babylon’s governance token, BABY, and receive cBABY — a liquid staking token (LST) that accrues staking rewards over time. Unlike traditional staking where assets are locked and illiquid, cBABY can be freely used across DeFi, allowing for enhanced capital efficiency and composability. Cube uses a non-rebasing model, meaning the number of cBABY tokens in a user’s wallet remains constant, while their value increases as staking rewards accumulate. This model simplifies integrations with DeFi protocols and avoids fragmentation from reward rebasing. The protocol interacts with Babylon’s epoch-based staking and Bitcoin-timestamped finality, handling validator delegation and reward accounting on behalf of users. When a user stakes BABY through Cube, they mint cBABY at the current exchange rate. Behind the scenes, Cube bonds BABY to validators and manages validator rotation and rebalancing to optimize performance and decentralization. When users initiate an unbonding request, their cBABY is burned, and the underlying BABY becomes available after the unbonding period defined by Babylon’s staking architecture. cBABY can also be restaked via SatLayer, our core restaking layer, that extends crypto-economic security beyond Proof-of-Stake chains. This allows Cube to act as a key bridge between native staking and modular restaking layers. Cube was developed and designed specifically for the Babylon Genesis chain. It is maintained by SatLayer, a team focused on building secure and modular restaking infrastructure with Bitcoin assets. The protocol has undergone audits by multiple security firms and is supported by a bug bounty program to ensure ongoing robustness. cBABY is the first liquid staking token built natively on Babylon, designed for use in the Babylon and Cosmos ecosystems and beyond. It aims to support integrations with DEXs, lending protocols, and cross-chain applications to unlock deeper liquidity and expand staking utility for BABY holders.