Three Ways to Earn on a Bitcoin-Backed Stablecoin — and Why Right Now Is the Best Time

Everyone talks about borrowing against Bitcoin. Far fewer people talk about the other side of the trade: earning. Yet a 0%-interest lending protocol can't function without people supplying the things that keep it solvent and liquid — and those people get paid. With Money Protocol's Liquidity Mining Season 1 now live, the earn side is paying its highest rate of the year. Here are the three ways in, from simplest to most involved.

First, what you're earning

Two things, depending on the path: discounted Bitcoin collateral, and MP, Money Protocol's token. MP captures the protocol's fees — the one-time charges when BPD (the Bitcoin-backed stablecoin) is minted and redeemed — and it's the reward token paid to people who strengthen the system. Notably, MP carries no governance vote: it pays you from the protocol without letting anyone change the protocol's rules. You're earning a claim on usage, not a seat on a committee.

Now the three ways.

Way 1: Hold BPD in the stability pool (easiest)

If you want the lowest-effort option, this is it. Deposit BPD into the stability pool and you're done — no ranges, no pairs, no maintenance.

The pool is the protocol's solvency backstop. When a borrower's vault gets liquidated, the pool's BPD cancels that debt and receives the vault's RBTC collateral in return, usually at a discount because liquidations fire near the 110% collateral line. You earn two ways: discounted RBTC from liquidations, and a continuous stream of MP issued to the pool.

The trade-off to know: as liquidations process, some of your BPD becomes RBTC, so you end up holding a mix — and that RBTC moves with Bitcoin's price. Historically the discount has left depositors ahead, but it carries market exposure. Simple isn't the same as risk-free.

Way 2: Provide BPD/USD₮0 liquidity and stake it (Season 1)

This is the headline right now. Provide liquidity to the BPD/USD₮0 pool, stake your position at stake.moneyprotocol.co, and earn MP through Liquidity Mining Season 1.

The numbers are fixed and public: 2,500,000 MP over 10 weeks (about July 6 to mid-September 2026); rewards accrue pro-rata to in-range liquidity, every block; and early and deep earns most — the APR scales down as the pool fills (illustratively ~130% at $250k of depth, higher while small).

Because BPD and USD₮0 both target $1, you concentrate your liquidity tightly around the peg. That means more rewards per dollar and minimal impermanent loss as long as price stays in range. If you hold BTC, the full move is to borrow BPD against it at 0%, bring USD₮0 over, pair them, and stake. If you already hold stablecoins, you just bridge USD₮0 in and pair it with BPD.

The reason "right now" matters: a fixed budget split among LPs means the rate is highest while the pool is still small. Showing up early in Season 1 is mathematically the best-paid moment.

Way 3: Borrow — and let your collateral keep working

The borrow side belongs on this list too, because borrowing BPD at 0% interest is what frees capital to deploy into the first two. Lock your Bitcoin, mint BPD, and you've created dollars without selling a coin or paying a recurring rate. Route that BPD into the stability pool or the liquidity pool and your Bitcoin is doing two jobs at once: backing your loan and funding your yield. That's the loop the whole protocol is built around.

Why earning here is structurally different

A quick gut-check, because "earn yield in DeFi" has burned people before. This isn't a yield farm conjuring returns from token inflation alone. The stability pool earns from real liquidations of over-collateralized positions. Liquidity mining earns from a defined MP budget spent to deepen the market that keeps BPD pegged. In both cases you're being paid for work the protocol genuinely needs — solvency and liquidity — not for parking money in a black box. And because MP has no governance lever, no vote can quietly change the terms you signed up for.

The risks, stated plainly

Smart-contract risk applies to every position here. MP's price varies, so token-denominated APRs aren't dollar guarantees. Stability-pool depositors take on RBTC (Bitcoin) price exposure. Liquidity providers face minimal — but non-zero — impermanent loss if BPD leaves its range. Do your own research and size positions to your own risk tolerance.

Get started

The earn side of Money Protocol is open on all three fronts, and Season 1 emissions make this the highest-rate window of the year. Stake a liquidity position at stake.moneyprotocol.co, read the full mechanics at docs.moneyprotocol.co, or borrow against Bitcoin at 0% interest to mint the BPD you'll put to work. Three doors, one protocol — and it pays you to make it stronger.