Update
Rootstock Report: Bitcoin Lending and Yield Could Drive Institutional Demand
RootstockLabs, a Bitcoin infrastructure developer, has released a report suggesting that institutional Bitcoin demand could increase through lending and yield generation, expanding beyond its role as a store of value. The report estimates that 1.5% of Bitcoin's supply currently participates in lending and native finance, with institutional investors holding around 3.9 million BTC. RootstockLabs proposes that institutional holdings could generate additional demand for Bitcoin without changing its fixed supply, through mechanisms like lending and using Bitcoin alongside fiat liabilities to improve balance-sheet efficiency. The report suggests that if 5% of institutional holdings earn a 5% annual yield, it could result in 19,500 BTC being generated annually.