Summary
Ketju does not approve SolvBTC: in March 2026 a reentrancy bug in a related vault let an attacker mint far beyond the intended supply and take about $2.7M, and redemption takes from several days to two weeks. Solv pledged to cover the loss, and the stolen funds have not been confirmed returned. The exploit happened five months before this review. SolvBTC is a tiered Bitcoin reserve token and not a wrapper with one custodian. A Core Reserve of native BTC, BTCB and cbBTC backs most of it. A capped, rate-limited Innovative Reserve holds wrapped assets that Ketju does not approve, including WBTC and FBTC. Solv has made real governance progress: a FROST-based multi-party signing upgrade in early 2026, continuous audits from three named firms and Chainlink Proof of Reserves. SolvBTC has the strongest governance of the bridges and wrappers Ketju reviewed alongside it, and it still does not meet the standard for approval.
Review triggers
- Twelve months in a row with no smart-contract exploit after the March 2026 BitcoinReserveOffering incident, with an independent post-mortem and remediation audit published
- A proposed-size redemption is shown to complete within a documented, tested maximum window under stress
- Innovative Reserve composition and its caps can be verified independently on-chain, not only from Solv's own reports
- The FROST multisig signer set and threshold are fully disclosed and confirmed in operation
Facts
- Verdict
- Not approved
- Type
- Other
- Chains examined
- Ethereum
- Instruments
- SOLVBTC
- Reviewed
- Last confirmed