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Techub News reports that Babylon Labs, a Bitcoin staking protocol, has released a SCRIPT risk assessment framework to evaluate counterparty risk of Bitcoin collateral. The framework includes six categories: sovereign retention, clear rules, prohibition of re-mortgaging, asset isolation, permissionless, and transparency. The team pointed out that although Bitcoin is a high-quality on-chain collateral asset, due to on-chain programmability limitations, staking schemes often rely on off-chain systems or custodial operations, which may introduce additional risks. SCRIPT can be used to evaluate various solutions, including Babylon's own protocol.