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1000 WBTC Minted On Ethereum, Representing More Value Than Bitcoin’s Lightning Network

One thousand Wrapped Bitcoin (WBTC) were minted today on the Ethereum network. This single transaction represented more U.S dollar value than the entire Lightning Network.

It brings the total amount of Bitcoin now locked in WBTC tokens to 2,300, compared to the roughly 927 Bitcoin locked on the Lightning Network.

Product Marketing Manager at Set Protocol tweeted on the news:


~1000 WBTC (~$8.8mil) was minted on #Ethereum just 45 minutes ago 👀https://t.co/s43H0UW8nx — Anthony Sassano | sassal.eth (@sassal0x) May 12, 2020

According to DeFi Pulse, the USD value of wBTC is $20.7 million, making it the eighth-largest DeFi protocol.

Wrapped Bitcoin is an ERC-20 token that allows users to access popular ETH-based DeFi protocols using the value represented by their Bitcoin holdings. 

Users’ Bitcoin is held by custodian BitGo, while eight ‘initial merchants’ act as middlemen between the users and the custodian, including:

  1. Dharma

  2. Kyber

  3. Ren

  4. DiversiFi

  5. Set Protocol

  6. Gopax

  7. AirSwap

  8. Prycto

The Wrapped Bitcoin protocol is operated by a decentralized autonomous organization comprising 16 projects including the initial merchants, Compound, and MakerDAO.

The recent growth in popularity of DeFi has driven an expansion in the number of DeFi projects offering Bitcoin tokenization on the Ethereum network.

Source: Cointelegraph | Image: Unsplash

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