How Wrapped Bitcoin And TradFi Products Muddy On-Chain Analysis
On-chain analysis is an important part of the bitcoin ecosystem. It helps to show activity on the network and can give a good indication of how investors are feeling about the digital asset. In the early days, on-chain analysis commanded a lot of respect in the space. However, there have been various things that have […]
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Wrapped tokens have become increasingly popular because they allow traders and investors to utilize their crypto-assets on different blockchain networks. For instance, Wrapped Bitcoin, which now accounts for roughly 1% of all Bitcoin in circulation, may be used on the Ethereum (ETH) blockchain to engage in various types of decentralized finance (DeFi) transactions. However, it […]
Three months ago, there were 441,546 wrapped or synthetic bitcoins on the Ethereum and Binance Smart Chain worth $17.45 billion using exchange rates on April 24, 2022. Since then, that number has dropped by 53,582 synthetic bitcoins and today the number of wrapped or bonded bitcoins is approximately 387,964 worth $8.81 billion in value.
Number of Wrapped or Synthetic Bitcoins Held on Ethereum Declines
In the last few years the use of wrapped, bonded or synthetic bitcoins has increased a great deal and earlier this year there were close to half a million synthetic bitcoins held....
WBTC, BTCB, and other wrapped Bitcoin implementations may contribute to a BTC supply shortage looming on the horizon In a blog post of Friday, Binance re-introduced BTCB to the world — a wrapped Bitcoin asset intended to bring liquidity from the world's largest cryptocurrency, BTC, to Binance Smart Chain's DeFi (decentralized finance) ecosystem. However, hodlers may be cheering the renewed interest in BTCB for a different reason: each Bitcoin locked on BSC may contribute to a looming BTC supply crisis. First announced last year, Binance initially saw wrapped Bitcoin solely as a vehicle for....
Wrapped Bitcoin is now even safer with Chainlink oracles checking custody wallets every ten minutes. Wrapped Bitcoin custodian BitGo has adopted Chainlink’s Proof of Reserve mechanism in order to boost the transparency and auditability of the tokenized asset for DeFi protocols.The functionality, which is currently live on testnet, enables Ethereum-based dApps to completely automate the burden of auditing wBTC. The move comes as the amount of Wrapped Bitcoin on Ethereum approaches $1 billion in value, or the equivalent of over 92,500 BTC.The mechanism negates the need to rely on manual....
The merging of crypto and TradFi is inevitable, with the latter potentially mitigating the volatility permeating the digital asset industry. Despite the current struggle in the global economy, the gap between traditional finance (TradFi) and crypto seems to be closing with each passing day. For example, earlier this month, Vienna-based fintech unicorn Bitpanda announced that it was adding commodities to its list of investment options, thus allowing investors to rake in profits from short-term price fluctuations related to traditional instruments such as oil, natural gas and wheat.In a....