🪙🪙 WRAPPED BITCOIN 🪙🪙
In this post we are gonna learn what is wrapped bitcoin $WBTC . So please read the below paragraph to learn about it.
Wrapped Bitcoin (WBTC) is a tokenized version of Bitcoin (BTC) that is used on the Ethereum blockchain. It represents Bitcoin in a 1:1 ratio and is an ERC-20 token, which means it follows the Ethereum token standard and can be used in Ethereum-based decentralized applications (dApps) and smart contracts.
To create WBTC, Bitcoin is deposited into a custodian service, which then issues an equivalent amount of WBTC on the Ethereum network. This allows Bitcoin holders to participate in Ethereum's decentralized finance (DeFi) ecosystem, utilizing Bitcoin in various DeFi applications like lending platforms, decentralized exchanges, and other financial services that operate on Ethereum.
The main advantage of WBTC is that it brings Bitcoin's liquidity into the Ethereum ecosystem, enabling users to leverage Bitcoin's value while accessing the functionalities of Ethereum's network.
what do you say about this kinda of crypto currency. please let us know in the comments section.
