North Korean hackers net $2.5 million profit after WBTC sales
Blockchain intelligence platform SpotOnChain reported that North Korea’s state-backed hacking group, Lazarus, has pocketed over $2.5 million in profit from ...
Read more
Tag: WBTC
Wrapped Bitcoin (WBTC) is a tokenized version of Bitcoin that operates on the Ethereum blockchain. This innovative asset brings together the stability and widespread adoption of Bitcoin with the flexibility and functionality of the Ethereum network. By wrapping Bitcoin in an ERC-20 token format, WBTC allows users to access a wide range of decentralized applications (dApps) and smart contracts that are not natively compatible with Bitcoin.
WBTC is created through a process where users deposit their Bitcoin into a custodial account, and in return receive an equivalent amount of WBTC tokens. These tokens can then be used within the Ethereum ecosystem for trading, lending, borrowing, and other financial activities. WBTC is fully backed 1:1 by Bitcoin held in reserve, ensuring that each WBTC token represents a genuine claim on the underlying asset.
The introduction of WBTC has opened up new possibilities for Bitcoin holders, enabling them to participate in the vibrant DeFi (Decentralized Finance) space without having to sell their Bitcoin holdings. This interoperability between Bitcoin and Ethereum also promotes greater liquidity and accessibility for both assets, as users can easily move between the two networks using WBTC as a bridge.
As a fully audited and transparent asset, WBTC has gained significant traction within the cryptocurrency community and has been integrated into a wide range of platforms and services. Its growing popularity is a testament to the demand for cross-chain interoperability and the desire for more efficient and versatile financial instruments in the decentralized ecosystem.
In summary, WBTC represents a groundbreaking fusion of two major cryptocurrencies, offering users the best of both worlds in terms of security, accessibility, and functionality. Its seamless integration with Ethereum has paved the way for a new era of decentralized finance, where assets can flow freely across different blockchain networks, unlocking a wealth of opportunities for users and developers alike.
What is WBTC?
WBTC stands for Wrapped Bitcoin, which is a tokenized version of Bitcoin on the Ethereum blockchain.
How is WBTC created?
WBTC is created by depositing Bitcoin into a custodian who then mints an equivalent amount of WBTC.
What is the purpose of WBTC?
WBTC allows Bitcoin to be used in decentralized applications and smart contracts on the Ethereum network.
Is WBTC redeemable for Bitcoin?
Yes, WBTC can be redeemed for Bitcoin at a 1:1 ratio through the custodian.
Where can I trade WBTC?
WBTC can be traded on various decentralized and centralized exchanges that support ERC-20 tokens.
