Ethereum-Based ‘Wrapped’ Token Backed by Bitcoin Launches - BITCOIN NET MAGZ

Ethereum-Based ‘Wrapped’ Token Backed by Bitcoin Launches

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Wrapped Bitcoin (WBTC), an Ethereum (ETH)-established token endorsed by Bitcoin (BTC), has established now, Jan. 31, according to a press release on the network's website.

BitGo announced that the evolution of the coin supported 1:1 with Bitcoin at October 2018. An announcement by the firm then said that Wrapped Bitcoin will provide customers with a"wide assortment of new home use cases including on decentralized exchanges (DEXs), as collateral to get stablecoinsor financing, for obligations and adaptive intelligent contracts inside the Ethereum ecosystem"

WBTC is an ERC-20 token, which are tokens made and used solely on the Ethereum platform that produce the streamline the production of new tokens. ERC-20 tokens provide a kind of template where programmers can create a fresh token, preventing them from programming a brand new crypto from the bottom up.

Wrapped Bitcoin will supposedly permit for new programs and use cases for Bitcoin around the Ethereum network. A press release in the WBTC system says "by bringing Bitcoin's liquidity to Ethereum, WBTC makes it possible for dealers to utilize Bitcoin value for token trades on decentralized exchanges."

The media release also says that WBTC smart contracts are audited by third-party companies. It further states that proof of reserve showing a precise 1:1 ratio of minted WBTC to BTC is visible on-chain.

Pricing info for WBTC is currently available on CoinMarketCap. At this point, the money is trading in $3,504.98, that can be slightly higher than Bitcoin, which is trading in $3,501.28.

In September 2018, BitGo turned into a certified cryptocurrency custodian through the purchase of a state trust company charter in the American state of South Dakota. Therefore, the firm then became subject to regulatory supervision in compliance with Know Your Client (KYC) and anti-money laundering (AML) policies.

 

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