Over $750 million value of Bitcoin has been locked as DeFi drives tokenization of Bitcoin.
Particularly, there have been 72,843 bitcoins mapped on Ethereum, value about $750 million of Bitcoin, on the time of publication.
Of the seven cross-chain bridge tasks out to tokenize Bitcoin, the most important by way of market share is wrapped bitcoin (wBTC).
Per information on Dune Analytics, there are 46,421 wBTC on the Ethereum blockchain value about $476,239,516 as of September 8. That places the share of wBTC at 64.5% of the full Bitcoin provide on Ethereum.
The Ren Protocol has the following largest command at 16,671 renBTC, or simply over 23% of the full variety of artificial bitcoins, in circulation.
Different tasks with tokenized Bitcoin are hBTC with 4,810 bitcoins’, sBTC 2,897 tokens, imBTC 1,353, and pBTC with 45 bitcoins mapped on the Ethereum blockchain respectively.
On combination, the quantity of artificial bitcoins getting into the DeFi house jumped threefold in August alone. Urge for food for trades and loans denominated in Bitcoin from decentralized finance traders noticed over 26,000, or practically $300 million value of recent tokenized bitcoins, enter the house.
Alameda Analysis, co-founded by FTX change CEO Sam Bankman-Fried, reportedly accrued 14,654 WBTC in August. That’s practically 70% of all wrapped bitcoin (WBTC) launched final month.
Whereas a rising variety of individuals maintain tokenized bitcoin, nearly all of provide is at present being utilized in DeFi tasks. As might be seen under, Compound, Balancer, Aave, and Uniswap, have all seen a spike within the quantity of wBTC.
As of immediately, tokenization has put practically 0.4% of the full Bitcoin provide (21 million) on the Ethereum blockchain.
Notably, the expansion within the provide of those artificial bitcoins now means they make up practically 2.0% of the full market capitalization of Ethereum.
The tokenization of Bitcoin includes locking BTC on the Bitcoin community and minting new tokens on Ethereum. The ERC-20 token is then used on the good contracts platform, with the “burning” of the “wrapped” cash ensuing within the unlocking of the true Bitcoin on the blockchain.