Cryptocurrency

The volume of bitcoins on the Ethereum blockchain is approaching $ 1 billion

Navigation

TESLA Invests 1.5 BILLION Into BITCOIN (They LIED TO YOU!!)

The volume of bitcoins on the Ethereum blockchain is approaching $ 1 billion

The volume of bitcoins on the Ethereum blockchain is approaching $ 1 billion
CONTENT

  • Almost 80,000 bitcoins have accumulated in the Ethereum blockchain

  • Wrapped Bitcoin and renBTC remain the most popular protocols

  • Despite the risks, Bitcoin transfers to the Ethereum blockchain only continue to grow

International consortium of news organizations developing transparency standards.

Bitcoin Holders Continue Increasing Digital Gold On Ethereum Blockchain Despite Recent Falls In Two Major Digital Currencies.

The volume of bitcoins on the Ethereum blockchain is approaching $ 1 billion

DeFi protocols continue to lure investors with their liquidity pools after the cryptocurrency market correction in early September. Against this background, almost 80,000 bitcoins have accumulated in the Ethereum blockchain.

Despite the drop in Bitcoin and Ethereum rates since September 1, the volume of BTC on the Ethereum blockchain has grown by almost 37% since the beginning of this month, as evidenced by data from Dune Analytics.

Against the background of the growth of Wrapped Bitcoin (WBTC) and other forms of tokenization of the main cryptocurrency, their total volume, which was $ 600 million at the beginning of September, has already exceeded 800 million and today is equivalent to 2% of the total Ethereum market capitalization..

This trend signals that despite the volatility of digital assets, interest in DeFiDecentralized Finance (DeFi) is financial services built on blockchain technology that offer users access to open, efficient and … More holders of bitcoin.

The volume of bitcoins on the Ethereum blockchain is approaching $ 1 billion

Cross chains

Cross projects such as WBTC and renBTC use either a trusted third party in the person of a custodian, or wallets that hold one digital asset (in this case, Bitcoin) with a replica of the token on another blockchain, such as Ethereum. Replica assets are tied to the value of the underlying token.

The most popular BTC-Ethereum cross-over project is Wrapped Bitcoin, which accounts for over 66% of all bitcoin cross-chains. Today, this system contains about 53,000 BTC. RenBTC, the second most popular exchange protocol, is also showing steady growth.

In third place is Huobi’s HBTC. It accounts for more than 6% of the market as a whole. Total HBTC volume has grown by over 570% since early August.

As the number of BTCs on the Ethereum blockchain grows, concerns have revived in the market about centralization and the role that third parties play for WBTC, RenBTC and HBTC..

HBTC, which launched on the Ethereum blockchain in February this year, is a product of Huobi, a centralized cryptocurrency exchange based in Singapore. Wrapped Bitcoin, which is a collaboration of several DeFi protocols including Maker and Aave lending services, always uses a trusted third party custodian system to store WBTC-backed bitcoins.

And Ren Protocol’s renBTC project recently got mixed up over rumors that the protocol is being managed by members of the Ren development team..

The volume of bitcoins on the Ethereum blockchain is approaching $ 1 billion

Despite the risks, transfers of Bitcoin to the Ethereum blockchain only continue to grow, as for many, the profitability of DeFi justifies the risks associated with the involvement of third parties.

Disclaimer

All information contained on our website is published in good faith and objectivity, and for informational purposes only. The reader is solely responsible for any actions he takes based on the information received on our website..

Share Article

Similar articles

Similar articles