Encapsulated Bitcoin (WBTC) has reached a record high today in terms of market value and offers on tokens.
WBTC is the most popular version of Bitcoin encoded for use in the Ethereum network. According to the official website, there is currently a record 116,885 WBTC supported by the same amount of BTC held by parents. The market value of WBTC now exceeds $ 1.58 billion.
This makes WBTC Ethereum the sixth largest token by market value after Crypto.com Coin (CRO), USD Coin (USDC), Chainlink (LINK), BNB (BNB) and first Tether USD (USDT). ).
WBTC climbed the rankings last week and overtook Compound Dai (cDAI), OKB (OKB) and Bitfinex’s LEO token (LEO). WBTC is currently ranked 18th in terms of total market value.
The ERC-20 token is supported 1: 1 by the BTC reserves, the bitcoin file is 80% of the $ 2 billion BTC value on the Ethereum network. By comparison, in mid-September, only 80,000 tokens were worth just under $ 1 billion.
While the recent increase in BTC also contributes to the increase in the market value of WBTC, the most important factor contributing to the sudden increase is increased demand. WBTC is widely used in DeFi to increase profitability, especially among moderately profitable projects. There are currently over 164,000 BTC locked in the DeFi protocols, which is about 0.85% of the total bitcoin trade.
Although the first rolled-up bitcoin was minted again in January 2019, the token’s daily turnover did not exceed 1 million dollars before the end of July this year. Today, WBTC sees regular trading volumes of over $ 50 million.