WBTC Coin, a bitcoin-pegged token that was one of the largest accounts of Bitcoin on Ethereum, has faced turbulent times recently with claims of its delisting from Coinbase sparking controversy. Coinbase's decision, directed towards shifting focus to its own Bitcoin token cbBTC, was met with disapproval from the crypto community with allegations of using it as a strategy to gain
competitive advantage. This move by Coinbase saw a
flash crash of WBTC's price, dropping to $5K on Binance exchange.Significant amounts of WBTC were burned, and the token's price showed signs of instability. Despite this, WBTC managed to complete a shift to a
multi-jurisdiction custody arrangement. Post-removal of WBTC from Coinbase, the exchange started promoting its own wrapped Bitcoin BTC, cbBTC. Amidst this, investors haven't relinquished their faith in WBTC - an unknown crypto whale has been reportedly scooping up WBTC and it still retains a 65% market dominance despite facing criticism.
Justin Sun’s increasing influence over the protocol and subsequent launch of his own wrapped bitcoin token raised eyebrows, with concerns lingering about his role in WBTC custody changes. Discussions around WBTC's security were also prevalent, with BitGo, the co-creator of WBTC, defending the transparency and security of the token. Additionally, discussions about the possible merger of tBTC with WBTC have surfaced to address centralization worries. Furthermore, decentralized platforms like Sky and MakerDAO reconsidered their strategies of offboarding WBTC after discussions with BitGo CEO. Conversely, Coinbase showcased its wrapped Bitcoin product - cbBTC which is expected to challenge BitGo's supply of WBTC. This entire episode helped spotlight the growing importance of decentralized finance and Bitcoin staking protocols. Notably, the Bitcoin Staking Protocol Babylon managed to attract $1.5 billion in deposits through WBTC and LSTs.
WBTC Coin News Analytics from Fri, 08 Mar 2024 08:00:00 GMT to Mon, 25 Nov 2024 10:27:42 GMT -
Rating -4
- Innovation -2
- Information 9
- Rumor 2
