Wrapped Bitcoin (WBTC) will soon be available on the TRON blockchain for decentralized finance (DeFi) participants. TRON reportedly entered a strategic partnership with BitGo to enable the Wrapped Bitcoin token accessible for its blockchain DeFi participants. This announcement is coming at the time where the demand for Bitcoin tokens has been surging in accordance with the growing adoption of the DeFi market.
Wrapped Bitcoin (WBTC) is coming to TRON’s DeFi
As reported today, TRON will be issuing Wrapped Bitcoin on its ecosystem as TRC-20 tokens, which will be facilitated by BitGo, a digital currency custodian. The WBTC Bitcoin token will roughly represent the value of the Bitcoin deposited by the holders in BitGo Trust in a 1:1 ratio. Notably, WBTC is one of the most minted Bitcoin tokens in Ethereum.
TRON is looking to drive up more participation in its DeFi ecosystem by making the Wrapped Bitcoin accessible to the community. TRON has been named one of the biggest competitors to Ethereum, and it has been mimicking Ethereum’s success, leveraging on the blockchain’s weak point to market for more adoption. While commenting on the development today, the CEO of TRON, Justin Sun, said:
“Everyone may now use their BTC/ETH to enjoy all the benefits of the Tron DeFi ecosystem without the high gas fees on Ethereum.”
Also, Sun acknowledged the launching of JustSwap. A project that offers similar service as Uniswap, the largest decentralized exchange (DEX) running on the Ethereum blockchain.
Bitcoin tokens: a hope for Bitcoiners in DeFi
The decentralized finance (DeFi) industry was previously thought to hold investment opportunities for Ethereum (ETH) holders alone. However, the sentiment has been debunked following the introduction of tokenization platforms that could convert Bitcoin to ERC-20 tokens, forming a bridge for Bitcoiners to access projects in Ethereum, especially DeFi protocols.
The demand for Bitcoin token has since surged in DeFi following a boom in the market. More Bitcoin tokens are now being locked up on several protocols on the Ethereum blockchain. The increase in Bitcoin token demand has also led to the introduction of several tokens. Most recently, Blocdesk reported that tBTC, which unfortunately shut down a few days after launch, was redeployed on the mainnet.
Ultimately, Bitcoiners now have a larger option to choose for tokenizing their cryptos for DeFi.