Coinbase Launches cbBTC on Ethereum and Base Chain to Compete with WBTC

Aug 13, 2024, 11:40 PM

Coinbase has announced the launch of cbBTC, a new wrapped Bitcoin product on the Ethereum and Base blockchain. This move positions Coinbase as a competitor to the existing wrapped Bitcoin (WBTC) in the decentralized finance (DeFi) ecosystem. The introduction of cbBTC is seen as a strategic step for Coinbase, potentially surpassing WBTC in supply within six months. The product aims to integrate Bitcoin into Ethereum's Layer 1 and Layer 2 DeFi platforms, offering users new opportunities for lending and borrowing. The launch of cbBTC is also considered beneficial for both Bitcoin and Ethereum, as it enhances the utility of Bitcoin on Ethereum's blockchain. Notably, Coinbase plans to offer 0 fees on mint/redeem and 0 fees to withdraw to the Base chain.