Coinbase Launches Wrapped Bitcoin Token cbBTC on Ethereum and Base Amid WBTC Controversy

Sep 12, 2024, 12:21 PM

Coinbase has launched cbBTC, a wrapped version of Bitcoin, on the Ethereum and Base networks. The new token, an ERC-20 token backed 1:1 by Bitcoin held by Coinbase, aims to enhance Bitcoin's utility in decentralized finance (DeFi) applications. This move comes amid ongoing controversy surrounding BitGo's Wrapped Bitcoin (WBTC) custodial changes. Coinbase holds over 4% of Bitcoin's total supply of 21 million tokens. The launch of cbBTC is expected to drive Bitcoin's utility within the DeFi ecosystem, with plans to expand to other blockchain ecosystems in the future. The asset is available on the exchange in the United Kingdom, Australia, Singapore, and all US states minus New York.