Official announcement from Threshold Network or BitGo

Threshold Proposes $36.5M Merger to Make WBTC 1:1 Redeemable

Aug 29, 2024, 05:19 PM

A proposal has been made to address the trust crisis surrounding Wrapped Bitcoin (WBTC) by merging it with the Threshold Network's tBTC project. The plan involves minting approximately $36.5 million in T tokens, representing 15% of the T supply, which would be vested to BitGo. In exchange, BitGo, along with existing merchants and the WBTC DAO, would transfer WBTC mint, redeem, and freeze privileges and custody to Threshold. This proposal aims to make WBTC and tBTC redeemable on a 1:1 basis, potentially stabilizing the WBTC ecosystem.