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- 1 Coinbase Launches Wrapped Bitcoin on Solana to Boost DeFi Ecosystem
Coinbase Launches Wrapped Bitcoin on Solana to Boost DeFi Ecosystem
Coinbase Expands Presence on Solana
Integration of Wrapped Bitcoin into Solana’s DeFi Ecosystem
Coinbase has introduced its Wrapped Bitcoin on Solana, aiming to enhance the decentralized finance sector. This move paves the way for Bitcoin’s seamless integration into Solana’s growing DeFi ecosystem.
cbBTC Introduced as SPL Token
Backed 1:1 with Bitcoin for DeFi Utilization
Coinbase will offer cbBTC as a Solana Program Library (SPL) token, ensuring support for both fungible and non-fungible assets on the Solana platform. The token, backed 1:1 with Bitcoin, grants users the ability to leverage Bitcoin within Solana’s DeFi ecosystem.
Expansion in DeFi Protocols
cbBTC Availability on Various Solana DeFi Platforms
cbBTC will be accessible on several Solana-based decentralized exchanges and DeFi protocols, including Jupiter, Meteora, Kamino Finance, and more. The vision is for Kamino to emerge as a prominent cbBTC venue in DeFi.
Solana Continues to Embrace Programmable Bitcoin Variants
Increasing Range of Wrapped Bitcoin Assets on Solana
Coinbase’s wrapped Bitcoin joins a growing array of programmable Bitcoin variants on Solana, such as tBTC, zBTC, and WBTC via Wormhole. Solana’s DeFi landscape expands with the addition of these diverse assets.
Market Growth and Competition
Rapid Growth of Coinbase’s wrapped Bitcoin Asset
Since its launch, Coinbase’s wrapped Bitcoin asset has surpassed a market value of $1 billion. BitGo’s Wrapped Bitcoin, a key player with an $11 billion market cap, poses competition across various networks, including layer-1 and layer-2 solutions.
DeFi Landscape Comparison
Statistics Show Recovery in Solana DeFi Sector
Solana DeFi experiences a significant recovery in 2024, with total value locked expanding by 250% to $8.25 billion. Meanwhile, Ethereum DeFi shows a more gradual growth, with a 72% increase in TVL, reaching $60 billion by 2024.
Price Impact and Market Response
Positive Price Movement Following Announcement
Post-announcement, prices have risen by 3.4%, reaching $200 in early trading on Nov. 8. The market responds positively to developments in the integration of wrapped Bitcoin on the Solana platform.
The information in the article is for informational purposes only. It does not constitute any investment advice. The author and CryptoBlockNews.com are not responsible for your profits or losses arising from your investments. Investment is ultimately based on many foundations such as knowledge, accumulation, experience, research and personal decisions.
