Crypto exchange Coinbase has launched its own version of wrapped bitcoin

The cryptocurrency exchange Coinbase has announced the launch of its own version of the wrapped bitcoin BTC $97,150.92 Bitcoin -0.32% Market capitalization $1.92 trillion VOL. 24 hours $2.19 billion called cbBTC. This is an ERC-20-based token backed by bitcoins on the company’s balance sheet in a one-to-one ratio. At the initial stage, cbBTC will be available on the Base and Ethereum networks ETH $3,353.47 Bridged Ether (StarkGate) -3.35% Market capitalization $0.3 billion VOL. 24 hours $1.59 billion , but in the future, it is planned to expand to other blockchains.

Coinbase notes that cbBTC solves one of the key problems of bitcoin by allowing it to function freely in the decentralized finance (DeFi) ecosystem. Users can use wrapped assets to ensure protocol security, borrow funds, and generate income.

At the start, cbBTC is already supported by decentralized applications such as the Aerodrome and Curve exchanges, as well as lending protocols including Aave and others.

The launch of cbBTC comes amidst criticism of WBTC, another popular wrapped bitcoin, which underscores Coinbase’s desire to provide a more efficient and secure alternative.

Earlier, we reported that the famous Donald Trump-related meme coins suffered a significant drop in price after the debate between Kamala Harris and former President Trump. The first presidential debate ended without any mention of cryptocurrencies, which disappointed many crypto enthusiasts.