Is one WBTC Digital Currency equal to one BTC?
Let’s see what digital currency WBTC is. Before that, it would be good to give a brief definition of digital currency. As can be seen, Digital currency is a form of money with the only difference being that its nature is not physical. Additionally, the Internet is the place where all trades trade digital currencies. In contrast, let’s look at how it works. Earlier, the price and other information about this currency are in the rest of the article.
First, let’s see what WBTC digital currency is and whether wrapped bitcoin digital currency is Bitcoin. wrapped bitcoin digital currency is abbreviated as Wrapped Bitcoin.
WBTC digital currency is a digital token with the same value as a bitcoin, but with the difference that it is based on ERC-20, this is the feature that makes wrapped bitcoin digital currency usable in the decentralized financial ecosystem.
In recent years, despite many ups and downs, cryptocurrencies have gained a lot of popularity in the world. Bitcoin and Ethereum are among the digital currencies that work on the blockchain. Currently, different blockchains have different functions, features, and protocols.
Due to these differences, these two digital currencies cannot interact with each other. If this increases the security of a blockchain-based digital currency, on the other hand, it creates many problems for the development of a workable cryptocurrency system.
How to convert the WBTC token to BTC?
After we understand to some extent what is WBTC digital currency? Let’s see how to convert WBTC digital currency to BTC.
As mentioned above, this digital currency is an ERC-20 token that represents Bitcoin (BTC) in the Ethereum blockchain. The key and main advantage of WBTC digital currency is its integration with the world of Ethereum wallets, Dapps, and smart contracts.
One of the reasons for the creation of the WBTC digital currency was to enable Bitcoin holders to participate in the decentralized financial programs that are popular in Ethereum.
For instance, Using wrapped bitcoin digital currency, 1 Bitcoin equals 1 wrapped Bitcoin and vice versa. This work has a process called Merchant, during which this release is done. At first, a request to release Bitcoin must be issued from the WBTC platform. After the confirmation of 25 Ethereum blocks and the completion of the burned Ethereum transaction by the custodian (support network), in the last step, the Merchant will Bitcoin to the desired wallet.
How much is WBTC worth and what price prediction?
Doubtedly isn’t it bad to see how much WBTC digital currency is worth considering all the points that have been said about this token so far?
Wrapped Bitcoin is a tokenized version of Bitcoin (BTC) that can be implemented on the Ethereum blockchain. This digital currency or wrapped Bitcoin was introduced in October 2018 and officially launched in January 2019.
Hence the price of mentioned crypto at the time of writing is $43,195.78 and has increased by 13.10% in the last 24 hours.
As an illustration, The trading volume of WBTC digital currency in 24 hours is $306,048,655.71.
Chiefly, the programmer listed digital currency at the 17th position and its real market value is $11,323,236,847.37, which showed the amount of increasing by 12.57%.
Its circulating supply is 262,262 WBTC Digital Currency and its maximum supply is not available.
Is the WBTC token supporting BTC?
If we want to know what is the reality of this token? We must say that a large part of the Dapps and Defi ecosystem is based on Ethereum (Ethereum blockchain), which is a disappointing issue for Bitcoin owners. Still, since the launch of this item of digital currency, the programmer resolved the problem. For the same reason, a network of traders and custodians automatically supports WBTC by a Bitcoin with a ratio of 1:1.
This network always ensures that they always linked the price of that to Bitcoin. Afterward, it allows users to transfer liquidity between the Ethereum and Bitcoin networks in a decentralized, truly autonomous manner. And transmits without dependence on a specific organ (autonomous manner). Finally, the WBTC Digital Currency transfers the value of Bitcoin to the Ethereum blockchain.
The point of Wrapped bitcoin cryptocurrency?
Thus, according to studies, investors offered to the business world WBTC digital currency is one of the most attractive digital currencies together in this article.
With its introduction, wrapped bitcoin has solved a big problem for bitcoin owners. It has allowed bitcoin owners to increase their financial participation in different areas. Such as loans and other aspects of Defi decentralized programs. For those who are eager to use bitcoin and Defi programs at the same time. With the emergence of wrapped bitcoin digital currency, this possibility is easily provided to them.
Another point is that this crypto supports Bitcoin. All wallets that support Bitcoin can store wrapped Bitcoin.
The hope that this article has helped you to better understand. Meanwhile, If you need more guidance in this regard and digital currencies or the forex market in general, certainly you can benefit from our free consultation. Could you share your comments and views with us?