Wrapped BTC ( WBTC) is an ERC -20 token that represents bitcoin. One WBTC stands for One bitcoin (BTC) that represents the value of bitcoin in form of an Ethereum token. WBTC is an Ethereum token that was designed to bring increased liquidity in Defi Dapps Bitcoin can be converted into WBTC anytime and holders can earn interest by lending their WBTC in the Defi platforms. What is WBTC? WBTC stands for Wrapped bitcoin which represents Value of 1 bitcoin in forms of an Ethereum ERC -20 Token. WBTC stands for Wrapped bitcoin that represents the value of One bitcoin. Price of WBTC and BTC are equal. BTC can be converted into WBTC anytime and can be done same in case of WBTC. Being a Ethereum ERC -20 token makes it more faster than real Bitcoin and helps to move faster between Ethereum wallets. WBTC helps to bring more liquidity in the Defi platforms. Who invented WBTC? Wrapped bitcoin or WBTC was first launched on Ethereum mainnet in January 2019. Wrapped BTC was brought as a collaborative project between major players in Defi. WBTC managed by a group of organization working under Defi to bring more better financial services such as kyber, bitgo, ren, dharma, compound and makerDao foundation. What's so special? Many popular Defi platforms on Ethereum requires use of collateral. Products such as Compound and MakerDao requires users to lock their crypto assets in order to borrow other crypto assets. The overall value on Ethereum is smaller than Bitcoin it limit the growth of Defi dapp platforms and protocols. By brining in bitcoin in the ecosystem it gives a mass boost in the Defi dapp platfroms and create more collateral options. By using WBTC users can enjoy more liquidity and ability to earn interest on their bitcoin under Ethereum ecosystem. What else is different here? Since there is a gap between two block chain (Bitcoin & Ethereum) the chains can't natively talk to each other. Compared to Bitcoin, Wrapped Bitcoin will never have the same amount of trust and security same as the real bitcoin. To bring people in the system and built trust WBTC goes under regular audits and publishes all on chain transaction and verification for both Ethereum and Bitcoin networks. People can independently verify how much Bitcoin was sent to the Wrapped BTC address thru bitcoin block chain. They will be also able to check and verify the transaction with the created WBTC address which in built on Ethereum block chain. How are WBTC are produced? Members of WBTC foundation decide on the major updates for the Wrapped bitcoin protocol and platform. Users who have Bitcoin (BTC) and want to convert it into Wrapped Bitcoin (WBTC) much interact with the merchants. Merchants on the platform completes the process of burning or minting WBTC tokens by verifying users identity Custodians hold the real bitcoin and do the wrapping process by minting or burning the WBTC When WBTC is burned real bitcoin is returned to the user from the custodians custody and when Wrapped BTC is minted real Btc is taken from the custodians custody. Where can i buy WBTC? Wrapped Bitcoin is an Ethereum ERC -20 token which is available to trade on decentralized exchange platfroms. You can buy them from Kyber, Uniswap, Dharma, Gopax, Airswap and Ren. What can you do with WBTC? You can borrow or lend your Bitcoin in form of Wrapped Bitcoin ( WBTC) using compound and earn interest. Future of WBTC ( Wrapped Bitcoin) The future of WBTC depends on the developers how they plan to use it and what type of dapps they are willing to built with it. As an ERC - 20 WBTC became another big name in the Defi protocol with liquidity of Bitcoin and Defi of Ethereum future of WBTC is bright