Wrapped Bitcoin has risen sharply over the past month

The value and quantity of tokenized Bitcoins on the Ethereum blockchain have increased sharply since mid-May.

AlongAccording to CoinGecko, WBTC ranks 26th in the cryptocurrency ranking. The market capitalization of the coin has almost reached a billion dollars - $997 952 282.

Wrapped Bitcoin – A relatively new concept that effectively brings BTC to the Ethereum blockchain. One of the main use cases for WBTC – decentralized finance.

RenBTC, another tokenized bitcoin that launched in mid-May, is currently in second place, with just over 1,000 tokens ($ 268.7 million) on Ethereum.

Third, fourth and fifth places are taken by HBTC,imBTC and sBTC, which account for 710 ($ 51.6 million), 608 ($ 16.6 million) and 512 ($ 25.3 million) tokenized bitcoins, respectively.

Market segmentation is distributed accordingly: WBTC – 73.1%. renBTC has 19.1%, the third HBTC has 3.77%.

One of the main reasons for the growth in the number ofof tokenized BTC is likely related to the rise of Decentralized Finance (DeFi) applications. Despite the decline, BTC lacks the DeFi infrastructure that allows Ethereum token holders to receive passive returns. Bitcoin holders are turning to WBTC to leverage their assets in the fast-growing DeFi market.

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