Wrapped Bitcoin Project Sees 18% Redemption of Circulating Supply in 54 Days

Statistics amusement implicit the people of 54 days, the fig of wrapped bitcoin (WBTC) hosted connected the Ethereum web has decreased by 40,156. This equates to a much than 18% redemption of the circulating proviso of WBTC since Nov. 27, 2022.

WBTC Remains Largest Operation successful Terms of Bitcoin Custody Despite Recent Redemptions

The Bitgo-backed Wrapped Bitcoin (WBTC) task has been officially successful cognition since the extremity of January 2019 and has grown importantly since its launch. At the clip of writing, it is the largest cognition successful presumption of the fig of bitcoin (BTC) custodied to backmost the WBTC token value.

On January 20, 2023, WBTC is the 19th largest crypto plus by marketplace capitalization, valued astatine $21,278 per unit. WBTC’s marketplace valuation connected Friday day Eastern Time was astir $3.8 billion. According to the project’s website and transparency dashboard, astatine 3:00 p.m. Eastern Time connected Jan. 20, 2023, determination were astir 180,197 WBTC successful circulation connected the Ethereum chain.

Wrapped Bitcoin’s transparency dashboard connected Friday astatine 3:00 p.m. Eastern Time connected Jan. 20, 2023.

The task besides manages 99.89 WBTC which is hosted connected the Tron blockchain network. The stash of ERC20-based WBTC tokens is substantially little than it was 54 days agone connected Nov. 27, 2022, erstwhile 220,353 WBTC ($16.4K per BTC) was circulating connected the Ethereum blockchain network. Ten months prior, connected Feb. 26, 2022, the fig of WBTC successful circulation was astir 262,662 ($39.4K per BTC).

That means implicit the past 10 months, 31.39% of the WBTC successful circulation was removed from the wide supply. More than fractional of that percentage, oregon 18.22%, of the WBTC proviso was redeemed implicit the past 54 days, oregon 40,156 WBTC total, since Nov. 27, 2022.

While WBTC is the largest wrapped mentation of bitcoin, Lido’s staking token STETH, a derivative of Ethereum, is the largest synthetic mentation of a apical crypto plus successful presumption of marketplace capitalization. STETH, however, does run otherwise than Bitgo’s absorption of simply holding the BTC for the fixed magnitude issued.

While there’s 180,197 WBTC successful circulation today, there’s astir 180,205 BTC backing the WBTC proviso successful Bitgo’s custody, according to the website’s dashboard. The supplies of wrapped oregon synthetic BTC tokens person followed the aforesaid inclination arsenic stablecoins, arsenic the stablecoin system has seen billions successful redemptions implicit the past year.

What bash you deliberation astir the WBTC task seeing an 18% redemption of the circulating proviso implicit the past 54 days? Share your thoughts astir this taxable successful the comments conception below.

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