Crypto News

Collateral WBTC to DAI increased by 113%

On the Ethereum blockchain created a lot of projects, including decentralized platform DeFi (decentralized Finance), which offers a counterweight to the existing banking sector with its traditional alternative technologies, services and applications established on the basis of protocols with open-source.

The involvement of the DeFi the most marketable asset the Bitcoin the cryptocurrency was due to the need to improve liquidity on its platform MakerDAO.

As a portal between the two ecosystems was adopted stabilin – wrapped Bitcoin (Bitcoin Wrapped (WBTC)) with reference to the BTC at a ratio of 1:1. Standardized format ERC20, WBTC may 3 approved leadership MakerDAO as collateral, and used to generate decentralized stablein Dai (with a soft peg to the dollar 1:1) on the basis of the smart contract.

Prior to the approval of WBTC as collateral for the creation of Dai on the platform MakerDAO DeFi has reserved $ 10 million. On may 4, total amount blocked WBTC accounted for 0.06 percent of the total Dai. For comparison, as collateral Dai was blocked by 87.5 per cent in ETH, 12 percent in USDC, and BAT – 0.4 percent.

f1-may-14.jpg
Source: DeFi Pulse

After deciding on the total number of WBTC WBTC blocked as collateral increased by 113 percent to 2 300 BTC, ie of 21.43 million dollars.

f2-may-14.png 
Source: Skew

The main increase was due to higher spot price of Bitcoin in the last two days.

Out of a total of 835 million dollars locked in the DeFi approximately $ 30 million comes from BTC, which is 3.59 percent of the total collateral.

However, due to the high value of Bitcoin compared to other assets, Bitcoin is important and the prospects for filling DeFi liquidity and resilience to shocks, Dai market volatility.

Source:

cryptofound.com

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