Kraken Launches Wrapped Bitcoin kBTC on Ethereum and OP Mainnet
Hassan, a Cryptonews.com journalist with 6+ years of experience in Web3 journalism, brings deep knowledge across Crypto, Web3 Gaming, NFTs, and Play-to-Earn sectors. His work has appeared in...
Kraken, a leading cryptocurrency exchange, launched its own wrapped bitcoin (BTC) token, known as kBTC, on October 17.
The company revealed that the token will be available on both the Ethereum and Optimism (OP) networks. It will be backed 1:1 with Bitcoin, ensuring BTC reserves fully support its value.
Introducing $kBTC – an ERC-20 token fully backed 1:1 by Bitcoin, held securely by Kraken and always verifiable onchain.
More possibilities.
More functionality.
More transparency.
Let’s take a closer look ⤵️ pic.twitter.com/VammHbyJKm
Kraken’s new ERC-20 token is compatible with networks like Ethereum and OP Mainnet (formerly Optimism), giving Bitcoin greater interoperability in DeFi.
“With kBTC, we’re bringing the power of Bitcoin to new networks, underpinned by Kraken’s decade-long expertise in trust and security,” the exchange said in its statement.
The company said that the bitcoin will be held in a segregated wallet, and the address will be made public, allowing customers to verify that the BTC is fully reserved.
Kraken seeks to use kBTC to solidify Bitcoin’s role as the core of the cryptocurrency ecosystem, which empowers developers to create new use cases for Bitcoin in decentralized finance.
Kraken Financial, a Wyoming-chartered special purpose depository institution, securely holds the Bitcoin backing kBTC.
The exchange has provided an on-chain address where users can verify the reserves backing kBTC. Currently, the custody address holds 100 BTC, split between 80 kBTC on Ethereum and 20 kBTC on OP Mainnet.
Additionally, Kraken has
Read more on cryptonews.com
