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    What to do about Bitcoin on Ethereum?

    tBTC has grown ~1,800 BTC in supply as BitGo's wrapped WBTC has fallen by about 3,500 BTC year to date.

    Nonetheless, BitGo's wrapped BTC regulary faciliates 100x+ the daily swap volume of tBTC. (Note the Log Scale)

    Context

    • As BitGo prepares to change the custody of WBTC into a multi-jurisdictional system with an industry shaking, yet-to-be determined relationship with Justin Sun & Tron- decentralized alternatives for BTC on Ethereum are in short supply.

    • Avalanche has its 8-Warden based BTC.b but Ethereum has primarily threshold network's tBTC which uses an honest-majority of 100 nodes to manage BTC on Ethereum.

    • Past attempts to bring Bitcoin onto Ethereum have struggled:

      • renBTC was purchased by Alameda Research in 2021 and failed/shut down in 2022.

      • BadgerDAO's DIGG token rebased itself to peg to BTC's price, but ultimately failed as peg incentives ran out and the DAO gave up on the rebasing concept.

        • A spin-out of badgerDAO is attempting to create eBTC, an overcollateralized token backed by ETH and staked ETH.

    The Log Scale Rule

    Anytime you use a log scale to compare values on a chart, you should also provide the raw values on the same Y axis.

    tBTC is growing, but has a way to go before it takes wBTC's place in DeFi.

    Disclaimer: Flipside AI is here to help but it can make mistakes. Always review outputs and use the upvote/downvote buttons to help us improve. This content is not financial advice.