From Bitcoin To Ethereum: $1.5 Billion In BTC Moved To ETH – DeFi Market Boost
The DeFi market seems to be on its way to a massive rebound.
The total no. of BTC locked in DeFi reaches an ATH
It’s been recently revealed that the total number of Bitcoin locked in decentralized finance (DeFi) protocols have reached an all-time high as DeFi markets begin to show strong signs of recovery.
The online publication the Daily Hodl notes that the DeFi analytics platform DeFi Pulse revealed that Bitcoin holders had converted 141,683 BTC worth over $1.5 billion into ERC-20 tokens.
It’s been also highlighted that due to the incompatibility between BTC and ETH blockchains, BTC users have to convert their holdings into ETH-based tokens in order to leverage the capabilities of DeFi platforms.
“A popular choice among Bitcoin holders is to exchange their BTC into wrapped Bitcoin (wBTC) on a 1:1 basis. With wBTC, Bitcoin holders can explore the many advantages of DeFi including the ability to offer up the synthetic token as collateral to earn interest on lending platforms such as Compound (COMP) and Aave (LEND),” the online publication mentioned above noted.
The recent DeFi rally seems to coincide with bigger moves in the crypto space.
The same online publication mentioned crypto analyst Kevin Svenson who had this to say to his Twitter followers:
Even though I’ve been more neutral recently, things (so far) seem more bullish then I expected.
If Global Market keep moving up it will get bullish again
— Kevin Svenson (@KevinSvenson_) October 8, 2020
Cardano vs. Etehreum – DeFi competition
Other than this, Ethereum made headlines recently when it’s been revealed that in a recent interview, Nicolás Arqueros, CTO at Emurgo, made sure to address the extent to which the Cardano blockchain will establish its own DeFi ecosystem in competition with Ethereum.
Andreas Townsend Author
I am a technical writer, author and blogger since 2005. An industry watcher that stays on top of the latest features, extremely passionate about finance news and everything related to crypto.