Kraken Launches a Wrapped Bitcoin Token
Kraken has released its own version of wrapped Bitcoin on Ethereum and OP Mainnet as it competes with other alternative options.
Named kBTC, this cross-network ERC-20 token is fully backed by an equivalent amount of Bitcoin held at Kraken Financial, a Special Purpose Depository Institution in Wyoming.
The exchange also provided an onchain address for the reserves, allowing users to verify the backing of kBTC on their own.
Currently, there are 100 BTC ($6.7 million) in reserves, which corresponds to a supply of 80 kBTC on Ethereum and 20 kBTC on OP Mainnet.
The wrapped Bitcoin has been audited by Trail of Bits and can be used in various decentralized applications on Ethereum and OP Mainnet.
Kraken also plans to expand its compatibility to other networks, including those outside the Ethereum Virtual Machine ecosystem.
