Many investors are paying more attention to them as Bitcoin and many other cryptocurrencies are surged to new highest highs, but remain volatile under the new White House administration.
As of March 2025, one wrapped bitcoin amounted to $87,784.15. That shows the big profits last year. It’s far more than the top returns from stocks, bonds, real estate and precious metals.
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But what is Wrapped Bitcoin (WBTC)? This is a simple breakdown:
This is a conversion version of Bitcoin that can be used in Ethereum-based platforms and their growing network of decentralized applications.
The current market capitalization is $11.3 billion.
The transaction volume is $209.9 million and there is approximately 129,100 distribution supplies.
If you invested $1,000 when it first launched, what is it worth today? When considering this crypto investment, keep the following in mind:
The wrapped Bitcoin was first released on January 31, 2019. The price of one Bitcoin that day was around $3,460.
This means $1,000 purchased 0.289 lap Bitcoin. Today, that amount of Bitcoin – wrapped or not – is worth around $25,270.
Put another way, wrapped Bitcoin has risen 2,537% since late January 2019. Due to context, the S&P 500 rose by around 120% over the same period.
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Wrapped Bitcoin is fixed at Bitcoin’s value, but uses different underlying technology platforms.
Bitcoin uses its proprietary blockchain technology to record transaction history. Many owners buy and hold it not as a currency for trading, but as a storage for long-term value. Blockchain technology keeps it decentralized and secure, at least to a certain extent, a wallet or crypto exchange.
The wrapped bitcoin is actually a token of the Ethereum Decentralized Finance (DEFI) network. This allows you to easily buy and sell and otherwise interact with other digital assets on the Defi network, such as other cryptocurrencies and eerie tokens (NFTs). The DEFI network includes the entire ecosystem for protocols such as Dharma, Makerdao, Compound, and Kyber Network.
Technically, WBTC is “Stablecoin”. In other words, it is a cryptocurrency supported by another currency. In this case, each WBTC coin is backed by an equal amount of Bitcoin, trusted by custodians such as BITGO.
Investors can purchase wrapped Bitcoin through decentralized exchanges such as Coinbase and Binance.