There Is Over 12 Times More Bitcoin On Ethereum Than Bitcoin’s Own Lightning Network
Quick Take
- Nearly $109 million in Bitcoin tokenized on the Ethereum blockchain.
- Bitcoin’s own Lightning Network only holds $9 million worth of Bitcoin.
Bitcoin’s influence continues to increase as the total value of tokenized Bitcoin on the Ethereum blockchain skyrockets via tokens such as Wrapped Bitcoin (WBTC) and renBTC. Through these tokens, users can lock up actual Bitcoin in exchange for a token representing that Bitcoin.
According to btconethereum.com, the total Bitcoin on Ethereum has crossed $109 million, with Wrapped Bitcoin (WBTC) accounting for the majority of the tokenized Bitcoin.
Wrapped Bitcoin & Lightning Network
With nearly $81 million, Wrapped Bitcoin (WBTC) accounts for the largest portion of tokenized Bitcoin on Ethereum. WBTC works in the form of an ERC20 token that operates on the Ethereum blockchain. One Bitcoin can be traded for one WBTC token and vice versa.
Wrapped Bitcoin has seen a surge in recent months, spiking in June. Wrapped Bitcoin’s rise was reported on previously by The Crypto Associate.
However, Bitcoin’s own Lightning Network is struggling to keep up with the rise of tokenized Bitcoin. The Bitcoin Lightning Network is one of the proposed solutions to Bitcoin’s scaling problem. Despite being in development for several years the Lightning Network is struggling to gain mass adoption. At the time of press, only $9 million worth of Bitcoin is in the Lightning Network.
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