- Thesis raises USD 7.7 million to launch tBTC Bitcoin DeFi solution
Thesis, which developed the Keep Protocol, has raised USD 7.7 million from Paradigm Capital, Fenbushi Capital, and Collaborative Funds in order to launch tBTC, which will bring Bitcoin (BTC) to the Decentralized Finance (DeFi) world.
DeFi platforms typically work on top of the Ethereum blockchain, and therefore tokens used on these platforms have to be Ethereum tokens. This means that Bitcoin cannot be sent directly into a DeFi platform. This is solved by tBTC. Essentially, users can deposit Bitcoin into a smart contract, and then will receive the equivalent amount of tokens in their Ethereum wallet. The tBTC is fully collateralized at all times via smart contract technology, and redeemable at any time.
Other Ethereum tokens which are equivalent to Bitcoin have been launched in the past, including Wrapped Bitcoin, imToken’s imBTC, and Synthetix’s sBTC. The reason that tBTC is more promising than these other previous projects is that it is fully redeemable at any time via blockchain technology, and therefore it might ultimately be the catalyst for really bringing Bitcoin into the DeFi sector.
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