Yet another stupid headline:
Wrapped Bitcoin supply drops to negative after 11,500 wBTC burn linked to Celsius
How can the supply be negative?
The supply of wrapped Bitcoin (wBTC) dropped to its lowest since May 2021 after the second-largest single-day burn on Feb. 27.
A total of 11,500 wBTC ($260 million) linked to now-bankrupt crypto lender Celsius was burned, turning its growth rate negative. The current total supply of the wrapped token is 164,396 wBTC, with a monthly growth rate of -7.39%.
Ah... "growth rate" negative, not supply. Idiot headline.
There remain some serious issues about the value and security of wrapped tokens.
The market contagion caused by the FTX collapse also depegged wBTC from the original value of BTC. Although the slippage was just about 1.5%, it raised serious concerns about whether such synthetic tokens were a viable mode of value transfer.
WBTC is managed by the decentralized autonomous organization wBTC DAO, which comprises over 30 members.
However, the process of burning wBTC to get back the original BTC does not appear to be fully automated.
That's interesting. How could BitGo refuse the exchange? How was it even possible to still burn the wBTC while leaving the BTC in limbo?
So much in so-called DeFi is not De-centralised at all. It should really be called AlgoFi, or something without the lie of "decentralisation".
interesting
how can one become a merchant for wBTC?
;-)
a closed shop set up as a DAO! lmao
CeFi.
these are not atomic swaps!
worth listening to that part of the conference.
"This project will never be fully decentralised; it will always have a custodian. It was designed that way."
That's always been one way of doing it - permissioned validators.
It works.