According to TechFlow, on October 18, according to Bitcoin.comNews, the cryptocurrency exchange Kraken officially launched a new wrapped Bitcoin product called KBTC. KBTC is an ERC20 token that is fully backed by Bitcoin 1:1 hosted by Kraken and aims to expand the application of Bitcoin in the decentralized finance (DeFi) ecosystem.
KBTC allows Bitcoin to interact with decentralized applications (dApps) on Ethereum and OP mainnet. Users can independently verify KBTC's Bitcoin support through on-chain reserves to ensure transparency. Kraken said the launch of KBTC will enable Bitcoin to participate in the rapidly growing DeFi field, providing new opportunities for users to use Bitcoin in financial activities such as lending.
Kraken emphasized that KBTC is built on its existing security infrastructure and has undergone rigorous security audits by third-party company Trail of Bits to ensure that user assets are protected in cross-chain applications.
