Market analysis reveals that the number of Bitcoin on the Ethereum network hit over the $1.497 billion mark. As per the Dune Analytics Dashboard, these figures are equal to 3.6% of the Ethereum total market cap.
Wrapped Bitcoin, an ERC20 token pegged by bitcoin at a 1:1 ratio, is the most famous synthetic Bitcoin as it stands at the top spot by holding 70% of the market share, renBTc comes second by holding 20% of the market share. Users are converting Bitcoin to Ethereum in order to participate in various decentralized finance( DeFi) protocols. As more than 90% of DeFi platforms are built on the top of the Ethereum blockchain, users need to utilize Ethereum based tokens to make the most of DeFi boom.
Despite the sharp price downturn from several leading DeFi protocols in recent weeks, the excitement ignited by the launch of reward incentives and yield farming continues to expand as the total value locked in DeFi smart contracts surge to $10.80 billion, ten times higher since June 2020.
More Bitcoins On The Ethereum Network Than Bitcoin’s Own Lighting Network
According to the most recent analysis, the Ethereum blockchain has more distribution of BTCs than Bitcoin’s own special Lightning Network. $1.5 billion figure is almost 130x the amount of Lightning Network.
Lightning Network is layer 2 technology for bitcoin that employs small payment channels to enhance the blockchain ability to manage direct transactions. LN separates transactions from the main blockchain allowing the platform to achieve its goal to decongest bitcoin and minimize transaction fees. On DeFi Pulse, it is the only DeFi platform built on Bitcoin Blockchain.