cbBTC, Coinbase Wrapped BTC
GM Team,
The big news of the week is Coinbase launching cbBTC, their tokenized BTC, on Ethereum and Base.
This comes after recent announcements from Bitgo regarding changes to the governance structure of wBTC. It seems that Bitgo has fumbled its moat on tokenized BTC, and Coinbase is in a strong position to execute a vampire attack (aka capture market share).
Coinbase is already the custodian for nearly all BTC ETFs, including Blackrock’s iBIT. Their brand is strong, and they have the talent, infrastructure, and technical ability to securely custody large amounts of BTC.
They also have one of the most liquid order books for BTC.
Now, by default, BTC that moves through Coinbase and onto Base or Ethereum will be tokenized as cbBTC and not wBTC.
Onchain liquidity for cbBTC will become dominant over wBTC in short order.
Farm of the Week:
Aerodrome has several heavily incentivized pools with cbBTC.
Good Reads
Sky (prev Maker) is sunsetting support for wBTC vaults. Users should consider unwinding any positions in those vaults.
OpenAI’s o1 Preview and o1 Mini models. Usage is limited so I’m still mostly coding with Sonnet 3.5 + Cursor. This isn’t really directly relevant to crypto, but is another notable increment forward in AI. Despite usage limits, I’ve noticed o1 mini is more capable of larger coding tasks in one go if you take the time to make larger prompts. I treat it with a less “conversational” and more of a “giant detailed prompt” approach.
Rabby introduces Gas Account.
Castle Island Venture’s Stablecoin Research.
Defillama launches cool new feed feature.
Disclaimer: None of this is to be deemed legal or financial advice of any kind. These are the *opinions* of a guy on the internet with a DeFi and IT background.
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