TechFlow News, October 18 — According to Bitcoin.comNews, cryptocurrency exchange Kraken has officially launched KBTC, a new wrapped Bitcoin product. KBTC is an ERC20 token fully backed 1:1 by Bitcoin held in custody by Kraken, designed to expand Bitcoin's utility within the decentralized finance (DeFi) ecosystem.
KBTC enables Bitcoin to interact with decentralized applications (dApps) on the Ethereum and OP mainnets. Users can independently verify the Bitcoin backing of KBTC through on-chain reserves, ensuring transparency. Kraken stated that the launch of KBTC will allow Bitcoin to participate in the rapidly growing DeFi space, creating new opportunities for users to leverage Bitcoin in financial activities such as lending.
Kraken emphasized that KBTC is built on its existing secure infrastructure and has undergone rigorous security audits by third-party firm Trail of Bits to safeguard user assets in cross-chain applications.
