Badger DAO is looking to bring a new kind of Bitcoin asset to Ethereum – eBTC. This introduces an unique way to experiment with Bitcoins on Ethereum since the asset will be backed solely by liquid-staked Ether and smart contracts. The decentralized nature of eBTC means that it doesn’t require bridging or wrapping as opposed to assets such as wBTC, offering censorship resistance and eliminating any custodial risks. Users can borrow eBTC by providing a higher value in staked ETH as collateral and liquidations are possible when the debt position falls below the minimum overcollateralization ratio. Will, the head of marketing of BadgerDAO, explains that the asset is directly trackable by buyers on the blockchain and is almost non-volatile since ETH and BTC share the same pricing trend over time. The organization is currently working with RiskDAO to analyze its exposures to different market conditions and to explore stability mechanisms that will shape the architecture of the asset. All in all, the introduction of eBTC to Ethereum offers users a secure, decentralized and almost non-volatile asset to hold and speculate Bitcoin.



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