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Coinbase's cbBTC is now live on 
Ethereum and Base, backed 1:1 by bitcoin held by the exchange.
What's the Scoop?
- DeFi Integration: Users can provide bitcoin as liquidity or as collateral in DeFi protocols, with exchanges like
Aerodrome and Curve supporting cbBTC from launch. - Automatic Conversion:
Bitcoin sent to specific 
Coinbase addresses on Ethereum or 
Base will automatically convert to cbBTC, with a 1:1 conversion back to BTC when returned to Coinbase. - Geographical Availability: cbBTC is available in the U.S., U.K., EEA, Singapore, Australia, and Brazil, excluding New York State.
Bankless Take:
Coinbase’s entry into the wrapped bitcoin market with cbBTC will not only challenge BitGo’s dominant yet distrusted WBTC, but also likely drive more users to Base as the opportunities to put BTC to work, earning more yield, on the L2 increase. This move continues the larger trend of exchanges launching branded derivatives, like Binance and Bybit’s Solana liquid staking tokens, BNSOL and bbSOL. While these initiatives may boost DeFi liquidity, they further embed centralized actors in decentralized environments, raising concerns about the balance of power onchain. Overall, though, given Coinbase’s existing network effect and trusted reputation, cbBTC will most likely be a strong success.
cbBTC is onchain.
— Coinbase 🛡️ (@coinbase) September 12, 2024
cbBTC is an ERC20 token that is backed 1:1 by Bitcoin (BTC) held by Coinbase.
This means millions of BTC holders can now securely access DeFi apps on @base and Ethereum ecosystems—with more chains coming soon.
Here’s what you need to know ↓ pic.twitter.com/nF8mF3JGms
