Celsius, the leading global cryptocurrency lending and borrowing platform, announced today that it will soon offer Bitcoin as a wrapped asset through CelsiusX, the company’s DeFi arm. The wrapping process allows an asset from one blockchain to be used on another, increasing the asset’s liquidity and interoperability.
Wrapped crypto tokens are cryptocurrencies pegged to the value of another crypto, or an asset such as stocks or commodities. Celsius says that the wrapping process allows an asset from one blockchain to be used on another, increasing liquidity and offering users a new avenue to rack up returns
cxBTC will be launched on the Polygon network. In February, Celsius launched wrapped assets for Cardano (cxADA), Ethereum (cxETH) and Doge (cxDOGE), also on Polygon.
“As we build a bridge between the worlds of CeFi and DeFi, there’s no plank more important than Bitcoin,” said Celsius CEO Alex Mashinksy.
“CelsiusX makes crypto assets interoperable so that retail customers and institutions can freely move their assets across blockchain ecosystems,” said Carl Hua, Chief Architect for CelsiusX. “We believe everyone should be able to use their assets on the blockchains of their choice.”
The cxBTC offering uses the state-of-the-art Chainlink Proof of Reserve architecture for transparency and accountability. All wrapped assets offered by CelsiusX support real time conversion between the native and wrapped assets, free of charge.
“Amid the volatility in the global economy, Bitcoin stands squarely in the spotlight,” said Hua. “cxBTC brings us closer to an interoperable, cross-chain world for the king of crypto – Bitcoin.”