With more than half a billion dollars worth BTC already tokenized, Messari believes that projects bringing Bitcoin to DeFi will emerge as leaders of the crypto sector.
Crypto analytics firm Messari estimates that $500 million worth of Bitcoin (BTC) has been tokenized on the Ethereum network for use in decentralized finance (DeFi) protocols.
The firm's latest report points out however that this figure represents just 0.3% of Bitcoin’s $216 billion market cap, meaning there is ample opportunity for projects that facilitate the migration of Bitcoin onto Ethereum, to capture significant value.
According to DeFi Pulse, popular Bitcoin tokenization protocols WrappedBTC (WBTC) and RenVM are the ninth and 10th largest DeFi projects by locked funds, with $453 million and $232.4 million respectively.
Ren has seen an explosion in use over the past month, with the value of funds locked in the protocol gaining nearly 470%, from $40.9 million at the start of August.