The rising price of Bitcoin has coincided with a surge in migration of BTC to Ethereum’s blockchain.
According to data compiled by Dune Analytics, more than $2 billion worth of Bitcoin is now on the Ethereum network. Ethereum-based Bitcoin accounts for nearly 0.7% of the total 21 million max supply for Bitcoin, and these 150,049 bitcoins are equivalent (at the time of writing) to 4.7% of the market cap of Ethereum.
Investors moving Nitcoin to Ethereum’s blockchain has exploded over the past month, rising from 80,000 BTC ($1 billion) in mid-September, and coincided with a general price rise for cryptoassets.
Wrapped Bitcoin (WBTC) accounts for nearly 80% of the market share, with a market capitalization of $1.6 billion. Users are able to lock Bitcoin into smart contracts on ethereum’s blockchain in exchange for WBTC.
The surge in decentralized finance (DeFi) interest has also led to an increase in Bitcoin investment. Users have invested nearly $11 billion in DeFi contracts, including the use of synthetic Bitcoin, to participate in yield-farming protocols.
