By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Gulf PressGulf Press
  • Home
  • Gulf News
    • Saudi Arabia
    • UAE24/7
    • Kuwait
    • Qatar
    • Bahrain
    • Oman
  • World
  • Business
    • Market DataLive
    • Finance
    • Economy
    • Energy
    • Crypto
    • ForexHot
    • Tech
  • Sports
  • Lifestyle
  • Videos
Search
Countries
  • Saudi Arabia
  • UAE
  • Kuwait
  • Qatar
  • Bahrain
  • Oman
More Topics
  • Technology
  • Health
  • Entertainment
  • Crypto
  • Forex
  • Stocks
Site Links
  • Business Hub
  • Trending
  • Weather
  • Customize Interests
  • Bookmarks
  • Newsletter
  • Terms
  • Press Release
  • Advertise
  • Contact
© 2023 Gulf Press. All Rights Reserved.
Reading: DeFi Protocol Threshold Proposes Merger with WBTC to Prevent Takeover by Justin Sun发布
Share
Notification Show More
Recent Saved
Workers in Bucharest face challenges as temperatures rise
World
Dress code guidelines for the Qatari government sector during office hours
Qatar
Court rules in favor of worker after company dismisses him for salary deductions over 6 years, awarding BD 27,000.
Bahrain
UAE to See Almost 30,000 New Millionaires in 5 Years
UAE
Proposed New Labor Law in Bahrain Targets Increasing Job Opportunities
Bahrain
Latest News
UAE Ranks Among Top Rugby Markets on TOD as British & Irish Lions Tour Kicks Off
Sports
Darven: A New Leap in AI-Powered Legal Technology Launching from the UAE to the World
Tech
Beat the Heat This Summer with a Chill Out on Dubai Marina
World
Historic Italian City of Assisi to Host International Exhibition “Jordan: Dawn of Christianity”
World
Jordan to Host Iraq in the Final Round of the Asian World Cup Qualifiers After Securing Historic Spot
Sports
The Myriad Redefines Student Living for a Mobile, Urban Generation
UAE
L’Oréal Paris Welcomes Yasmine Sabri as New Brand Ambassador for the Middle East
Lifestyle
Roland Garros 2025: A New Era of Viewing, A Tribute to Legends, and Moments to Remember
Sports World
Bitget Celebrates Bitcoin Pizza Day by Distributing Over 5000 Pizzas in Over 20 Cities Worldwide
Crypto
Bitget Protection Fund Maintains Strength with $561 Million Average Value in April 2025
Business Crypto
Moscow Metro Marks 90 Years with Technological Advancements and Heritage Events
Lifestyle World
Senkron Digital Showcases CyberPact Service at GISEC Global 2025
Gulf UAE
Muhammad Umair Saeed: The Billionaire Tech Architect Powering AI, Drones, Blockchain & Cybersecurity from Dubai to the World
Business Gulf UAE
Barcelona Aims to Recover from European Heartbreak as They Face Real Madrid in La Liga, Chasing Their Third Title of the Season
Sports
UAE with 47% and Qatar with 36% Surge in Viewing Minutes as TOD Unveils its Enhanced Streaming Experience TOD 2.0
Lifestyle
Aa
Gulf PressGulf Press
Aa
  • Gulf News
  • World
  • Business
  • Entertainment
  • Lifestyle
  • Sports
  • Videos
Search
  • Home
    • Videos
    • Business Hub
    • Trending
  • Gulf
    • Saudi Arabia
    • UAE
    • Kuwait
    • Qatar
    • Bahrain
    • Oman
  • Business
    • Market Data
    • Crypto
    • Economy
    • Energy
    • Finance
    • Forex
    • Tech
  • More News
    • World
    • Lifestyle
    • Entertainment
    • Sports
Have an existing account? Sign In
Follow US
  • Terms
  • Press Release
  • Advertise
  • Contact
© 2023 Gulf Press. All Rights Reserved.
Gulf Press > Business > Crypto > DeFi Protocol Threshold Proposes Merger with WBTC to Prevent Takeover by Justin Sun发布
Crypto

DeFi Protocol Threshold Proposes Merger with WBTC to Prevent Takeover by Justin Sun发布

News Room
Last updated: 2024/08/31 at 4:28 PM
News Room
Share
3 Min Read
SHARE

Threshold, a decentralized finance (DeFi) protocol, has put forward a proposal to merge its Bitcoin wrapper token, tBTC, with Wrapped Bitcoin (WBTC) to prevent a potential takeover by Justin Sun. The proposal, introduced on August 29, aims to protect WBTC following concerns over a possible shift in control of the widely used Bitcoin wrapper. These concerns arose from a recent announcement by BitGo, the custodian managing the Bitcoin reserves backing WBTC, regarding a partnership with BiT Global, a Hong Kong-based cryptocurrency exchange. This partnership involves BiT Global taking partial control of the multisignature wallet holding the Bitcoin reserves for WBTC, sparking fears within the community about potential misappropriation of collateral associated with Sun’s projects.

In response to these concerns, Threshold’s proposal suggests replacing WBTC’s current centralized custody and merchant-based minting and burning model with Threshold’s decentralized custody and permissionless mint/redeem mechanism. By doing so, control of WBTC would be transferred to the Threshold decentralized autonomous organization (DAO), which promises a more secure and transparent management model. This move aims to decentralize WBTC and bring a trustless two-way bridgeable version via tBTC, as highlighted by proponents of the proposal. WBTC is the most popular Bitcoin wrapper token, with a market capitalization of approximately $9 billion, and plays a crucial role in allowing BTC to be utilized in DeFi applications on the Ethereum blockchain.

Under the proposed plan, the DAO would gain full control of WBTC’s minting and redeeming processes, with existing merchants losing their privileges. Additionally, Threshold plans to deprecate its tBTC wrapper, offering tBTC holders the option to redeem their tokens 1:1 for WBTC or native BTC. MakerDAO, a prominent DeFi platform, is also evaluating whether to halt the minting of its DAI stablecoin using WBTC as collateral amidst the restructuring plans. Concerns have been raised about Sun’s involvement in the new WBTC management structure, with fears of potential risks to MakerDAO highlighted by BA Labs. Currently, around 10% of DAI’s token supply is backed by WBTC, and MakerDAO’s vaults hold a significant amount of the token.

Furthermore, with $289.3 million worth of WBTC deposited in SparkLend, accounting for 7% of the protocol’s total value locked, the implications of Sun’s involvement are far-reaching. Sun has addressed concerns about his role in WBTC, clarifying on social media that his involvement is strategic and that he does not control the private keys to WBTC reserves. Threshold’s proposal signifies a push towards decentralization in response to potential centralized control risks, aiming to safeguard WBTC and offer a more transparent and secure management model. It remains to be seen how the DeFi community and involved parties will respond to this proposal and its implications for the broader DeFi ecosystem.

Sign Up For Daily Newsletter

Be keep up! Get the latest breaking news delivered straight to your inbox.
I have read and agree to the terms & conditions
By signing up, you agree to our Terms of Use and acknowledge the data practices in our Privacy Policy. You may unsubscribe at any time.
News Room August 31, 2024
Share this Article
Facebook Twitter Copy Link Print
Previous Article Traffic fines discount period extended by an additional three months, now offering a 50% discount.
Next Article Gold prices fall as US Treasury yields spike, but still post over 2% monthly increase
Leave a comment Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Stay Connected

235.3k Followers Like
69.1k Followers Follow
56.4k Followers Follow
136k Subscribers Subscribe
- Advertisement -
Ad imageAd image

Latest News

UAE Ranks Among Top Rugby Markets on TOD as British & Irish Lions Tour Kicks Off
Sports July 6, 2025
Darven: A New Leap in AI-Powered Legal Technology Launching from the UAE to the World
Tech July 1, 2025
Beat the Heat This Summer with a Chill Out on Dubai Marina
World July 1, 2025
Historic Italian City of Assisi to Host International Exhibition “Jordan: Dawn of Christianity”
World June 28, 2025

You Might also Like

Crypto

Bitget Celebrates Bitcoin Pizza Day by Distributing Over 5000 Pizzas in Over 20 Cities Worldwide

May 22, 2025
BusinessCrypto

Bitget Protection Fund Maintains Strength with $561 Million Average Value in April 2025

May 20, 2025
BusinessCrypto

RWA project FEXSE tokenises $600,000 Jacob & Co. luxury watch on the blockchain

April 14, 2025
BusinessCrypto

Forbes Lists Bitget Amongst The World’s Most Trustworthy Crypto Exchanges

February 1, 2025
BusinessCrypto

Bitget Leverages AI Algorithms for Token Listing with the Launch of Bitget Seed

January 27, 2025
BusinessCrypto

Bitget to List Official TRUMP Meme Token for Spot Trading

January 23, 2025
BusinessCrypto

Bitget LaunchX to Support Jambo’s $5 Million Fundraising for Satellite Launch Program

January 18, 2025
BusinessCrypto

Bitget Unveils Over $5 Billion Worth of BGB Token Burn in New Whitepaper

December 28, 2024
//

Gulf Press is your one-stop website for the latest news and updates about Arabian Gulf and the world, follow us now to get the news that matters to you.

Quick Link

  • Privacy Policy
  • Terms of ue
  • Advertise
  • Contact

How Topics

  • Gulf News
  • International
  • Business
  • Lifestyle

Sign Up for Our Newsletter

Subscribe to our newsletter to get our latest news instantly!

I have read and agree to the terms & conditions
Gulf PressGulf Press
Follow US

© 2023 Gulf Press. All Rights Reserved.

Join Us!

Subscribe to our newsletter and never miss our latest news, podcasts etc..

I have read and agree to the terms & conditions
Zero spam, Unsubscribe at any time.

Removed from reading list

Undo
Welcome Back!

Sign in to your account

Lost your password?