- Synthetify adds RenBTC as a collateral
- RenBTC can be used to mint xUSD
RenBTC is an ERC-20 token created on the Ethereum network and is tied to the Bitcoin currency. Because each RENBTC may always be exchanged for one Bitcoin, the value of each RENBTC tends to be maintained at or around the current Bitcoin market pricing. In addition, RenBTC is issued on the Ren platform. This open protocol allows anybody with an internet connection to access inter-blockchain liquidity, hence assisting in transferring assets from other blockchains to Ethereum decentralized applications (DApps). Bitcoin (BTC), Bitcoin Cash (BCH), and Zcash (ZEC) are the three most popular cryptocurrencies supported (ZEC).
In terms of competition, the renBTC token is a direct competitor to Wrapped Bitcoin (wBTC). The procedure of creating the token is quite basic, and users need to transfer their Bitcoin to RenVM, which then protects the asset and mints an equivalent amount of renBTC tokens on the Ethereum blockchain.
Instead of relying on any liquidation mechanisms to ensure that it remains pegged to the value of Bitcoin, unlike other Bitcoin-backed tokens, renBTC is based on a direct supply peg, which means that there is always enough BTC in reserve to cover the circulating renBTC supply, unlike other Bitcoin-backed tokens.
The Collaboration With Synthetify
Ren Protocol announced on its official Twitter account that it was happy to announce that Synthetify has added RenBTC as a collateral asset, which can be used to mint xUSD.
— Ren (@renprotocol) October 22, 2021
Synthetify aspires to bring together all present and future DeFi apps under a single ecosystem that can be controlled in a decentralized manner, avoiding the need for unneeded segmentation. Users will benefit from this method since it will allow for faster development and a more efficient market. This is sure to expand the use cases for RenBTC.
Looking Into The Future With RenBTC
The Ren Protocol has come up with a lot of innovations and one of the notable ones is the RenVM. It has been one year since the introduction of RenVM, and what a year it has been thus far!
RenVM has outperformed all expectations, and the community could not be more pleased with its performance over the past year, and, more significantly, with its tremendous impact on the blockchain ecosystem as a result. After years of development, the creators can confidently state that interoperability had truly taken shape in 2020 and is now developing in 2021, in large part as a result of the introduction of the RenVM virtual machine (VM).
The developers are in the process of putting in place the infrastructure that will allow the users of the token to live in a more connected world. RenBTC’s current price is $60,574.79, and it has a 24-hour trading volume of $107,524,613,523. It is currently ranked #97 on CoinMarketCap, with a market capitalization of $2,508,297,633,631.