Course Content
Tokenized Bitcoin on Ethereum Explained
Explain Like I'm Five (ELI5) Tokenized Bitcoin is a way to use bitcoin on other blockchains. But wait, isn’t Bitcoin great already? Indeed it is! It has a solid use case, and it already acts as a kind of public good. At the same time, its purposely limited features leave little room for further innovation. What else could we do with Bitcoin? Some Bitcoiners say we shouldn’t do anything in particular, and that’s reasonable. Then again, others believe we should find ways to use Bitcoin on other blockchains. And this is where we arrive at tokenized BTC on Ethereum. Why tokenize Bitcoin? Does this even make sense? How is tokenized Bitcoin created? Can you get your hands on tokenized BTC? Read more below if this interests you.
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Tokenized Bitcoin on Ethereum Explained
About Lesson
Bitcoin is typically viewed as a “reserve asset” or store of value in the cryptocurrency space. As a result, it has the highest adoption, best liquidity, highest average trading volume, and remains the top crypto by market capitalization. In fact, some people believe that there isn’t even a need for any cryptocurrencies other than Bitcoin. Their argument is that Bitcoin could cater to all use cases that altcoins are attempting to.
However, blockchain technology is flourishing in many different segments. The Decentralized Finance (DeFi) movement aims to bring financial applications to the blockchain. These decentralized applications (DApps) run on public, permissionless networks and enable trustless financial transactions without the need for a central coordinating party. While the idea of DeFi is blockchain-agnostic, meaning it could happen on any smart contract platform, most of this activity is happening on Ethereum
Bitcoin is the backbone of the cryptocurrency market, and yet, it can’t take advantage of developments that happen in other parts of the ecosystem. Some projects have been working on solving this problem. 
Is there a way to use bitcoin for more than what it can do while keeping the Bitcoin network intact? Well, the growth of tokenized bitcoin on Ethereum suggests that there is a demand for it.
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