Binance Token Canal issues Wrapped BTokens on Ethereum

Binance has announced the issuance of wrapped tokens on Ethereum through its Token Canal program. According to the announcement the first batch of tokens to be wrapped into ERC20 tokens on Ethereum will be Bitcoin [BTC], Polkadot [DOT], Filecoin [FIL], and WazirX [WRX].

“BTC, DOT, FIL and WRX will be the first batch of tokens to be wrapped into ERC20 tokens on Ethereum, as BBTC, BDOT, BFIL, and BWRX respectively. Deposits and withdrawals for these tokens are now enabled.”

Binance has been introducing a range of trading products to meet the demands of its customers and bring more interest to its platform. Earlier in September 2020, Binance introduced project Token Canal, which was similar to many existing ‘wrapped coins’ in the community. Binance.com will issue and bind more token in Binance Chain and Binance Smart Chain, while ensuring the conversion from and to the original tokens, noted the release.

Here the BTokens were noting but ERC20 tokens on the Ethereum network created by the Binance Token Canal program. The exchange will lock a part of the token on its native chains and mint the same number of tokens are ERC20 tokens on Ethreum. These tokens will be terms as BTokens like BBTC. Binance has enured the safety of the assets by using its SAFU fund and with security and risk control measures.

With the launch of BTokens Binance has introduced its Wrapped crypto-asset version and will be facilitating the conversion of these tokens outside of Binance.com in the near future. This would help the users with swapping between chains faster, however, Ethereum fees still are looked at as a problem by the users.

The CEO of Binance, Changpeng Zhao tweeted:

Nevertheless, as the exchange adds more tokens to this list, the community will get more options to choose from.