Wrapped token
Also called: Bridged token, WBTC, WETH
A token on one network that represents a coin from somewhere else, such as WBTC for bitcoin on Ethereum; it's only as good as whoever holds the original.
A wrapped token represents another asset in a form a network can use. WBTC and cbBTC are bitcoin represented as tokens on Ethereum and Base; BTCB is the same idea on BNB Chain. WETH is ETH wrapped as an ERC-20 token so contracts can treat it like any other token.
Two kinds of backing:
- Held by a custodian: the original coins sit with a company (BitGo for WBTC, Coinbase for cbBTC) that issues and redeems the tokens.
- Held by a contract: WETH is backed one-for-one by ETH locked in its own contract.
Either way the wrapped token is a separate asset with its own risk: if the custodian or bridge fails, the token can lose its link to the original. "Bridged" stablecoins such as USDC.e work the same way.
On Valtu
Valtu supports several wrapped coins as separate assets: WBTC and WETH on Ethereum, cbBTC on Base, BTCB on BNB Chain and WETH on Polygon. For bitcoin itself, use BTC on Bitcoin.
Related terms
Keep reading.
More in networks and tokens: Confirmations · Finality · Chain reorganization · Mempool · Block explorer · Testnet · EVM · Smart contract · Token decimals · TRC-20 · BEP-20 · Stablecoin · USDT. The whole glossary.
Put it into practice.
Every workspace starts on testnets with free test coins: same dashboard, same API. Go live when your team is ready.