tBTC (TBTC) is a software that allows bitcoin holders to mint tBTC tokens, which are ERC-20 tokens backed 1-to-1 by BTC. This enables bitcoin holders to access decentralized finance (DeFi) applications on the Ethereum blockchain.
tBTC (TBTC) is a decentralized bridge that allows bitcoin holders to use their bitcoin on the Ethereum blockchain, enabling access to decentralized finance (DeFi) applications. Here's how it works:
Minting tBTC Tokens: Bitcoin holders can mint tBTC tokens, which are ERC-20 tokens backed 1-to-1 by BTC. This allows them to use their bitcoin in Ethereum DeFi applications.
Deposit and Redemption: Users can deposit bitcoin into a wallet, which is secured by threshold cryptography. The deposited bitcoin is then reflected on the Ethereum chain. When users want to redeem their bitcoin, the system releases the equivalent amount of bitcoin to the user's specified address.
DeFi Applications: tBTC tokens can be used in various DeFi applications, such as lending, borrowing, and liquidity mining. This allows bitcoin holders to earn interest, secure loans, and generate revenue without having to sell their bitcoin.
Integration with Exchanges: tBTC is supported by several exchanges, including Kraken and Gemini, where users can deposit and manage their tBTC tokens.
Security Model: tBTC's security model is designed to be highly secure and decentralized, using threshold cryptography to protect deposited bitcoin. This ensures that no single entity controls the bitcoin and that users have full control over their assets.
Overall, tBTC provides a secure and decentralized way for bitcoin holders to access Ethereum DeFi applications without having to sell their bitcoin.
To store tBTC (TBTC) tokens, you need a compatible external wallet. Gemini, a global cryptocurrency exchange and custodian, provides custody support for tBTC, allowing you to hold and transfer tBTC tokens with a compatible external wallet.
To buy tBTC (TBTC) tokens, follow these steps:
Choose a Crypto Wallet: Select a reliable crypto wallet that supports tBTC, such as Coinbase Wallet, MetaMask, or TrustWallet. Ensure the wallet is compatible with your preferred payment method and follows your desired policies.
Set Up Your Wallet: Create an account, provide personal information, and set a strong password. Note down your Secret Recovery Phrase or Seed Words carefully for future reference.
Buy Base Currency: Choose a cryptocurrency exchange platform and buy a base currency such as Bitcoin, Ethereum, or Tether. This will be used to trade tBTC.
Transfer Funds to Wallet: Withdraw your base currency to your crypto wallet by providing your wallet address and the amount to transfer.
Select a Decentralized Exchange (DEX): Choose a DEX that supports your wallet, such as Pancake Swap or 1inch. Ensure the exchange supports the wallet you selected.
Connect Wallet to DEX: Connect your wallet to the DEX using your wallet address.
Buy tBTC (TBTC): Select your base currency and tBTC as the coin you want to acquire. Enter the amount you want to trade and complete the transaction.
Check for Smart Contracts: If tBTC is not listed, use bscscan or etherscan to locate the smart contract address and paste it into the DEX to complete the transaction.
Additionally, you can also use centralized exchanges like Kraken, which supports tBTC deposits.