Wrapped-Tokens

List of top Wrapped-Tokens coins by market cap. The current Wrapped-Tokens coin market cap is $9.58B , which has changed by -2.41% in the past 24 hours; the Wrapped-Tokens coin trading volume is $2.99B, which has changed by +0.11% in the past 24 hours. There are 36 cryptocurrencies in the Wrapped-Tokens coin list today.
Wrapped tokens are cryptocurrencies that represent the value of another asset locked on a different blockchain, enabling cross-chain interoperability and liquidity. These tokens are created through a bridging mechanism where the original asset is deposited into a smart contract, and an equivalent wrapped token is minted on the destination blockchain. Common examples include Wrapped Bitcoin (WBTC) on Ethereum, which represents Bitcoin locked in a custodian, and wrapped versions of various tokens across different networks like Polygon, Arbitrum, and Binance Smart Chain. Wrapped tokens maintain a 1:1 peg with their underlying assets and can be redeemed by burning the wrapped token to retrieve the original asset. They play a crucial role in the DeFi ecosystem by allowing users to access liquidity pools, lending protocols, and trading opportunities across multiple blockchains without leaving their native networks. The primary advantages include enhanced liquidity, reduced transaction costs, and improved accessibility to diverse investment opportunities, though they introduce counterparty risk depending on the custodian or bridge protocol managing the locked assets. Wrapped tokens have become essential infrastructure in the multi-chain cryptocurrency landscape.