What to do with wrapped BTC?

When users seek to obtain a loan in cryptocurrencies on DeFi platforms, they often pledge assets as collateral to secure the borrowed funds. wBTC, being a wrapped version of Bitcoin, is a highly valued collateral option due to its stability and recognition within the market.

The process is straightforward: a user deposits wBTC as collateral and in return, receives a specified amount of cryptocurrency from the platform. This borrowed crypto can then be utilized for various purposes, such as trading, investing, or liquidity provision.

Upon successful repayment of the borrowed cryptocurrency, the pledged wBTC is returned to the user. This ensures that the user retains ownership of their assets once the loan obligations have been met.

BTCC, a leading cryptocurrency exchange, offers a range of services that cater to the diverse needs of digital asset enthusiasts. Among its offerings are spot trading, futures trading, and wallet services. These services provide users with comprehensive options for buying, selling, and storing their cryptocurrencies, including wBTC.

wBTC serves a pivotal role in the realm of decentralized finance (DeFi) platforms, particularly as collateral for cryptocurrency loans. This application underscores its utility and versatility within the digital asset ecosystem.