Sky to Offload WBTC Due to Increased Risks in BitGo Partnership

user avatar

by Giorgi Kostiuk

2 years ago

Made with AI

  1. Offloading WBTC
  2. A Broader Trend
  3. Conclusion


    4. The DeFi platform Sky has begun the phased offloading of its Wrapped Bitcoin (WBTC) collateral following a community vote.

    Offloading WBTC

    The DeFi platform Sky has begun the phased offloading of its Wrapped Bitcoin (WBTC) collateral following a community vote that concluded on September 19. The vote saw 88.17% in favor, with 95,826 MKR tokens pledged for the proposal and no votes against. The phased offloading will begin on October 3 and conclude by November 28, driven by concerns from BA Labs about recent changes in WBTC’s ownership, including a partnership between BitGo and BitGlobal.

    A Broader Trend

    Sky’s decision is part of a broader trend in the DeFi space. On September 18, the platform Aave posted a request for comment on its governance forum regarding its WBTC exposure due to similar concerns about the BitGo and BitGlobal partnership. Aave founder Stani Kulechov clarified that the platform is not offboarding WBTC but is considering a proposal from one of its risk providers to limit the token exposure.

    Conclusion

    Sky's decision to offload WBTC reflects growing caution in the DeFi industry as platforms reassess their collateral strategies. The WBTC market has seen a significant decline, with its market cap dropping to $9.6 billion, nearly 40% down from its peak in November 2021, highlighting market volatility.

    Sky’s decision to offload WBTC demonstrates growing concerns in the DeFi industry about the risks associated with the BitGo partnership and its potential impact on platform stability.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

Justin Sun Prize Launched to Transform Scientific Research

chest

The Justin Sun Prize has been established to redefine scientific rewards in the AI era, offering up to $1 million for breakthroughs in fundamental disciplines and machine formal verification.

user avatarKenji Takahashi

bdautomated Releases Verified AI Agent Statistics for 2026

chest

bdautomated releases a comprehensive dataset on AI agent statistics for 2026, tracing 75 widely quoted figures back to their original sources.

user avatarMaria Fernandez

Korea Blockchain Week 2026 Announces Key Sponsors and Speakers

chest

Korea Blockchain Week 2026 has unveiled its partner lineup, featuring major players in the digital asset industry, including Upbit, 0G, BRV, Stable, Tria, and BitGo. The event will take place in Seoul from September 29 to October 1, 2026, and will host key speakers discussing significant shifts in the digital asset industry.

user avatarGustavo Mendoza

Morgan Stanley's Bitcoin Accumulation Boosts Market Confidence

chest

Morgan Stanley has been actively accumulating Bitcoin through the ETF route, amassing approximately 622 million worth of the cryptocurrency this month.

user avatarRajesh Kumar

Microsoft Opens Public Feedback for AI Code of Conduct

chest

Microsoft is inviting public feedback on its draft Code of Conduct for AI models until late October, aiming to refine guidelines before finalizing them for 2027.

user avatarLuis Flores

Microsoft AI Releases Draft Code of Conduct for AI Models

chest

Microsoft AI has published a draft Code of Conduct outlining the expected behavior and limitations of its AI models, inviting public feedback for six weeks.

user avatarMiguel Rodriguez

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.