Wrapped Bitcoin (WBTC), a tokenized version of Bitcoin on Ethereum, has completed the transition to a multi-jurisdiction custody structure.

New Custody Structure

Control of the underlying Bitcoin will now be shared between Singapore, Hong Kong, and the United States. This was enabled by a partnership agreement between BitGo and BiT Global. The new custody structure uses a multisignature agreement that requires two signatures to approve any transaction and shift funds from the wallet.

Sky Community Reaction

Sky, formerly known as Maker, proposed removing WBTC as a collateral asset due to the alleged involvement of Justin Sun in the project. Following a governance vote on September 19, 88% of the participants supported this proposal.

User Concerns

Although the new custody arrangement hasn't affected how Wrapped Bitcoin operates for users, the announcement has raised concerns among some users about Justin Sun's involvement in the project.

The transition to Wrapped Bitcoin's new custody method is complete, yet there are still some community concerns that need to be addressed.