WBTC on Tron Drops Proof-of-Reserves After Justin Sun Partnership Deal

Keep Your Bitcoin Private: The Ultimate Guide to Converting BTC to WBTC on Tron Network

  • WBTC on tron removed from official dashboard despite August 2023 partnership announcement.
  • Real-time proof-of-reserves for WBTC on Tron no longer publicly accessible.
  • Dashboard continues to display WBTC versions on Ethereum, Base, Kava, and Osmosis.
  • Sun-owned Poloniex’s BTC on Tron product operates without disclosed backing.
  • BitGo and associated parties remain silent on removal of transparency features.

WBTC Removes Transparency Features for Tron-Based Tokens Following Justin Sun Partnership

BitGo’s Wrapped Bitcoin (WBTC) has quietly removed proof-of-reserve tracking for its Tron-based tokens, contradicting earlier promises of transparency following its August 2023 partnership with Justin Sun and the Tron ecosystem.

- Advertisement -

Transparency Concerns Surface

The WBTC dashboard no longer displays information for WBTC or WETH tokens on the Tron network, while maintaining visibility for other blockchain networks including Ethereum, Base, Kava, and Osmosis. This change comes despite BitGo’s earlier commitment to maintaining “real-time proof-of-reserves” through the partnership.

An analysis of on-chain data shows the supply of WBTC on Tron remains stable, but investors can no longer verify the Bitcoin collateral meant to back these tokens.

Market Impact and Related Developments

The removal of transparency features aligns WBTC on Tron with Sun’s other ventures:

  • Poloniex’s BTC on Tron product operates without transparent backing
  • The Poloniex product exceeds WBTC on Tron’s size by approximately 1,000 times
  • HTX, advised by Sun, recently redeemed thousands of previously undisclosed WBTC

The situation raises questions about WBTC’s continued marketing claims of being “Completely transparent. 100% verifiable.” BitGo, BiT Global, WBTC, and Justin Sun have not responded to requests for comment regarding the removal of these transparency features.

For retail investors, this development highlights the importance of verifying the backing of wrapped tokens, which are designed to represent Bitcoin on other blockchain networks through a 1:1 backing ratio.

✅ Follow BITNEWSBOT on Facebook, LinkedIn, X.com, and Google News for instant updates.

Previous Articles:

- Advertisement -

Latest

Bitcoin Surges Past $100,000, Eyes Record High Near $109,000

Bitcoin surged above $100,000, marking its highest point since early February. Price movement follows the announcement of a U.S.-U.K. trade deal and optimism about future...

US-UK Trade Deal Sets New Terms While Maintaining Base Tariffs

The US-UK trade deal maintains 10% base tariffs but eliminates 25% steel and aluminum tariffs, creating a free trade zone for these metals.British car...

Steak ‘n Shake to Accept Bitcoin at All US Locations Starting May 16

Steak ‘n Shake will start accepting Bitcoin as payment at all U.S. locations beginning May 16. The move marks one of the first...

Illinois Senate Advances Bill to Regulate Crypto Kiosks Statewide

Illinois lawmakers are advancing a bill to regulate operators of virtual currency kiosks. The proposed law would put these kiosks under the authority of the...

Bitcoin Tops $104,000 as Bullish Index, Trade Deal Boost Sentiment

Bitcoin surpassed $104,000, marking its highest price since January and reflecting strong bullish sentiment.Recent rallies were fueled by an optimistic Bitcoin sentiment index, a...

Must Read

How to Check The Rarity of An NFT

Whenever you invest in an NFT collection, you might have noticed that some NFTs are more expensive than others. NFT collections are often made...