Coinbase to Add Proof of Reserves to Bitcoin Wrapper cbBTC
To abolish concerns about its transparency, Coinbase plans to add verifiable proof of reserves to its new Bitcoin Wrapper cbBTC. The Coinbase team confirmed the news on Monday, with the PoR allowing cbBTC to rival other Bitcoin wrappers such as Wrapped Bitcoin (WBTC) and 21.co Wrapped Bitcoin (21BTC). The exchange has been working on the verifiable PoR for some time, and it is now one step closer to becoming a reality. “With cbBTC, we’ve planned PoR since the early days and the team is hard at work building it,” Lukas Staniszewski, a product manager at Coinbase, said in a Sept. 23 post on the X platform. Upon the launch of their wrapped Bitcoin product on September 12, Coinbase was criticized for its lack of transparency. This lack of transparency made experts believe it would fall behind rivals WBTC and 21BTC. Furthermore, the exchange was accused of issuing “paper Bitcoin” to BlackRock this month as well. In addition, Tron founder Justin Sun referred to the launch as “Cent...