Ethereum traders are not very interested in the wrapped versions of BSV and LTC.
After the success that was HBTC, a Bitcoin wrapped tradable in the Ethereum block chain that currently has almost USD 70 million in BTC, Huobi Global launched the latest models of its „H-token“ series: Litecoin and Bitcoin SV.
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However, traders and developers so far don’t seem to be very interested in them.
First announced in September, the H token series promised to bring a wide range of assets to the Ethereum block chain. Huobi CIO and head of Huobi DeFi Labs, Sharlyn Wu, said in a press release that the offerings would be aimed at empowering the decentralized finance (DeFi) ecosystem with a wide range of collateralized wrapped assets.
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„Huobi’s goal at DeFi is to provide the community with more high-quality assets, to make DeFi more inclusive, to improve the global financial system, and to realize the vision of allowing hundreds of millions of people around the world to truly benefit from the development of DeFi,“ he said.
It remains an open question whether DeFi’s traders and developers have any interest in some of the new assets Huobi is bringing to Ethereum.
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The last two offers have attracted very little attention. HBSV, the wrapped version of Huobi’s Bitcoin SV, was released more than a week ago, but chain metrics show that only 12 wallets have the token, including Huobi’s wallet. The last time an HBSV was transferred, out of 35 transactions in total, was 5 days ago.
Meanwhile, HLTC, the wrapped Litecoin was launched on Friday, has barely 7 holders and 21 transactions in total.
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However, there is a possibility that the interest in wrapped currencies will increase in the future.
Allen Scott, head of Cointelegraph Markets, explained that the lukewarm response to this type of asset could be due to current market conditions:
„Investors may not be willing to hold them, as there is little incentive to hold a ‚wrapped‘ asset whose market capitalization is much smaller than the wrapper itself, in this case Ether. In addition, altcoins have underperformed compared to BTC in recent months“.