Growth is slower than usual since the financial decentralization craze in Q3. According to reports, bitcoins worth $360 million got tokenized in the month of October, which is lesser than the bitcoins worth $737 million which were tokenized in the month of September.
According to bitcoin analyst Ryan Watkins at Messari, the growth slowdown was because of the decline in the profitability of yield-farming.
Watkins confirmed that both the yields of Uniswap farms and Curve(big growth drivers) have declined significantly since peaking in September.
Tokenization Of Bitcoin
Notably, the tokenization rate outpaced the mining insurance rate for straight three months, although the margin of October was lesser than September’s or August’s. Coin Metrics reported that mining of 26.256 Bitcoin took place in October while tokenization of 26,267 bitcoins happened during a similar period.
Wrapped Bitcoin, the largest bitcoin tokenizing project controlling 80% market, minted 26,000 ERC BTC tokens during October. Issuance of 56,000 new Wrapped Bitcoin took place in September.
Smaller bitcoin tokenizing projects also experienced significant growth during October, like tBTC which Thesis launched in September. tBTC’s bitcoin-backed token supply had a value totaling $10 million within a month of it being relaunched.5,000 Bitcoins were burned and minted in a similar period.
Dune Analytics confirmed the total present supply of tokenized bitcoins to be above 152,000 BTC having a value of $2.3 billion, up by 18,000% from January.