Coinbase Releases Wrapped ADA & LTC on Base
Coinbase, a major crypto exchange, has introduced wrapped versions of Cardano (ADA) and Litecoin (LTC) on its Base network, an Ethereum Layer 2 solution. The new tokens, cbADA and cbLTC, are backed 1:1 by ADA and LTC stored by Coinbase. This innovation allows users to transfer these cryptocurrencies for use in decentralized finance (DeFi) applications on Base, like DEXs and lending platforms. This move follows Coinbase's earlier releases of other wrapped tokens and enhances the interoperability of ADA and LTC for DeFi, boosting their utility in the crypto ecosystem.
FAQ
❓ What are wrapped ADA and LTC?
Wrapped ADA (cbADA) and LTC (cbLTC) are Ethereum-based tokens representing Cardano and Litecoin, designed for DeFi use on the Base network.
❓ How do wrapped tokens enhance cryptocurrency use?
Wrapped tokens allow cryptocurrencies to interact with DeFi platforms, expanding their function beyond their native networks.
❓ Why did Coinbase launch wrapped ADA and LTC?
This launch facilitates the use of Cardano and Litecoin in DeFi, enhancing their versatility and interoperability on Base.