WBTC is shrouded in mystery. How does BitGo explain it?

Author: Feng Liu, Source: Author Twitter @fishkiller

The launch of WBTC is one of the most important symbolic events in the gestation period before the Ethereum DeFi ecosystem bursts with great vitality.

It was the coldest time in the market in the second half of 2018. BitGo jointly launched WBTC with the DeFi protocol, which was still in its infancy at the time but had begun to show vitality. A good way to introduce BTC assets into the Ethereum ecosystem.

The situation has changed drastically now.

Simply put, BitGo brought WBTC to Justin Sun's door:

Those precious Bitcoins that need to be locked to mint WBTC will have an additional custodian service provider in the future - a company called BiT Global from Hong Kong.

The point is: BiT Global is a joint venture between BitGo and Justin Sun.

As for the question, is BiT Global reliable?

BigGo announced that BiT Global is a "TCSP (Trust or Company Service Provider)" licensed company in Hong Kong, which seems quite scary. . . However, does the TCSP license have any value? . .

Anyway, the data I saw is: this license was launched in 2018, and as of September 2020, more than 7,300 licenses have been issued. . .

Taste it yourself.

By the way, the information I saw is that BiT Global was incorporated on August 9, 2023. There was also important news that month:

BitGo had previously canceled its acquisition agreement with Galaxy Ditigal because it failed to produce audit reports on time, and failed to win the lawsuit, so it had to suspend its acquisition of Prime Trust, and They laid off employees, cut costs, looked for money to save themselves, and finally announced in August 2023 that they had raised US$100 million.

BitGo in 2023 When the financing was announced in August, it was shy and did not announce who were the investors in this round.

Later it was reported that some of the new investors were from Asia. Looking at it now, it is very likely that Brother Sun had already gotten involved in BitGo at that time.

This is just a guess. BitGo is a centralized custodian and WBTC is a centralized synthetic asset. I think BitGo has the responsibility to explain these arrangements clearly, otherwise...