What Is Wrapped Monero (WXMR)?
Wrapped Monero brings greater liquidity to the Ethereum and DeFi ecosystem. It gives holders of Monero more flexibility to utilize their tokens without having to sell it for Ethereum or stable coins, in order to access the many exciting opportunities in the DeFi space. Additionally, Monero is a cryptocurrency with historically strong privacy features which sometimes is a disadvantage.
When a user obtains Wrapped Monero, it allows them to provide transparency necessary in a world where KYC/AML is increasingly required because has the same transparency as other ERC-20 tokens in the Ethereum blockchain.
Wrapped Monero Storage Key Points
|Coin Name||Wrapped Monero|
|Source Code||Click Here To View Source Code|
|Explorers||Click Here To View Explorers|
|Twitter Page||Click Here To Visit Twitter Group|
|Whitepaper||Click Here To View|
|Official Project Website||Click Here To Visit Project Website|
Minting and Redemption
Wrapped Monero is as simple as depositing XMR to BTSE, then using the “Convert” function on the Wallet screen. To unwrap, you can also use the same “Convert” function. BTSE is the custodian of the Monero backing Wrapped Monero. Due to the strong privacy of Monero, “Proof of Reserves” is more complicated than with open blockchains.
BTSE has been a trusted custodian since 2018 as an exchange, with experience securing many forms of cryptocurrencies and digital assets. With millions in fiat and crypto currencies under custody, BTSE has proven to be safe and reliable. BTSE will maintain the custody of XMR from beginning to end through the minting and redemption process, and will publish regular cryptographic proof of reserves.
Wrapped Monero and BTSE
BTSE is committed to bring users the best in crypto. They believe Wrapped Monero will contribute in a big way to something that was created by us but will extend to the whole DeFi community. They are excited to be part of the innovation and exploration of decentralized finance and to give Monero users the ability to use their coins on the Ethereum network.
When connecting up the BTSE API, you will come across number codes that represents different states or status types in BTSE. The following section provides a list of codes that you are expecting to see. Gets market summary information. If no symbol parameter is sent, then all markets will be retrieved. Venus has been designed to enable community control in its core. Since there are no pre-mines for the team, developers and founders, this means the protocol will be controlled by those who decide to mine Venus Tokens.
The protocol has access to whitelist markets by utilizing the admin function support Market with parameters for address and interest rate models. For an asset to have a functional marketplace, there must be a valid price feed from the Value Oracles alongside a Collateral Factor. Wrapped Monero Every interaction with the protocol will be verified and validated through the Controller smart contract, which validates liquidity and collateral before a function is executed.
The Controller smart contract deployed on Binance Smart Chain is the decentralized version of a processor. This smart-contract creates all the interactions between other associated smart contracts. Wrapped Monero does not negatively support tokens by default. It will rely on specific markets to be whitelisted within the Controller contract.
When a user supplies, borrows, or mints from the Wrapped Monero, they are using an underlying asset to the first bond to vTokens. These underlying assets held as collateral in the platform have dollar values that are tied to the vTokens as well. For this system to work properly, collateral values are pulled from market rates. To pull these market rates efficiently, they will be utilizing Band Oracles to grab market prices and update the protocol on-chain.
Collateral Values are propagated from price feed Oracles, such as Chainlink, which pull market price data and send these values on-chain, so they are transparent and verifiable. Due to the fast speed and architecture of the Binance Smart Chain, these price feeds are easily ascertainable with low cost and high efficiency directly on-chain.
Currently, there is a hurdle of bottleneck issues from oracles, such as Chainlink, which are provided on Ethereum. With rising gas costs and congestion, these pricing oracles are not updating prices as efficiently or economically.