21.co, the parent company of cryptocurrency exchange-traded product (ETP) issuer 21Shares, has integrated Chainlink Proof-of-Reserve to enhance transparency of wrapped Bitcoin.
According to a press release on September 23, 21.co will be leveraging Chainlink’s (LINK) Proof of Reserves service on Solana (SOL) and Ethereum (ETH) mainnets. This integration aims to increase reserves transparency for 21.co’s wrapped bitcoin, 21BTC.
21.co monitors on-chain reserve transparency for 21BTC.
21BTC is scheduled to launch on Solana in May 2024 and on Ethereum in early September 2024.
The tokens are backed 1:1 by BTC reserves held in cold storage and institutional vaults. Chainlink services broadcast the reserves on-chain for users to verify.
According to a press release, 21.co will be using PoR via the company’s digital asset management platform, Onyx. This collaboration will give users access to real-time verification of their 21BTC reserves. Proof of Reserves will also enhance user and asset security during the minting process.
Yohan Eid, Chief Business Officer at Chainlink Labs, noted that secure mining is a step towards the growth of tokenization.
Beyond transparency, the partnership with Chainlink strengthens 21BTC’s overall decentralization across the Ethereum and Solana chains.
This is in line with the broader push in the cryptocurrency industry towards decentralized ecosystems, focusing on areas such as real-world assets, decentralized finance, global trade, and gaming.