An influential adviser to DeFi lender Sky, formerly known as MakerDAO, now says their concerns have been adequately addressed regarding Tron founder Justin Sun’s involvement in the custody of bitcoin backing the WBTC token.
The matter has been closely followed in crypto markets, since the Sky platform has $200 million of loans collateralized by the token, and since WBTC is one of the biggest cryptocurrencies, with nearly $10 billion outstanding.
The action could impact $200 million of DeFi loans in the Sky ecosystem should the proposal pass.
In this week’s issue of CoinDesk’s newsletter on blockchain technology, we’re covering the drama surrounding “wrapped bitcoin” as Tron founder Justin Sun assumes a custody role, signs of upheaval in the Urbit ecosystem and the rise of dark pools on Ethereum.
Critics of Sun’s involvement don’t understand the operational mechanics, the crypto custodian’s CEO, Mike Belshe, said during an X Space discussion.
Tweets from the crypto exchange and Jesse Pollack, the creator of Base, suggest cbBTC could run on the layer-2 blockchain.