21.co Integrates Chainlink Proof of Reserve for 21BTC

Key Takeaways

21.co has incorporated Chainlink Proof of Reserve for 21BTC on both Solana and Ethereum networks to improve transparency.
With Chainlink Proof of Reserve, the secure minting and real-time verification of Bitcoin reserves for 21BTC is made possible.

21.co has integrated Chainlink Proof of Reserve on Solana and Ethereum mainnets to improve transparency for its Wrapped Bitcoin (21BTC). This initiative automates the verification of reserves in real-time and allows for the secure minting of 21BTC.

“The collaboration between 21Shares and Chainlink is vital in fostering a more secure blockchain infrastructure, and we are delighted to witness 21Shares’ integration of Chainlink Proof of Reserve to bolster 21BTC,” remarked Johann Eid, the Chief Business Officer at Chainlink Labs.

Eid further noted that Proof of Reserve is crucial in facilitating a secure minting process, a significant step towards creating a trustworthy mechanism for tokenizing billions of dollars in assets.

Launched on Solana in May 2024 and extended to Ethereum in September 2024, 21BTC is a native token that is entirely backed 1:1 by Bitcoin reserves held securely in cold storage and institutional custody. Chainlink Proof of Reserve provides on-chain updates regarding the status of these BTC reserves.

“The industry-standard Chainlink Proof of Reserve is essential for ensuring transparency regarding the reserves supporting 21BTC, safeguarding its minting process, and aiding its widespread acceptance within the Solana and Ethereum platforms,” added Eliezer Ndinga, Head of Strategy and Business Development, Digital Assets at 21.co.

Ndinga also emphasized the importance of a secure minting functionality, which assures users that 21BTC is fully backed by Bitcoin at a 1:1 ratio.

This integration comes with numerous advantages, such as programmatic utility, enhanced trust through secure minting, decentralization, and transparency. Users are granted the capability to verify the collateralization of assets independently and in real time.