What You Need to Know:

• Coinbase has launched wrapped tokens for XRP and Dogecoin on its Base layer-2 platform, creating new opportunities within decentralized finance (DeFi).
• The new tokens, named cbXRP and cbDOGE, are backed 1:1 by the native cryptocurrencies, facilitating seamless transactions within the Base platform.
• The market capitalization for wrapped XRP soared past $5 million within 24 hours, while wrapped Dogecoin is approaching $2 million.

Crypto investors now have access to decentralized finance (DeFi) opportunities for holding XRP and Dogecoin through Coinbase’s Base blockchain. According to the exchange, wrapped versions of these cryptocurrencies—cbXRP and cbDOGE—are officially available for trading.

These wrapped tokens are secured by an equivalent amount of XRP and Dogecoin maintained in custody by Coinbase, promoting ease of transfer in the crypto ecosystem.

To read the original article, visit CoinDesk.

Wrapped tokens allow access to original assets within environments that might not otherwise support them, enhancing compatibility with Base’s DeFi applications. This interoperability facilitates efficient transactions and enables asset holders to earn additional yields on their investments.