Crossing Chains: Wrapped ETH, now available on Celo
Wrapped ETH, the native cryptocurrency of the Ethereum network, is now live on the Celo blockchain! Celo users all throughout the world can now trade and hodl ETH, and use it to interact with DeFi platforms and other dapps across the entire Celo ecosystem. All Wrapped ETH on Celo (cETH) is fully collateralized and backed 1:1 with ETH using a qualified custodian. Ethereum is the second largest cryptocurrency by market capitalization on Earth, next to Bitcoin, which also recently launched on Celo (cBTC).
“The introduction of wrapped Ethereum in the Celo Ecosystem, combines the power of Ethereum with Celo’s native mobile first blockchain to bring cETH to over 5B smartphone users around the world. We’re thrilled to partner with Tokensoft to help make ETH more accessible to real world users.”
— Xochitl Cazador, Ecosystem, Celo Foundation.
Celo’s aim is to empower anyone with a smartphone anywhere in the world to have access to financial services, send money to phone numbers, and pay merchants — on a decentralized platform that is operated by a community of users. Celo is a Proof-of-Stake(PoS) blockchain. In comparison to Proof-of-Work (PoW) systems like Bitcoin and Ethereum, this results in a much, much lower environmental impact and means that users can also make transactions that are cheaper and faster, while also incorporating the benefits of being decentralized.
The Celo network is extremely fast and is focused on providing the simplest possible experience for end-users, especially for those who may have little to no familiarity with cryptocurrencies.
Wrapped ETH (cETH) is now tradable on Ubeswap
Wrapped ETH is tradable right now, starting today, on Ubeswap, under the ticker symbol cETH! Ubeswap is a decentralized exchange (DEX) and automated market maker (AMM) protocol for Celo assets, and a mobile compatible fork of Uniswap running on the Celo blockchain.
“Ubeswap is excited to work with wrapped.com to bring Ether to the Celo community. Bringing Ether to Celo will allow our users to get exposure to the largest DeFi blockchain in crypto.”
— Ian Macalinao, lead developer of Ubeswap
Farming of Wrapped ETH starts later today
Later today, liquidity providers can start farming with up to 50% yield or more in Ubeswap’s mcUSD/cETH pool.
mcUSD is a yield bearing version of cUSD made possible by Moola Market, a non-custodial money market protocol built on the Celo blockchain. The price of mcUSD/cETH, is designed to follow the price of USDC/ETH.
“Moola market is excited for the launch of wrapped Ether (cETH) on the Celo network because it provides a bridge between the Ethereum and Celo communities, it enables ETH to be securely transferred to any mobile phone number in the world, and it brings an additional form of ultra-sound money to Celo.”
— Patrick Baron, Founder of Moola Market
Those interested in becoming a liquidity provider (LP) should register now. Pools are a way to provide liquidity, or the ability to trade, between two different tokens on Ubeswap. They allow users to get exposure to the price of two tokens while earning trading fees on their tokens.
Staking tokens in a pool gives users a token called a liquidity provider token, or LP token for short. These LP tokens are important, as they can be used to provide loan collateral, to earn rewards when yield farming, like in this case with mcUSD/cETH.
“The Celo team is pioneering the space with their mobile-first protocol and innovative PoS blockchain consensus mechanism, while at the same time supporting wrapped assets that allow for users around the world to interact with some of the well-known digital assets like Bitcoin and Ethereum. We’re very excited to be supporting Celo on these efforts.”
— Mason Borda, CEO of Tokensoft
More about Celo
Celo is a mobile-first, open-source ecosystem of technologies, organizations and individuals that all share a common mission of building a financial system that creates the conditions for prosperity for everyone. The Celo ecosystem includes a decentralized, Proof-of-Stake blockchain technology stack (Celo Platform), a native asset (CELO), two stablecoins (cUSD and cEUR) and the Celo Foundation’s Alliance for Prosperity, with over 140 organizations around the world, including Andreessen Horowitz, Anchorage, Deutsche Telekom, Coinbase, GSMA, Mercy Corps, Grameen Foundation, Prosegur, Abra, and cLabs, a service organization dedicated to growing and developing the Celo ecosystem. For more information on Celo, please visit celo.org.
More about Wrapped
Wrapped lets investors use their digital assets to lend, borrow, and trade on all major DeFi platforms. Each wrapped asset is fully-collateralized and held with a qualified custodian. Learn more by visiting wrapped.com.
Frequently asked questions
What is cETH?
cETH is Wrapped ETH. cETH is fully backed 1:1 with ETH at a qualified custodian.
What is Ubeswap?
Ubeswap is a mobile compatible fork of Uniswap running on the Celo blockchain.
How do I use Ubeswap?
To use Ubeswap, first download and set up the Valora wallet. You can then purchase Celo Dollars (cUSD) on the Valora app. Once you have some CELO or cUSD to trade, log on to app.ubeswap.org with Safari (on iOS) or any browser on Android. If you’re on a desktop computer, you can use either MetaMask or a Ledger Nano (recommended) to trade.
Is Ubeswap open source?
How do I get cUSD?
This can be done in the Valora wallet.
How do I convert cUSD to mcUSD?
This can be done on Ubeswap’s Swap page.
How do I purchase cETH?
Assuming you have a sufficient balance of mcUSD, this can also be done on Ubeswap’s Swap page.
How to convert ETH into cETH?
Are you ready to get wrapped up in something?
Past performance is no guarantee of future results. If purchasing Wrapped ETH (cETH), the price should be similar to ETH as cETH has the exact same economic characteristics of ETH. As a result, the price of cETH should track ETH most of the time. Be aware, however, because the market for cETH is different from ETH, there may be times where the price of cETH does not converge with ETH.
This material is for informational purposes only and is (i) not an offer or solicitation to invest in or buy or sell interests of shares or to otherwise participate in any investment or trading strategy, (ii) not intended to provide accounting information, legal advice, or tax advice or investment recommendations or (iii) not a statement of any kind from Wrapped as to the future performance of any digital asset, financial instrument, or other market or economic measure.
When wrapping or unwrapping, the transaction size is determined by calculating the size of the wrapping or unwrapping transaction when converted to USD as described in more detail at www.wrapped.com. The conversion to USD will occur in reference to the price of the underlying wrapped asset publicly available at www.cryptocompare.com (as primary source) or www.coingecko.com (as secondary source if price is unavailable from primary source) at the time a quote is received requesting the wrapping or unwrapping of the underlying asset.
The information is believed to be current as of the date indicated within these materials. Please consult your own advisers and perform your own due diligence before making any investment decision. Wrapped and/or related entities may have financial interests in or connected with some of the entities and/or publications discussed or mentioned in the material. Certain links provided in the materials are provided for your convenience and do not imply endorsement by Wrapped or related third-party sites or their content.