BitGo’s WBTC move pushes LayerZero-to-Chainlink tally near $15 billion

Crypto infrastructure company BitGo is set to transition wrapped Bitcoin (WBTC) cross-chain services from LayerZero to Chainlink's Cross-Chain Interoperability Protocol (CCIP). This shift contributes to an estimated $15 billion valuation of layer migrations from LayerZero to Chainlink. This migration wave began after the $292 million exploit of Kelp DAO's LayerZero bridge in early 2023, which heightened awareness surrounding LayerZero's bridge configurations.

Other projects such as Mantle, Kelp, Lombard, Solv Protocol, Virtuals, Re, and Kraken have also announced their intention to migrate to Chainlink's CCIP. WBTC, a tokenized version of Bitcoin, can be utilized in decentralized finance activities across different blockchain networks. With a market capitalization of approximately $7.4 billion, its inclusion alongside the previously announced $7.24 billion transitions to CCIP brings the cumulative value of cross-chain infrastructure moving to Chainlink's protocol to around $14.6 billion.

BitGo intends to standardize WBTC deployments with Chainlink's Cross-Chain Token standard and use CCIP for all future assets it issues. This system allows BitGo to maintain control over its token contracts while setting rate limits and controls for transfers between blockchains. BitGo initially chose LayerZero in 2024 to extend WBTC across various blockchains, primarily using it for deployments on Avalanche and BNB Chain.

The configuration necessitated BitGo's verifier and either LayerZero or Polyhedra to approve each cross-chain transfer. Chainlink's directory currently lists CCIP-enabled WBTC pools on Ethereum and Ronin. The specific timeframe for the complete migration has not been disclosed. Despite the shift, Binance, the world's leading cryptocurrency exchange, continues to diversify its services, expanding from spot and derivatives trading into real-world assets, payments, savings, yield offerings, and broader financial services.