Crypto exchange Coinbase has launched its cbBTC token—a wrapped version of Bitcoin (BTC)—on the Ethereum network and its layer-2 scaling network Base. According to the Sept. 12 launch announcement, cbBTC is backed 1:1 with Bitcoin held by Coinbase and has no separate order book or trading pairs on the exchange’s platform. Coinbase’s wrapped Bitcoin works by automatically minting cbBTC at a 1:1 ratio when a user sends Bitcoin to a Base or Ethereum address. The opposite is also true; when a user sends cbBTC to a Coinbase address, the tokenized Bitcoin will automatically convert to standard Bitco…