CHF to WBTC: Convert Swiss Franc to Wrapped Bitcoin instantly

You can buy Wrapped Bitcoin (WBTC) with Swiss Franc (CHF) on cryptocurrency exchanges that support this pair. The process typically involves creating an account, completing verification, and depositing CHF via a Swiss bank transfer (SEPA) or using a credit/debit card. Once your account is funded, you can execute a trade for WBTC.

Bitcoin (BTC) operates on its own blockchain. Wrapped Bitcoin (WBTC) is an ERC-20 token that represents BTC on the Ethereum blockchain. This 'wrapping' process makes BTC compatible with Ethereum's smart contracts, dApps, and DeFi protocols, enabling use cases like lending and liquidity provision that are not native to the Bitcoin network.

Security differs. Holding BTC gives you direct control over your keys on the Bitcoin network. Holding WBTC introduces custodian risk, as the underlying BTC is held by a centralized entity. However, the WBTC initiative maintains a proof of reserve system for transparency, and you must also secure your Ethereum wallet where the WBTC is stored.

To sell Wrapped Bitcoin (WBTC) for CHF, you would use a cryptocurrency exchange. You'll need to place a sell order for your WBTC to convert it into CHF. After the sale, you can withdraw the Swiss Francs from the exchange directly to your linked Swiss bank account.

The primary use case for Wrapped Bitcoin (WBTC) is to deploy Bitcoin's value in the DeFi ecosystem. This includes using it as collateral to borrow other digital assets on platforms like Aave or Compound, providing liquidity to decentralized exchanges (DEXs) like Uniswap to earn fees, and participating in yield farming strategies.

The 1:1 peg is maintained by a network of custodians and merchants. Users can 'mint' new WBTC by depositing BTC with a merchant, who then coordinates with a custodian to lock the BTC and issue the equivalent WBTC. Conversely, users can 'burn' WBTC to redeem their underlying BTC, ensuring the circulating supply of WBTC matches the locked BTC reserves.

In Switzerland, Wrapped Bitcoin (WBTC) is treated as a digital asset, similar to other cryptocurrencies. Transactions and holdings are subject to regulations set by the Swiss Financial Market Supervisory Authority (FINMA). Gains may be subject to wealth or income tax depending on your canton and whether you are classified as a private or professional trader. It's advisable to consult a Swiss tax professional.

Yes, you can exchange WBTC for BTC. This can be done through the official 'unwrapping' or 'burning' process via a WBTC merchant, which redeems the underlying BTC. Alternatively, many centralized and decentralized exchanges offer direct trading pairs between Wrapped Bitcoin (WBTC) and Bitcoin (BTC), providing a simpler method for swapping between the two assets.