Dolomite Reports $100 Million in BTCcx Collateral via Concrete
Dolomite has about $100 million in Bitcoin-backed BTCcx collateral through Concrete, with Bitcoin held by BitGo and tokens issued on Ethereum. The setup lets Concrete borrow against the collateral without selling the Bitcoin, and only Concrete can issue and use BTCcx on Dolomite. Liquidation would require an offchain custody redemption, adding a settlement step.
Dolomite’s October 19 dashboard recorded about $100.08 million of BTCcx supplied, while Etherscan showed roughly 1,221.15 BTCcx in its margin contract. Those figures reflect collateral, not debt; the borrowed amount was not disclosed, and BTCcx cannot be borrowed under the documented setup.
Concrete issues the Ethereum-based tokens against Bitcoin in BitGo custody and manages the borrowing position. Funds are typically placed in yield strategies that can be unwound for repayment, with partial repayments required if prices fall. The protocol uses a Chainlink feed. A related Concrete asset, WLFIcx, accounted for $108.65 million supplied in the same snapshot.
This structure may affect crypto borrowers and custody-dependent lenders by making Bitcoin-backed credit more accessible without immediate sales, but it could also expose them to custody and settlement delays during liquidations. Broader market participants may see more tokenized collateral tied to offchain reserves, which could influence confidence in DeFi lending if redemption processes prove slow or opaque. Custody providers and regulators may face greater scrutiny as such arrangements grow.