A Wrapped Token is a token pegged to the value of another token. The original token is put in a “wrapper”, hence the name “wrapped”, which is a kind of a digital vault so that the wrapped version of the token can be traded on another blockchain. Reason for the creation of wrapped tokens is because some blockchains are not compatible, meaning one token cannot be traded or exchanged on another. Wrapped tokens act as a bridge between those different blockchains. The following coins are included in this category.
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