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Wrapped Ethereum, also known as WETH, symbol $WETH, is an ether (ETH) backed ERC-20 token or “wrapped token”, that is held and transferred on Ethereum and other blockchains.
A wrapped token is worth 1-to-1 with the underlying currency or token that backs it.
In the case of WETH, 1 $WETH is worth 1 $ETH because they are convertible 1-to-1 in both directions.
Why is WETH necessary?
As ETH is the native currency of the Ethereum blockchain and the ERC-20 token standard was created after, but now all dapps are compatible with the ERC-20 standard, then it is necessary to convert $ETH to $WETH to be able to use ETH efficiently with the majority of dapps.
How does WETH work?
1. To convert from $ETH to $WETH users may send their ETH to a smart contract that converts $ETH into $WETH.
2. Then, all sorts of dapps may be used with the $WETH token. These include NFT auctions, liquidity pools, decentralized exchanges, lending dapps, borrowing dapps, and collateralized stablecoins amongst others.
3. When users want their ETH back they can convert back from $WETH to $ETH by sending the WETH to the ERC-20 smart contract. When the smart contract receives the WETH it will redeem or destroy it and return the corresponding ETH to the user.
Does Emerald support WETH?
Yes, Emerald supports Wrapped Ethereum.
To use it click the WETH converter icon:
Then, convert from ETH to WETH:
And then convert from WETH to ETH:
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Please remember to download Emerald here: