Osmosis Freezes allBTC: How to Check Whether Your Bridged Bitcoin Is Still Backed

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Anyone holding the Bitcoin token allBTC on the Cosmos exchange Osmosis has, since September 9, 2026, owned less Bitcoin on paper than the portfolio display promises. Around 36 percent of the backing stands without real assets behind it, caused by a single one of the five bridge versions that converge in this pooled token, and it applies no matter which version you deposited yourself. This guide shows you how to recalculate your own share, what the announced vote means for you, and how to tell in future whether a token is genuinely backed by Bitcoin. What Happened at Osmosis and Nomic: a Double-Spend Through the Forwarding Logic Nomic operates a blockchain of its own that carries Bitcoin into the Cosmos ecosystem across a bridge. The token issued there is called nBTC and is meant to be backed one to one at all times by real Bitcoin held on the Bitcoin blockchain. A double-spend describes the case in which the same unit of money is spent twice although it exists only once. According to Osmosis, that is exactly what became possible here: a flaw in Nomic's own forwarding mechanism allowed a single deposit to generate multiple vouchers and send them on to Osmosis, where they were exchan...

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