SparkLend Raises wBTC Deposit Cap Tenfold to 30,000 in DeFi Expansion
SparkLend has expanded its wBTC deposit cap from 3,000 to 30,000 wBTC effective May 11, 2026, addressing capacity constraints after the initial limit filled rapidly post its March 31 listing. The protocol's automated cap raiser will add 500 wBTC every 12 hours, taking approximately 27 days to hit the new maximum. With TVL at roughly $3.55B in May 2026 (up slightly from $3.6B in April), this boosts Bitcoin-collateralized lending liquidity in the MakerDAO ecosystem, supporting cbBTC and LBTC alongside wBTC. However, it amplifies liquidation risks during BTC price drops and underscores peg and smart contract vulnerabilities.