# Wrap & Unwrap
### Overview
**Wrap & Unwrap** refers to the process of converting a specific token into its wrapped version, or converting the wrapped token back into its original form. In Swapscanner’s case, **Wrap & Unwrap** is a service that allows users to wrap **GCKAIA** into **wGCKAIA**, or unwrap **wGCKAIA** back into **GCKAIA**.
### Why should GCKAIA be wrapped?
GCKAIA accrues interest in real-time, which results in an increasing balance. Additionally, since it can be exchanged 1:1 with KAIA through the unstaking process, it is easy to track the amount of KAIA you effectively own.
However, due to the characteristic of real-time balance growth, providing GCKAIA liquidity to a typical DEX pool is challenging. It is also difficult to create and manage a pool using GCKAIA as a pair.
To address this issue, wGCKAIA was introduced. Since the balance of wGCKAIA is fixed, it allows you to create and operate pools using wGCKAIA as a pair. Moreover, when you unwrap wGCKAIA, you will receive the equivalent amount of GCKAIA, including all the accrued interest during the holding period.
### **How to Use Wrap & Unwrap**
The process is very simple. Just enter the amount you want to Wrap or Unwrap, and proceed with the transaction.
One important thing to note is that GCKAIA and wGCKAIA are not exchanged at a 1:1 ratio. This is because wGCKAIA, with its fixed supply, must represent the growing balance of GCKAIA, which increases over time. As the amount of GCKAIA increases, the value of wGCKAIA must also rise accordingly. Therefore, the value of wGCKAIA continuously increases, meaning the exchange rate will deviate more from 1:1 over time.
Let me explain with a simple example:
1. You wrap 10 GCKAIA and receive 10 wGCKAIA. At this point, the exchange rate is **1 GCKAIA = 1 wGCKAIA.**
2. After some time, the interest accrual causes the balance of GCKAIA to increase to 11, but the wGCKAIA balance remains at 10. The exchange rate then becomes **1 GCKAIA = 0.91 wGCKAIA,** meaning the value of each wGCKAIA has increased.
3. If even more time passes and the GCKAIA balance grows to 12, the wGCKAIA balance remains at 10, and the new exchange rate is **1 GCKAIA = 0.83 wGCKAIA.**
In summary, while the exchange rate will move away from 1:1 as time goes on, don’t worry! The interest accrued during the time you held wGCKAIA will be fully reflected when you unwrap it, and you’ll receive the corresponding amount of GCKAIA.
### You can also obtain wGCKAIA through swaps.
Just like GCKAIA, wGCKAIA is also integrated with the Navigator, allowing you to easily obtain it or swap it for other tokens.
### **Is wGCKAIA safe?**
The Wrap & Unwrap service has undergone a security audit by HAECHI LABS, a company known for conducting audits for various major projects. No issues were found during the audit.
{% file src="/files/oYJtAFFE9lzHndNpVc7Z" %}
---
# Agent Instructions: Querying This Documentation
If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question.
Perform an HTTP GET request on the current page URL with the `ask` query parameter:
```
GET https://docs.swapscanner.io/english/service/wrap.md?ask=
```
The question should be specific, self-contained, and written in natural language.
The response will contain a direct answer to the question and relevant excerpts and sources from the documentation.
Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.