I think things like LBTC and WBTC are what make the crypto market so cool, BTC is not going to change shit, it does what it does. Eth is more like a sandbox for experimentation, BTC provides the collateral and they can build various de-fi options and experiment.
The best ideas I feel will eventually be absorbed into things like Liquid and Lightning network. While LN continues to grow as more nodes come online focusing on just payments for now, ETH will provide use cases to improve it once is fully operational.