O4DX Bridge
What is BRC20 Bridge?
The BRC20 Bridge is a top-notch solution for effortlessly moving BRC-20 tokens between the BTC native chain and the Ethereum chain. This user-friendly and open approach guarantees secure transfers of any BRC-20 token across various chains, opening up new possibilities and widening the accessibility of BRC-20 tokens.
OrangeDX Bridge stands tall in the realm of blockchain bridges, opening up a seamless pathway for BRC-20 tokens to traverse between the native Bitcoin chain and the vibrant EVM chains. This solution empowers users to effortlessly and securely transfer any BRC-20 token across multiple chains, unleashing exciting possibilities and amplifying the impact of BRC-20 assets.
Bridge from BRC20 to EVM
The process of transferring assets from BRC-20 to EVM involves a structured series of steps to ensure the integrity and security of the transfer. Users are required to initiate the process by effecting an initial transfer from their Taproot BTC or other BRC20-supported wallet to a designated lock address. Subsequently, a waiting period ensues, during which the transfer undergoes a confirmation process, with about 6 confirmations for validation.
Once the transfer to lock address is confirmed, users can commence the withdrawal process for EVM tokens. At this important step, users need to sign twice, first with their BRC-20 wallet that initiated the initial transfer, followed by a signature with the EVM wallet designated to receive the tokens. The confluence of these signatures is a critical security measure to ensure the legitimacy of the transaction. Here the user will interact with the bridge, and the lock smart contract will transfer EVM token to the user's EVM address.
Bridge from BRC20 to Non- EVM
The process of transferring assets from BRC-20 to Non- EVM is initiated by the user initiating a transfer from their Taproot BTC wallet to the specified lock address in the similar process like above. The token is then wrapped into a compatible format for the target chain, which are non EVM such as Solana, Injective, SEI etc. Then the transfer is initiated through the O4DX bridge and the process follows as same as the BRC20 to EVM chain. User must wait for the transfer to be confirmed on both the BRC20 and Non-EVM chain. After the transfer is complete, the users can then redeem their tokens by interacting with a smart contract and then claim their token in the new format
Bridge from EVM to BRC20
The process of transferring assets from EVM to BRC-20 is initiated by the user providing their EVM details and specifying a Bitcoin (BTC) address for receiving the corresponding BRC-20 tokens to the Bridge smart contract. Following the completion of the transaction, Subsequently, the user interacts with the OrangeDX bridge, which is designed for seamless asset transfers. During this interaction, the user is required to provide a BTC address. the user will sign the withdrawal request using their Ethereum Virtual Machine (EVM) address.
Security Factors/Considerations
Use of Multisig wallets: Requires multiple private keys to authorize and execute a transaction. Instead of being controlled by a single user and a single private key, a multisig wallet involves the collaboration of multiple users, each possessing their own private key.
Wrapped tokens: ERC20 tokens will be in wrapped tokens which is more secure due to the involvement of a custodian or a smart contract that manages the wrapping and unwrapping processes.
Use of Oracles to validate Bitcoin transactions.
Custom indexers: on the Bitcoin side to validate the Bitcoin transactions.
Running a dedicated full Bitcoin node.
Use of temporary escrow wallets as security measures. In the future, the OrangeDX bridge will expand its integration beyond EVM chains to include non-EVM chains such as Solana, the Cosmos ecosystem, and Layer 2 Bitcoin chains. This expansion will enable seamless interoperability and asset transfers across a broader range of blockchain ecosystems, enhancing connectivity and accessibility for users.
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