Article Summary, Automatically Generated By AI
Summary of teleBTC
- teleBTC is a decentralized wrapped Bitcoin asset on Polygon.
- It’s powered by the TeleportDAO bridge, a light-client bridge between Bitcoin and Polygon.
- Each teleBTC is backed by 1 native BTC + 1.3 BTC value of MATIC.
- teleBTC enables users to utilize their BTC within the Polygon ecosystem.
- TeleSwap is a decentralized exchange for BTC, allowing users to exchange their BTC for other assets on Polygon.
- Security techniques: custodians lock up collateral and their Bitcoin activity is monitored on the Polygon blockchain through a smart contract.
- Users can mint teleBTC by sending BTC to a custodian’s Bitcoin address and submitting proof
About TeleBTC: Pioneering the Future of Bitcoin-Based Financial Services
Introducing teleBTC, a fully decentralized wrapped Bitcoin asset on Polygon, empowered by the TeleportDAO bridge, a cutting-edge light-client bridge seamlessly connecting Bitcoin and Polygon. This innovative solution enables users to effortlessly transfer their BTC back and forth between Bitcoin and Polygon, eliminating the need for centralized intermediaries. Each teleBTC is collateralized by 1 native BTC, supplemented by an additional 1.3 BTC value of MATIC, ensuring an exceptionally secure wrapped asset. By leveraging teleBTC, users can unlock the full potential of their BTC within the Polygon ecosystem. Furthermore, we have developed TeleSwap, a decentralized exchange specifically designed for BTC, allowing users to seamlessly exchange their BTC for other assets on Polygon by first wrapping their BTC to teleBTC.
To ensure the utmost security, the protocol employs a dual-layered approach: it mandates that custodians lock up collateral and, through a smart contract, meticulously monitors their Bitcoin transactions on the Polygon blockchain. By sending BTC to a custodian’s Bitcoin address and submitting proof of payment to the Polygon contract, users can mint teleBTC. Conversely, users can initiate a burning request on the smart contract, thereby burning their teleBTC and receiving their BTC back on the Bitcoin blockchain. The TeleportDAO bridge provides seamless access to the comprehensive data of the Bitcoin blockchain on Polygon, thereby enabling the meticulous monitoring of custodian activity.