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UISTEPS (1)

Below steps describe how orders are executed in xythum Labs

"experience trustless decentralized darkpool based bridging"

To illustrate the process, we'll follow Alice, a Bitcoin holder who wishes to transfer her assets to the Ethereum chain. This example demonstrates the swap of Bitcoin (BTC) to Sepolia Ethereum.

Step-by-Step Process​

  1. Initiation: Alice navigates to xythu.io/swap to begin the swap process.
  2. Asset Selection: She selects the respective chains (Bitcoin and Ethereum) and enters the amount of satoshis (SATS) she wishes to swap.
  3. Wallet Connection: Alice connects her Ethereum wallet, which Xythum's backend uses to uniquely identify users.
  4. Swap Initiation: Upon clicking the swap button, Alice creates an order in Xythum's backend.
  5. Deposit Channel Generation: The system generates a unique deposit channel address for Alice.
  6. Specialized Deposit Channel: This deposit channel possesses a special property: Alice can deposit funds, but only Xythum can spend them, ensuring security and trust in the process.
  7. Bitcoin Transfer: Alice sends the requested Bitcoin (in SATS) to the provided deposit channel, initiating the swap.
  8. Backend Processing: Xythum's backend detects the deposit and mints the equivalent amount of oBTC (optimized Bitcoin) on the Ethereum chain for Alice.
  9. Completion: The swap concludes, and Alice now possesses freshly minted, secure oBTC on the Ethereum chain, ready for use across various DeFi platforms.