Same goes for reverse trade! user willing to go from evm to BITCOIN needs to convert his Assets to oBTC and upon locking oBTC on evm! Xythum gives user requrired BTC on bitcoin chain
In theory All these steps happen in background and all these steps are abstracted for the user all he would see is 1 BTC → 10 ETH in matter of seconds (BUT SINCE EVERYTHIN IS OPEN SOURCES A USER WHO HAS KNOWLEDGE OF WHAT THEY ARE DOING CAN INSPECT TRADES PAUSE AND MUTATE AS THEY REQUIRED)
A user who believes in BITCOIN price action and growth can hold they BTC on evm via oBTC in trustless decentralized manner, benefiting not just Bitcoin price Asset benefits rather the host Chains functionality
A user willing who has a use case for HIGH frequency low latency Bitcoin transfers among entities can always opt for holding oBTC on maybe SOLANA chain do they work and bridge it back to bitcoin when they are done!!
(ITS ALL UP TO USER WHAT HE CAN DO WITH oBTC) but xythum never enforces nor encourages to hold oBTC in initial stages for its BUSSINESS EXECUTION purposes
Why does xythum opt for oBtc? when u have Wbtc and other synthetics in market?
There are lot of Synthetics in market so far claiming for 1:1 peg with bitcoin! But whats the truth?
Wbtc is market leader but Bitgo has total authority over it! they can mint when ever they want without proper BITCOIN backing! and thats what was happening
Xythum wants a security synthetic asset as a middlemen for its trades and hence we have oBTC derived from xythums decentralized security
a token which is open to public! maintained by decentralized nodes and trustless
As a protocol we have more compact integration with oBTC into our ecosystem
When does Xythum uses oBTC ?
We use oBTC as a form of transfer of value!
oBTC is exact bitcoin representation of BITCOIN on other chains! which is first half of our trades
Hence
when the trade is between BTC ASSET to any other asset on any other chain! we would need oBTC!!
unless its bitcoin Derivates like Lightning or Bitcoin L2s where simple atomic swap could be enough! ( Totally architecture dependent | proper conclusions will be made once chain architecture totally explored | )
Does Obtc need BD ????
No in the initial steps. Xythum has a huge ambitious roadmap so we wouldnt focus on marketing on oBTC until we have decent protocol expansion!
we are done with protocol expansion! user engagement to a decent level! we will reveal our trump cards ( oBTC, Cross chain Thum layer, Xythum Wallet, Decentralized OrderBook (Custom Layer1) Strategic partnerships and much more)
What are future plans for oBTC ?
Up on decent protocol expansion of xythum! we will focus on oBTC! here is how would like to take it
Goal is to create a environment where user would ne incentivized to hold to use it accross exisitng projects in evm
this could bring two benifits to xythum
More oBTC holders and more oBTC tvl
More bitcoin bridging through xythum to and fro
Build easy to use simple UI which integrates with exisitng Dapps which allows users convenient way to spend oBTC
BRIDGE and LEND feature
user will be given a simple list of actions in our xythum.io/actions page
actions is a single click process where user bridges they bitcoin converts to oBTC and lends it at AAVE ,PENDLE, NOTIONAL and so on in a single click
Bridge and Farm (yearn , uniswap etc )
Bridge and Trade ( perpetual trading ) dydx , gmx
Defi Index integration
Prediction market using bitcoin
Other partnerships
(RWA products,
subscription payment via oBTC and so on which are currently relying on btc can now support oBTC ,
insurance pools and so on ,
NFT partner ships)
User can stake oBTC to run a xythum Node along with thum token ( I need to think more on this )