Today Odin Fun was the subject of black rumors, causing a huge uproar
Interpretation of Odin Fun's security mechanism:
Analysis of BTC ecosystem expansion and Odin's security mechanism
1. The security of Odin and BTC <> ckBTC
The 1:1 exchange between BTC and ckBTC is based on the threshold signature scheme (TSS) technology of #ICP, ensuring high security. Unlike traditional cross-chain bridges, TSS splits the private key and randomly rotates its custody among 12 of the 34 nodes in the #ICP subnet; hackers need to breach 12 nodes within one hour to obtain the private key, which is extremely difficult. Additionally, all nodes are real-name licensed, having been approved by the DAO and the DFINITY Foundation, and are distributed globally, further reducing the risk of malicious actions.
2. Efficiency of deposits and withdrawals and analysis of run risks
The exchange between BTC and ckBTC relies on the Bitcoin mainnet, and the speed of deposits and withdrawals during peak times is inevitably affected by the mainnet speed. However, due to the 1:1 smart contract guarantee, each ckBTC is backed by native BTC, and the private key is protected by TSS, theoretically eliminating acceptance risk. This mechanism is fundamentally different from asset acceptance in centralized exchanges, enhancing the security and transparency of BTC ecosystem asset liquidity.
3. Factional debates within the Bitcoin ecosystem
There are four main viewpoints in the market regarding whether Bitcoin should have an 'ecosystem':
(a) Laser-eye maxi: Opposes a financial ecosystem, advocating that BTC should be stored in cold wallets, rejecting any non-BTC engravings, believing it adds network junk.
(b) Native mainnet, non-financial faction: Accepts the existence of native mainnet tokens but opposes financialization, supporting cultural and collectible attributes, such as Ordinals NFTs.
(c) Native mainnet, financial faction: Supports a variety of tokens and financial activities but requires transactions to occur on mainnet L1, recognizing mainnet assets like $ordi and $sats, but expressing skepticism about sidechains and exchanges deviating from the mainnet.
(d) Expansion solutions (sidechain/L2) faction: Believes the mainnet L1 limitations need to be expanded, supporting technologies like #ICP chain integration, balancing efficiency and decentralization. Current projects such as Odin, Omnity, Liquidium, Tap Protocol, etc., all adopt this technology.
Each viewpoint has its validity, and the diverse products of the BTC ecosystem aim to address different user needs, allowing users to choose and adhere to their beliefs based on their own philosophies.
