It came to me while lieing in bed yesterday and thought there might be someone
feeling up to the challenge. So:
- I will not implement this
- someone else (with good reputation in crypto) can make ALOT of money
The idea was to set a automated BTC to bitBTC bridge that makes it easy for the
bitcoin community to get hands on bitBTC. All what follows should work aswell
for the ANY other altcoin that uses EC crypto from the satoshi client.
About the automation:
Assume I'd like to exchange 100 BTC from the bitcoin blockchain to 100 bitBTC
on the bitshares blockchain. A provider can publish a (single) BTC address to
collect bitcoin in exchange for bitBTC. Every single deposit into that address
comes with a bitcoin transaction containing at least one public key
corresponding to a sending address:
My address -> tx with 100 btc and pubkey to my address -> BTC address for exchange
Now that public key can be converted into a public key on the BitShares
network. Thus, the BTC can be used to buy up bitBTC from the market (external
or internal) and the resulting bitBTC can be sent to an address
that corresponds (via TITAN) to the public key from the bitcoin network above.
Hence, I can redeem my bitBTC using the private key of my sender address.
If volume picks up, people might want to move into bitBTC (or bitPTS, bitPPC,
...) quickly. This options enables them to do so by paying a fee of say 3% to
the service provider.
- a (trusted) entity needs to run this
- that entity needs to be liquid on BTC and bitBTC (exchange able)
- a service (server) needs to be coded and audited by the public to run this
- the btc pubkey needs to be converted to btsx pubkey (code exists, needs testing)
So, if you think you can do it profitable, give it a shot. If I had any BTC I'd
be your first costumer