🔗 Chainlink Oracle Integration

ReserveBTC uses a custom Chainlink External Adapter to relay off-chain Bitcoin reserve proofs into Ethereum smart contracts.

📡 Role of the Oracle

• Acts as a bridge between BTC verification (off-chain) and mint/burn logic (on-chain).
• Ensures the smart contract remains trustless and autonomous.
• Pulls data from ReserveBTC backend and passes it to rBTC-SYNTH contract.

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🧠 Oracle Responsibilities

• Monitor verified BTC addresses from ReserveBTC database.
• Check balances via ElectrumX / Blockstream API every 20 seconds.
• Compare historical balance with current balance.

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🔁 Trigger Events

The Oracle triggers the following smart contract function:

function reportVerifiedBalance(address ethAddress, uint256 amountBtc) external onlyOracle {
  // Mint or burn logic inside
}

• Mint tokens if it’s the user’s first verified BTC deposit.
• Add tokens if BTC amount increases.
• Burn tokens if BTC is withdrawn.

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🛠️ Infrastructure

Component	Description
Chainlink External Adapter	Docker-based API relay from backend to EVM
Supabase	Stores form data and verification states
Node.js Script	Periodically checks BTC reserves
Chainlink Oracle Node	Calls reportVerifiedBalance()

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✅ Trust Model

• Oracle is whitelisted in the contract (onlyOracle modifier).
• Cannot call mint/burn arbitrarily — relies on deterministic BTC state.
• Oracle address is fixed and immutable.

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🛠️ Next:

• Minting Logic
• Burning Mechanism
• Security Checklist

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