🧾 ReserveBTC Protocol White Paper
A non-custodial standard for BTC reserves. DeFi access without compromise.
🔍 Abstract
ReserveBTC introduces a trust-minimized mechanism for publicly verifying Bitcoin reserves without requiring the BTC to ever leave the owner's wallet. This protocol bridges the Bitcoin ecosystem with Ethereum-based DeFi — enabling BTC holders to access DeFi utility, prove ownership, and enhance credibility, all while maintaining self-custody.
🔐 Core Philosophy
Your Bitcoin. Your Wallet. Our Proof.
The foundation of ReserveBTC is simple: BTC should remain under full control of its owner — always. We do not wrap, bridge, or require deposit. Instead, we verify on-chain ownership using cryptographic proofs and monitoring oracles.
🧱 System Overview
-
User registers via ReserveBTC with:
- A BTC address (SegWit, Taproot, or Nested)
- An ETH address for token issuance
- Public social or website metadata (optional)
-
Checksum Challenge is generated:
- A unique small BTC amount (e.g. 0.00001234 BTC)
- Sent to a unique ReserveBTC-generated address
-
Oracle & Merkle Verification:
- Oracle observes Bitcoin chain for the checksum match
- Proof of ownership is stored and anchored on-chain via Merkle root
-
Issuance of rBTC-SYNTH:
- 1:1 rBTC-SYNTH minted to the user's ETH address
- Non-transferable (soulbound)
- Burned automatically if BTC is withdrawn
-
DeFi & Web Use Cases:
-
Use rBTC-SYNTH as:
- Proof-of-Reserve badge on a website
- Gated access token for governance or yield
- Reputation signal for DAOs and protocols
-
🪙 Token Characteristics: rBTC-SYNTH
| Attribute | Value |
|---|---|
| Transferable | ❌ No (Soulbound) |
| Backed by BTC? | ✅ Yes, cryptographically verified |
| Mint Conditions | ✅ On checksum confirmation |
| Burn Conditions | ✅ On BTC withdrawal (auto-oracle) |
| Smart Contract | ✅ Immutable, no owner, no upgrade |
🔎 Why Not Wrapping?
Wrapped BTC systems rely on custodians or bridges — both vulnerable to:
- Hacks
- Exit scams
- Regulatory freeze
ReserveBTC avoids these risks by proving BTC ownership without requiring asset movement.
“Don’t move your Bitcoin. Move your rights.”
🏛️ DAO & Reputation Use
rBTC-SYNTH tokens are:
-
Fully transparent and public
-
Non-transferable (anti-Sybil)
-
Ideal for:
- Governance voting weight
- Whitelisted DAO proposals
- Human-verified farming pools
⚙️ Tech Stack Summary
| Layer | Technology |
|---|---|
| Frontend | Next.js + Tailwind |
| Verification | Bitcoin UTXO oracle |
| On-chain Mapping | Merkle root on Ethereum |
| Token | Solidity (Soulbound ERC) |
| Backend | Supabase (PostgreSQL) |
📜 Licensing & Governance
- Open-source under MIT
- No central admin rights
- Governance roadmap: Snapshot + Soulbound voting
🛠️ Next:
rBTC-SYNTH = BTC-powered reputation, without losing custody.