Symbiosis: Simplifying BTC cross-chain to create a new solution for Decentralization of asset flow.

BTC cross-chain technology has always been a hot topic in the blockchain field, and recently a method called Symbiosis has attracted attention in the industry. Compared to existing BTC wrapping solutions like WBTC and tBTC, Symbiosis offers a more convenient way for ordinary users to easily convert native BTC into assets on other chains. The working principle of this innovative method is worth our in-depth discussion.

The cross-chain process of Symbiosis mainly includes four key steps:

First, when a user initiates a cross-chain transaction, the BTC Forwarder component in the system begins to take action. It acts as a monitor, closely observing the Bitcoin network, waiting for the user to transfer BTC to the specified address. Once the transfer is detected as successful, the BTC Forwarder will send a signal to the system to initiate the next phase of operations.

Secondly, the Relayers network takes over the subsequent work. This network acts as a coordinator, responsible for transmitting information and maintaining synchronization of operations between different Blockchains. It ensures that the BTC to be cross-chain is properly locked and notifies the target chain that the BTC is in place, allowing for the next operation to proceed.

Thirdly, due to the inherent characteristics of the Bitcoin network that cannot be directly altered, Symbiosis employs a clever method to handle cross-chain assets. The native BTC is not directly transferred to the target chain, but is locked in a "vault" managed by the Relayers network on the Bitcoin network. Meanwhile, a wrapped asset called syBTC will be minted on the target chain.

Finally, on the target chain, syBTC can be exchanged for the target assets required by the user. Although the current supported trading volume is still relatively small, this mechanism lays the foundation for future expansion.

Overall, the implementation of Symbiosis seems complex, but is relatively simple. It is based on a lock-issue logic, but its locking method leans more towards decentralization. This project targets a very vertical niche market, aiming to support an increasing number of blockchains and asset types, providing a more convenient way for BTC liquidity in a multi-chain ecosystem.

It is worth noting that the project has garnered the favor of several well-known institutions, with a financing amount of $2 million. The core concept of Symbiosis is "to activate more BTC," which aligns closely with the current development trends in the blockchain industry. With the continuous advancement of cross-chain technology, we can expect to see more innovative solutions emerging, further promoting the interoperability and asset liquidity of the blockchain ecosystem.