Bridging and the Two-Way Peg
What is Bridging?
Bridging is the process of moving your Bitcoin between the Bitcoin mainnet (Layer 1) and Botanix (Layer 2). It's like transferring money between two bank accounts—your Bitcoin doesn't disappear, it just moves from one network to another so you can use it for different purposes.
How L1 Funds are Secured
When you bridge Bitcoin to Botanix, your actual Bitcoin doesn't leave the Bitcoin network. Instead, it gets locked in a multisig wallet that's part of the Spiderchain.
Secure Storage: Your Bitcoin is held in multisig wallets controlled by randomly selected Orchestrator nodes
Distributed Control: No single entity can access your Bitcoin—it requires multiple Orchestrators to agree
Spiderchain Protection: The dynamic multisig network ensures your funds remain secure even if some Orchestrators are compromised
Think of it like putting your Bitcoin in a high-security vault that requires multiple keys to open, with the keyholders being distributed around the world.
Peg-In Process (Bitcoin → Botanix)
When you want to use your Bitcoin on Botanix:
Initiate Deposit: You send Bitcoin to your personal, generated Deposit Address based on the EVM-address where you want to receive the funds. This address can be found on https://bridge.botanixlabs.com
Bitcoin Locked: Your Bitcoin is securely locked in the multisig wallet
Confirmation: The network confirms your Bitcoin deposit on Layer 1
Minting: An equivalent amount of Bitcoin is minted on Botanix and sent to your EVM-wallet
Ready to Use: You can now use your Bitcoin with Botanix applications
Peg-Out Process (Botanix → Bitcoin)
When you want to withdraw your Bitcoin back to Layer 1:
Initiate Withdrawal: You request to withdraw Bitcoin from Botanix on https://bridge.botanixlabs.com
Orchestrator Approval: Orchestrator nodes verify and approve the withdrawal
Burning: Your Botanix Bitcoin is burned (destroyed) on Layer 2
Bitcoin Released: Your original Bitcoin is released from the multisig wallet
Received: Bitcoin arrives in your Layer 1 wallet
Minting and Burning Mechanism
Minting (Creation)
When Bitcoin is locked in the Spiderchain, new Bitcoin is created on Botanix
This new Bitcoin is functionally identical to your original Bitcoin
Only Orchestrator nodes can mint new Bitcoin on Botanix
Minting only happens when actual Bitcoin is locked on Layer 1
Burning (Destruction)
When you withdraw, your Botanix Bitcoin is permanently destroyed
This ensures the total supply across both layers remains constant
Only Orchestrator nodes can burn Bitcoin on Botanix
Burning must happen before Bitcoin is released from Layer 1
The 1:1 Peg
Botanix maintains a strict 1:1 peg between Bitcoin on Layer 1 and Bitcoin on Layer 2:
Perfect Equivalence: 1 BTC locked on Layer 1 = 1 BTC minted on Botanix
Supply Conservation: Total Bitcoin across both layers never increases
Guaranteed Backing: Every Bitcoin on Botanix is backed by real Bitcoin locked in the Spiderchain
No Fractional Reserve: The system cannot create more Bitcoin than is deposited
Security Guarantees
The bridging system provides multiple layers of security:
Cryptographic Security: Multisig wallets use proven cryptographic methods
Economic Security: Orchestrators risk their stake for honest behavior
Distributed Control: No single point of failure in the custody system
Transparent Process: All deposits and withdrawals are publicly verifiable
User Experience
From your perspective, bridging is straightforward:
Deposit: Send Bitcoin to a provided address, receive equivalent Bitcoin on Botanix
Use: Interact with DeFi applications using your bridged Bitcoin
Withdraw: Request withdrawal, receive your original Bitcoin back on Layer 1
The complex security mechanisms operate transparently in the background, ensuring your funds remain safe while providing seamless access to Botanix applications.
Bridge vs. Traditional Approaches
Unlike centralized exchanges or custodial services:
You maintain control: No single entity controls your Bitcoin
Transparent operations: All processes are visible on-chain
Mathematically guaranteed: Security through cryptography, not trust
Non-custodial: Your Bitcoin remains yours throughout the process
Key Takeaways
Bridging moves Bitcoin between Layer 1 and Layer 2 without leaving Bitcoin's security
Spiderchain multisigs securely hold your Layer 1 Bitcoin
1:1 peg guarantees your Bitcoin value is preserved across layers
Minting and burning ensure supply conservation and backing
Orchestrator nodes manage the process with strong economic incentives
The bridging mechanism is what makes Botanix possible—it allows Bitcoin to become programmable while remaining securely rooted in the Bitcoin network itself.
Last updated
Was this helpful?