The RIF Flyover protocol is now live — delivering a fast, secure, and fully decentralized pathway for Bitcoin users to enter the Rootstock ecosystem (and vice versa).
What is RIF Flyover?
In the DeFi world, RIF Flyover fits into the category of a “cross-chain bridge.” Cross-chain bridges are the key to enabling different blockchain networks to interact with each other — but not all bridges are made equal.
There are currently three different types of bridges that can facilitate Bitcoin <> Rootstock conversions:
- Powpeg (Decentralized): Rootstock’s 2-way peg protocol, ”Powpeg,” is a decentralized and extremely secure bridging option when converting BTC to RBTC and vice-versa. It enables users to send BTC to a specific Powpeg address where it is locked on the Bitcoin network. RBTC is then released to the user after 100 Bitcoin block confirmations (for security reasons), which can take about 16 hours. The reverse, RBTC to BTC, requires 4000 Rootstock block confirmations, which can take about 33 hours.
- FastBTC (Intermediary): Sovryn’s FastBTC solution is available through the Sovryn platform, where it acts as the intermediary to swap the funds. It is designed to provide quick and simple BTC <> RBTC conversion for a small fee. The user receives their funds in just 12 minutes (requires at least 1 bitcoin block and a few RSK blocks confirmations).
- Exchanges (Custodial): Centralized exchanges that have RBTC listed, such as Bitfinex, offer an easy alternative for exchanging between BTC and RBTC. However, this involves giving up complete custody of the asset to the exchange while making the exchange, exposing the assets to potential hacks or funds being frozen for lengthy periods.
These bridging and conversion methods all work well for their own dedicated purpose. However, none of them can provide speed, security, and decentralization all in one — and this is where Flyover comes in.
How does Flyover work?
RIF Flyover works by introducing a trustless intermediary (liquidity provider) to the Powpeg protocol that advances the funds to the user — eliminating the current wait time. This is done using a unique smart contract, the Liquidity Bridge Contract (LBC), that is built into the Flyover protocol.
For example, if a user wants to convert BTC to RBTC, they would send their BTC to the Powpeg address provided by the Flyover protocol, and then an intermediary would advance the equivalent amount of RBTC to the user. The user’s BTC would remain in the LBC until Powpeg has validated the transfer.
This ‘swap’, which is done in a trust-minimized and secure manner, is much faster than the current Powpeg process. The exchange in Flyover takes about 12 minutes. And the liquidity provider in Flyover never has custody nor access to users’ funds.
Benefits of Flyover
For building DeFi on Bitcoin
Flyover makes it easier than ever for users to interact with the range of DeFi protocols built on Rootstock. Flyover is yet another way to access the Rootstock ecosystem. Not only can developers integrate flyover into their products to lower the barrier of entry to using their products, they can also use the open-source code to build new repayment protocols themselves.
For Bitcoiners
Flyover is ideal for users who hold Bitcoin in a cold wallet or on an exchange and want to interact with the DeFi ecosystem on Rootstock. It allows users to get onto the Rootstock network, interact or use its protocols, and go back to Bitcoin again within a matter of minutes — without compromising the security of their funds.
For Liquidity Providers
Furthermore, Flyover provides a new way for liquidity providers to generate revenue on their assets. A liquidity provider can become part of the Flyover network of operators and can set and receive a service fee each time they are being used to facilitate the swap.
For exchanges
Flyover is a significant step in creating a smooth RBTC onboarding experience for DEX users. DEXs can then provide faster onboarding to RBTC, Rootstock ecosystem, and RIF itself, without having to list Rootstock assets on their exchange.
How do I get started?
As Flyover is part of the RIF product suite, it is designed to be easily integrated into existing (or new) products. Find out more about the technical details and how to integrate in our developer portal.
Reach out to the RIF team of experts if you believe RIF Flyover can help optimize your business processes and provide a better experience for your users.