Getting rBTC with the 2WayPeg
Peg-in is the standard term for the process that transfers Bitcoins from the Bitcoin network to the RSK network.
A peg-in:
- Converts BTC to RBTC
- Locks BTC on the Bitcoin network
- Releases RBTC on the RSK network
How does the RSK PowPeg work?
A two-way peg protocol is a protocol that allows transfers of a cryptocurrency from a main blockchain to a secondary blockchain and vice versa. It requires low third-party trust.
In the case of RSK, the main blockchain is Bitcoin, and the secondary blockchain is RSK. Every RBTC (or fraction of RBTC) unlocked in the RSK platform requires BTC to be locked on the Bitcoin blockchain. This mechanism ensures there is a one-to-one relationship between BTC and RBTC (1 BTC = 1 RBTC), which is guaranteed by the RSK protocol.
Powpeg uses the security features of a Hardware Security Module alongside RSK’s consensus layer, based on Bitcoin merged mining.
In the following pages you will see 2 ways of getting rBTC with the 2 Way Peg.
Last modified 1yr ago