Alloyed BTC: Increase nBTC static limit to 10%

Proposal Discussion Alloyed Assets
1

This proposal would expand the static rate limit of nBTC within Alloyed BTC to 10%.

Proposal

This proposal requests expanding nBTC from the initial static rate limit of 5% to 10% as the nBTC audit has now been published here.

This allows the BTC alloy room to expand from more external sources as well as supporting adoption of the Nomic bridge now that the nBTC Revenue Share Proposal is proposed to be activated in Proposal 863.

For a full description of Alloyed Assets, see the Blog Post

Alloyed BTC

Alloyed BTC was recognized as the canonical Bitcoin on Osmosis in Proposal 813.

It currently has around 61 BTC in supply on Osmosis, and consists of:

  • WBTC.axl (Axelar bridge from Ethereum) (75% cap)
  • WBTC (Natively Issued on Osmosis) (100% cap)
  • nBTC (Nomic Bridged Bitcoin) (5% cap)
  • ckBTC (Chain-key Bitcoin) (10% cap)

About Nomic

Nomic offers a decentralized, non-custodial Bitcoin bridge to IBC-enabled chains like Osmosis. nBTC, the Bitcoin-backed asset provided by Nomic, is live on Osmosis today, along with Interchain Deposits. This feature allows Osmosis users to deposit BTC directly within the Osmosis app to receive nBTC.

Target Onchain Date: 22nd November 2024

2 Likes
2

Great! Happy to have more nBTC in the Alloy as questions persist with WBTC’s ownership transistion.

3

With the revenue share and the possible upcoming final release for the real NOM-mainnet we might see inflow of BTC. Upping the boundaries is a good move, especially since if it doesn’t bring new inflow the rest will just rebalance in terms of share percentages.