Proposal to Grant Omnity Network the Ability to Deploy Contracts on Osmosis

Proposal Discussion DApps / Tooling
1

Proposal to Grant Omnity Network the Ability to Deploy Contracts on Osmosis

Summary

We propose to grant Omnity Network the ability to deploy a CosmWasm contract with the deployer address osmo1uqm9n8a769nvwagz7gmpx5x52nmqn3z0tan9a0 on Osmosis autonomously. Omnity will deploy the Port contract on Osmosis, creating ckBTC and other Bitcoin assets via Token Factory. The ICP ChainKey Subnet generates and manages the owner key of the contract, providing battle-tested security.

Omnity is a Bitcoin Asset Hub that leverages the Internet Computer (ICP) to connect all blockchains with the Bitcoin network efficiently, securely, and decentralized. Omnity is connected to major Bitcoin L2 networks such as Bitlayer, Merlin Chain, BSquared, BEVM, and BOB and supports BTC and Runes assets. By integrating Omnity, Osmosis will benefit from enhanced cross-chain interoperability with Bitcoin, reduced costs, minimized latency, and robust security features.

Omnity’s interoperability stack is open source and audited, as is the Solidity Port contract.

Omnity Tech Stack

Omnity is the first 100% fully on-chain cross-chain protocol to support the cross-chain transfer of BTC and Runes assets to other public chains and BTC Layer2 chains.

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Internally, Omnity is designed in a hub-spoke topology, with each spoke connected to one blockchain. Among all the spokes is a special one called Bitcoin Gate, which leverages the ICP Bitcoin Subset that archives full-node equivalent security to Bitcoin assets bridging. Each node of the Bitcoin Subset is paired with a customized Bitcoin full node, called Bitcoin Adapter, which connects to the Bitcoin P2P network and keeps syncing and validating new Bitcoin blocks. So, each subnet node can observe the Bitcoin network independently, and together, they can reach a consensus on the Bitcoin canonical chain.

The Bitcoin Subset feeds the Bitcoin Canister, a smart contract with new blocks that maintains the full UTXO set and provides a query and tx submission API to other smart contracts on ICP.

The other pillar of Omnity’s full trustlessness is the ChainKey subnet, which provides key generation and signature service based on an MPC/TSS scheme. The ChainKey subnet comprises 31 geographically distributed nodes with a full-scale backup network. Omnity acquires a new Bitcoin address from the ChainKey subnet for each cross-chain transaction to improve privacy and security.

To support Ordinals and Runes assets, Omnity has migrated the Ord indexer to the ICP environment. The Ord Canister fetches new Bitcoin blocks from public RPC services and verifies these input blocks against block headers from the Bitcoin Subnet.

Omnity Hub is the smart contract that routes all the cross-chain messages and keeps a ledger of all cross-chain assets. So, Bitcoin assets can roam between layer2 networks without returning to Bitcoin L1, saving cost and latency. Moreover, tokens remain fungible on all layer2 blockchains no matter the transfer path, while attacking losses are capped by assets that users explicitly choose to store on the hacked chain.

On the other end of the cross-chain connection, spoke canisters talk actively with the respective RPC service without needing off-chain relayers. A spoke canister contains a specific light client to verify messages from the layer2 blockchain.

In summary, Omnity relies solely on smart contracts, avoiding off-chain processes, relayers, or indexers to ensure complete trustlessness. Omnity offers a fast, cost-effective, and user-friendly experience, making it the perfect cross-chain infrastructure for BTC assets.

Objectives

  • Enhanced Interoperability: Facilitate seamless cross-chain transfers and interactions.
  • Cost Efficiency: Leverage ICP’s capabilities to minimize transaction costs.
  • Security: Utilize Chain Key and HTTPS Outcalls for secure cross-chain operations.
  • Decentralization: Ensure fully decentralized operations with a fully on-chain architecture.

Benefits to Osmosis

  • New Asset Classes: Bring BTC, Runes, in the future Ordinals, and BRC20 to the Osmosis ecosystem.
  • User Experience: Offer seamless, secure, and efficient cross-chain services.
  • Community Governance: Align with Osmosis’s decentralized ethos through DAO-based management.

Implementation Plan

  1. Integration Phase: Collaborate with the Omnity team to integrate and test CosmWasm contracts on Osmosis.
  2. Deployment: Enable Omnity to deploy contracts autonomously.
  3. Monitoring: Continuously monitor the integration to ensure smooth operation and security.

Request

We seek approval from the Osmosis community to grant Omnity Network permission to deploy a CosmWasm contract: Omnity Port Contract. This would enhance Osmosis’s interoperability with the Bitcoin network and overall ecosystem functionality.

For further details, please refer to the Omnity Litepaper.

2

Interesting :slight_smile:

I would be curious to know how this matches with the fact that Nomic has been approved as the major BTC-bridge for Osmosis and we now have another competitor entering the scene ^^

3

IMO, providing security guarantees, competition on UX, and cost between bridges will only benefit the Osmosis community,

4

The Nomic proposal has kinda just agreed to run fee-free… so not much to compete on that field.

And the Nomic proposal has given nBTC the preferred choice for Osmosis. So we can get more versions on Osmosis, but it is kinda counter-intuitive while knowing that alternatives will not really get a decent chance.

So there is a dynamic to consider whether this would even make sense.

5

I don’t know much about the Nomic proposal, but I’m also curious how sustainability can be maintained if cross-chain transactions are free. Moreover, cross-chain systems are very complex and involve much more than just fees.

6

I agree that cross-chain transfers are not free and are complex.

However, it would be good for any project wanting to be deployed on Osmosis to be aware of your competitors and what they have achieved and are offering. The fact that even after me mentioning the deal you apparently have not done any research into what has happened (while searching for it is fairly simple, since it only involves checking out this forum and the proposals) is for me a big red flag.

Doesn’t matter how good the tech is, if you are not willing to look beyond the boundaries of your own project it is doomed to fail, because you will always overlook critical details and complexities caused by tech which has to cooperate.