What Is AnetaBTC (cNETA)?
AnetaBTC is a fully on-chain, decentralized protocol that allows Bitcoin to be directly wrapped on the Ergo and Cardano blockchains. BTC enables Bitcoin holders to unlock the value of their assets in a secure and efficient environment to provide yield, without selling any Bitcoin and without any third-party custodian involvement, as in the case of wBTC which is on the Ethereum blockchain and is the largest wrapped Bitcoin protocol today with over $14 billion of locked Bitcoin value.
Wrapped Bitcoin has the potential to provide the Ergo and Cardano platforms essential liquidity required for most all DeFi applications by transferring the full value of Bitcoin on a 1:1 basis — the total current market capitalization of Bitcoin exceeds $1.1 trillion, while the total value of wrapped Bitcoin on the Ethereum blockchain nears $20 billion.
The blockchain industry has somewhat veered from the initial concepts and principles that were laid out by Satoshi Nakamoto. As blockchain adoption increases, a vast majority of platforms have forsaken decentralization in exchange for transaction throughput and convenient implementation of smart contracts at the expense of security and censorship resistance.
AnetaBTC Storage Key Points
| Coin Basic | Information |
|---|---|
| Coin Name | AnetaBTC |
| Short Name | cNETA |
| Circulating Supply | 1.00B cNETA |
| Total Supply | 1,000,000,000 |
| Source Code | Click Here To View Source Code |
| Explorers | Click Here To View Explorers |
| Twitter Page | Click Here To Visit Twitter Group |
| Whitepaper | Click Here To View |
| Support | 24/7 |
| Official Project Website | Click Here To Visit Project Website |
Transaction Fees
Aside from being centralized, wBTC is built on Ethereum, meaning wBTC users are subjected to the arbitrary high fee structure of Ethereum. AnetaBTC is built on the Ergo platform with a predictably low deterministic fee structure and will also be fully compatible with the Cardano blockchain. AnetaBTC and Cardano both having a predictable, low-cost fee structure, they are confident DeFi applications utilizing BTC will have tremendous utility compared to wBTC with transaction fees exceeding at times $500 per transaction on Ethereum compared to BTC with expected transaction fees of less than $1 allowing for far greater DeFi activity, even high-frequency trading that has a potential capacity of well over 70 million transactions per second.
Transaction fee
The current transaction fee for Ergo stands at 0.0011 ERG, which is approximately $0.01 per transaction. Additionally, Ergo has built-in security and privacy tools such as ErgoMixer, which allows users to freely trade their native Ergo assets privately, somewhat similar conceptually to Monero ring signatures. Interoperability is another significant consideration, and tools like ErgoDEX allow for users to swap AnetaBTC with any native Ergo and Cardano asset. With BTC, users are empowered to unlock the value of their Bitcoin holdings in a decentralized, secure, and convenient manner thus allowing participation in the rapidly growing DeFi ecosystem, earning yield without selling any Bitcoin.
Approach and Use Cases
AnetaBTC is a research-driven protocol. The birth of BTC is the combination of concepts from research papers including but not limited to Bitcoin, wBTC, REN, Ergo, and Interlay. The key part of your approach is writing smart contracts that send Bitcoin to a vault if a user wants to mint BTC. Upon minting, users will be able to freely use anetaBTC as a Bitcoin-backed asset on the Ergo and Cardano blockchains. For the wBTC protocol, either minting BTC or confirming the burn of tokens is at the full control of the custodian, which in this case, is BitGo. They are solely responsible for oversight of the locked Bitcoin.
As noted in the top-left diagram, the merchant must send their Bitcoin directly to the custodian. The custodian then mints the wBTC after receiving the user’s Bitcoin and the corresponding wBTC will be sent to the user. For burning tokens, the custodian sends the original Bitcoin back to the user and the contract performs the burn of wBTC, and is confirmed and finalized by the custodian.
Bitcoin for Everyday Transactions
Bob wants to send Bitcoin to Alice on 10 different occasions throughout each month. Bob could send his Bitcoin on its native protocol and could expect to pay about $2.50 per transaction, about $25 per month, assuming the transaction fee remains at that price. Bob could also hypothetically transact with Alice using wBTC on the Ethereum network, but the current cost to complete an Ethereum transaction is $40.11, which would amount to over $400 per month to send all of his transactions.
Another option Bob has is AnetaBTC, where he can send Alice ten transactions a month of his Bitcoin and would pay the transaction fee on Ergo, which at the time of this writing, is 0.001 ERG. At the time of this writing, this would mean the average transaction would be just below $0.01. If Bob were to send Alice anetaBTC on ten different occasions throughout the month, Bob would pay about $0.10 in total transaction fees on Ergo.
