Unlocking economic scalability in tBTC v2

tBTC brings censorship-resistant, physically-backed tokenized Bitcoin to DeFi, but it isn’t the only project working to give Bitcoin super-powers. Projects like Thorchain and RenVM are building bridges to Bitcoin and other networks from Ethereum and Cosmos.

All of these projects rely on a simple idea. Mutually validating consensus isn’t possible with Bitcoin, today; and changes are rolled out to the Bitcoin network very slowly. Instead, we’re all building bridges using additional collateral to secure the bridged BTC. Thorchain uses RUNE, RenVM plans to use REN, and tBTC uses ETH and KEEP. …

Last year, Keep delivered Ethereum’s first decentralized Bitcoin peg. This year, we’ll not only scale the protocol on Ethereum, but we will also challenge centralized pegs on other chains. DeFi deserves the world’s most liquid digital asset (Bitcoin) and a fully decentralized way to access it. Below I outline the highlights of our 2021 roadmap: community governance, scaling with a new “money lego” (coverage pools), scaling via our v2 protocol, and adoption across new chains.

The next phase of decentralization — community governance

Governance will be a major focus of Keep’s development over the coming months. Over time, we intend to transition all responsibilities and control of the…

Christmas has come early for KEEP holders. We’ve just launched the next phase of KEEP and TBTC liquidity rewards on Uniswap!

For the next four weeks, TBTC/ETH LPs will earn 50k KEEP per week, KEEP/ETH LPs will earn 150k KEEP per week, and LPs for KEEP/TBTC — which I like to call the hodler’s pool — will earn 200k KEEP every week. Not bad.

Or, how to make 200% APY on your ETH!

Since the launch of the Keep network, over 21.2M KEEP tokens have been earned by early stakers — $6M+ in a few months.

76k ETH has been locked to back tBTC and earn KEEP so far. At today’s prices, that means an average staker is earning 16.7% on their ETH per month in subsidies alone — or ~200% APY.

These rewards won’t last forever. They’re meant to help bootstrap the Keep network and ensure the tBTC bridge is operator-owned, allowing fees to tBTC users to stay low. Originally, they were designed to incentivize volume through the tBTC minting and redemption…

We’ve joined Messari’s Disclosure Registry

I’m proud to share that Keep is now live on Messari’s Disclosure Registry. The registry is an industry-wide transparency effort, making diligence easier for anyone wanting to get involved in the Keep network.

Messari’s focus on transparency in crypto is well known and aligns with our values as an open-source project. The dashboard includes information on the token distribution as well as our corporate structure and team.

I wanted to share a few highlights from the disclosures, as well as offer some context on how we view transparency as a for-profit company in the cryptocurrency space.

Token Distribution

The Keep/tBTC launch schedulle

On April 27th, the Keep network and tBTC will begin their journey to mainnet. As we move forward, I’d like to share the plan so that users know what to expect, when.

This Friday, the 24th, the MakerDAO community will vote to finalize their first ETHBTC feed, deployed specifically for tBTC, and agree to whitelist the future tBTC contract. This is a huge step toward bringing the super-collateral of Bitcoin to MakerDAO’s multi-collateral DAI.

On Monday, April 27th, the team will deploy the KEEP token contract and all custodial and staking contracts. Our custody and staking partners, including Coinbase and…

Announcing tBTC, the first DApp built on the Keep Network

Last week, I shared on Twitter what we at Keep, Summa, and the newly formed Cross-Chain Group have been working on for the past 10 months —
a trust-minimized Bitcoin/Ethereum bridge called tBTC.

See the full Twitter announcement thread here. Thrilled to see the response so far has been tremendous.

This was a great opportunity to get feedback from some of the sharpest minds in the space.

My wishes for the crypto community in 2019

The New Year is a time to reflect- on what’s passed, and on what’s ahead. Now that the crypto market has cooled, I hope the community that I’ve grown to love will also take time to reflect.

In 2013, I was working on a side project that was censored by PayPal. I needed a way to pay customers for their digital goods, and I found Bitcoin — uncensorable, unstoppable magic internet money. It was an incredibly empowering experience as an entrepreneur. I didn’t need to visit a bank, or maintain a relationship with a payment processor. …

Or, “Autonomous data privacy”. Part 5 of a series on “Privacy on the Blockchain”.

We’ve discussed two different approaches to data privacy in smart contracts — zero-knowledge proofs, including zk-SNARKs, and private blockchains.

zk-SNARKs allow smart contracts to offload data privacy to users, while requiring them to prove that their computations are valid by the rules of the contract. Private blockchains, on the other hand, change the rules of the game — allowing application data privacy while forfeiting the benefits of a public blockchain.

zk-SNARKs are a powerful tool toward building privacy-aware systems on public blockchains, but they aren’t enough…

Part 4 of a series on “Privacy on the Blockchain”.

In the 4th part of this series, I’ll take a deeper look at a different approach to maintaining data privacy — private blockchains.

So far, this series has focused on solutions to improving privacy on public blockchains. As we’ve seen, it’s not easy to maintain financial and data privacy in the face of systems whose strengths are rooted in their public nature. Through cryptography and diligent engineering, the community have found a number of solutions to common privacy issues.

As I’ll explain, private blockchains are not one of those solutions…

Matt Luongo

Project lead @keep_project. Founder @fold_app. Husband and new dad.

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