Peg In and Out of the Secret Network Without Leaving a Trace. Transact With Complete Privacy While In the Secret Network.Shinobi Whitepaper
Shinobi is a protocol for generating Secret Bitcoin (SBTC), an SNIP-20 token on the Secret Network backed by bitcoin.
SBTC is pegged 1:1 with BTC.
The peg in and peg out between the Bitcoin blockchain and the Secret Network is facilitated through a Privacy Secured Trustless Bridge.
There is no middleman and the peg in/out actions are not discernible from ordinary transactions on the Bitcoin blockchain.
Once bitcoin is transferred to the Secret Network, transactions become completely private.
Bitcoin addresses used to peg-in to the Secret Network aren't distinguishable from ordinary bitcoin addresses. One would be able to send bitcoin to the Secret Network without revealing the fact to an outside observer. Transactions that occur on the Secret Network are completely private. SBTC is based on the SNIP-20 Standard which makes it private by default like Monero.
Traditional bridges often involve a multisig set up with different parties holding the private keys. In some cases, the keys are held by the same party. Either way, these methods require trust in a middle-man, which is the opposite of what crypto was meant to solve. With Shinobi, every step of the peg-in and peg-out process is facilitated by a smart contract on the Secret Network. Shinobi completely removes the middle man and provides a Privacy Secured Trustless Bridge.