Bytom CEO Lang Yu: MOV to Go Live This Month, with the Ideal of “Transaction’s Indispensable and Ubiquitous”
On March 5, Lang Yu, CEO of Bytom, elaborated on the theory of asset in its three stages in the MOV ecology in an open class.
In the theory of asset’s three stages, the solid stage is the process of asset verification, the liquid stage is the phase of asset securitization, and the gas stage is about asset moving on blockchain, as the CEO explained. Among them, assets in the gas stage comes as the final state, which is also the vision BTM aims to realize.
The MOV platform serves as the container for the gasification of asset, pursuing an ideal state that “transactions are indispensable and ubiquitous”, in which asset transaction is likened to oxygen in the air that cannot be absent nor be contained.
At present, MOV has rolled into the final development phase and will go live this March as scheduled. In the first phase, two functions – MOV exchange and instant exchange – will be enabled, where cross-chain move of BTM, USDT and ETH will be realized; in the following second phase, BTC and MOV stablecoin system will be launched and various ecologies will gain access to it.
The following are some of the excerpts from the speech.
Assets in the solid stage are the verification of asset, where the asset must be transferred as a whole for its lacking in liquidity. In addition, the registration of the asset at this stage is conducted by government authorities. In other words, if you register your house property with the U.S. housing authority, once the system of the housing authority crashes and its database is disabled, there will be no way to prove it’s your property. And, if you want to trade your asset in this stage, there’re only two ways – via exchanges or over-the-counter desk, which explains the weak liquidity in this stage.
Assets in the liquid stage are asset securitization, which is the stage we are. As asset in this stage can be split and transferred in parts, it can be understood as the liquid phase, and its registration is undergone via centralized server and government authorities, which again cannot provide a permanent guarantee for the certification of the asset. Assets in this stage represented by stock shares and ABS can be traded online or offline.
The final stage is assets in the gas stage, or blockchain-based asset. This is also the vision BTM aims to realize. At this stage, asset can be unlimitedly split and transferred. Everyone can manage their own assets through their own private key and conduct onchain or offchain transactions.
What is a blockchain-based asset? That’s native token of blockchains. Based on it, we developed a series of technologies to meet this application: the one-mainchain+multi-sidechain architecture, which the mainchain adopts POW to meet the decentralized security requirement, meanwhile the sidechain BBFT consensus secures high efficiency to solve the “impossible triangle” problem; If there’re multiple assets on the chain, the atomic exchange of assets must be satisfied, for example, if 1BTC +1BTM need to be exchanged into 10ETH +1USDT, the BUTXO model must be used in this situation.
Based on these technologies, we imported the native assets through MOV (an integration of Magnet, OFMF and Vapor) – a decentralized financial platform based on the one-mainchain-multi-sidechain BUTXO model.
As it shows above, the MOV ecology consists of “three roles” and “three systems”.
In the system, the Federation is responsible for cross-chain and asset management, Bytom is for asset registration and Vapor, the high-speed sidechain, is to satisfy transactions between different assets.
The three roles are Federation, consensus node and users. Simply put, the Federation is responsible for asset management and consensus nodes are responsible for block producing.
In many cases, people would see MOV as a DEX (decentralized exchange), but it’s different. All the transaction confirmation and matching in MOV is performed by 10 consensus nodes in turn, and all the transaction orders are matched on the chain, which is completely different from other projects.
We have to make sure that the system is open, that all the consensus nodes are voted by BTM holders, and that anyone can be elected. In addition, the core value of the Federation is that it is open for joint management, with 6 managers and 4 external managers.
The technologies of multisig and threshold signature ensure that no party in the Federation can take away the assets, which has never been seen in other systems and ensures decentralization.
The operation process of the MOV system: user A wants to exchange BTC for BTM, he first needs to lock BTC in Federation which records the fund and creates or issues assets on the Bytom mainchain, and moves it cross-chain to Vapor sidechain. The user transacts at the address of the sidechain to obtain the BTM, and then operates in the opposite direction to obtain the BTM on the mainchain.
MOV not only opens up technology but also interests. Both the Federation and the consensus nodes can obtain commissions from facilitating transactions. We’ll roll out more financial applications in the following days, such as MOV stablecoin, loans, etc., in which profits will be distributed in proportion to their contribution. In this way, we encourage more people to participate in the Federation and consensus nodes, which is also good for the BTM ecology.