Asset Swaps
HyperSigil SWAP Overview
HyperSigil SWAP is a peer-to-peer (P2P) asset exchange component of the Sigil protocol, built on Bitcoin Ordinals. It uses delegate reinscriptions to facilitate the swapping of inscription-based assets in a straightforward manner, without intermediaries and ensuring a trustless and verifiable exchange process.
Key Features
Delegate Reinscriptions: Instead of sending/receiving ordinal satoshis, ownership changes through reinscription state changes.
Metaprotocol and Metadata: Utilizes these fields to create a reference chain for swap actions and asset representation.
No Intermediaries: Transactions are self-spend and only point to each other's inscription IDs, eliminating third-party risks and mempool sniping.
Process
Swap Request and Agreement: One peer initiates a swap request, and the other agrees.
Delegate Reinscriptions: Both parties create a chain of delegate reinscriptions representing the swap states.
Finalized State: The most current valid swap reinscription on each ordinal satoshi represents the transferrable asset and all previous inscriptions are a chain of activity and proof of state.
Benefits
Trustless P2P Model: No need for intermediaries. No bitcoin sent (besides miner fee).
On-Chain Verification: Anyone can verify valid swaps by inspecting on-chain activity.
Infrastructure Support: Requires wallets and marketplaces with special-purpose indexing services for proper user experience and representation of tradable assets.
Limited Scope - Even Trades of Sigil Assets Only
Initially, this simple design is intended to be used strictly for Sigil Protocol collection assets and for transacting of even trades in an atomic swap manner (one asset for another asset).
If this model becomes attractive to broader ecosystem, any inscription-based asset can be swapped with popular wallets and marketplaces supporting this Sigil Protocol extension and standard.
Full Spec
The spec will be published soon. Open to collaboration.
Metaprotocol Field Value
HYPERSIGIL:SWAP
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