{"schema":"BUIDL","d":{"id":11014,"members":[],"pictures":["https://cdn.dorahacks.io/static/files/18e9423a82be231306440ec457287003.png"],"roundProjects":[],"hackathonProjects":[{"id":11662,"hackathon":{"id":307,"tabSet":[{"id":562,"name":"Submission Guide","slug":"submission","description":"# Getting Started [3-5 MIN]\n\n**1.** **You should submit your BUIDL via [DoraHacks.io](https://dorahacks.io/). Before that, make sure that you already have an account.**\n\nUse the **Sign in/up button** at the upper right corner of the page to access the sign-up options.\n\n

\n\n**Github, crypto wallet** and **email** are supported for creating an account. For BUIDLers, we recommend you to connect the account to your **github** to make more people know what you are building at any time.\n\n*You may be asked to receive a verification code via email. The email may take some time to arrive. No worries! The code will not expire in 10 minutes when you click “send code”.\n\n**2. Before the submission of deadline, please make sure you have added your Github link to the project. You can submit the project first, edit it later before the deadline.**\n\nClick “ Register As Hacker”-“Submit BUIDL”.\n\n

\n\n> **→ If you already have a BUIDL on DoraHacks**\n\nChoose your BUIDL project from **\"Apply with Existing BUIDL\"** and identify the track you want to join.\n\n> **→ If you want to submit a new BUIDL project**\n\nClick **“Create a new BUIDL”** and fill in the form as required. You'll be directed to \"Apply for SpiderHack\" page after the new BUIDL setup.\n\nFill in the form to offer the information about your project. Note that for demo, demo link and social media, please offer **URLs (with http/https://)**.\n\n

\n\nDon't forget to check \"I agree to the User Agreement\".\n\n

\n\nBack to Application window. Choose your BUIDL project from **\"Apply with Existing BUIDL\"** and identify the track you want to join.\n\nWhen submission succeeds, you'll see this notification.\n\n

\n\n# Project Verification\n\nWait! Don't just leave your BUIDL here and forget about it. Please contact DoraHacks staff on **Telegram** [@dorahacksofficial](https://t.me/dorahacksofficial) for project verification and promotional support. We'll make every BUIDL a poster and arrange a live project demo session for you via Youtube Live/Binance Live. Don't let go of the chance to receive huge visibility!\n\nOr, you can also reach us out at the **#buidl-verification channel** in the **Discord** https://discord.gg/gKT5DsWwQ5\n\n# Want to make some changes to your BUIDL?\n\nClick [Avatar] -> [Profile] to enter the Account Center, and click the \"Edit\" button on the top right of the BUIDL to update the BUIDL information.\n\n

\n\n
\n\n

"},{"id":685,"name":"Results","slug":"results","description":"# Announcing the Winner Teams from SpiderHack\n\nSpiderHack, the inaugural Spiderchain hackathon event aimed at fostering innovation in EVM dApps on Botanix, the pioneering EVM-equivalent Layer 2 solution running on Bitcoin, has been a resounding success. It's truly impressive to note that over 60 teams dedicated their efforts to developing innovative Bitcoin dApps, all vying for a share of the $50,000 prize pool! Without further ado, let's take a look at the finalists!\n\n### 🥇 First Prize\n\n[BUIDL](https://dorahacks.io/buidl/10864)\n\nBUIDL link: https://dorahacks.io/buidl/10864\n\n### This is a project to create a trust minimized bridge between Botanix and the Lightning Network. The goal is to allow for the creation of smart contracts that can make trust minimized payments to the Lightning Network. This really only makes sense in the context of chains using Bitcoin as their native currency, but it could be extended to other chains as well. The project includes smart contracts with tests, a frontend, and a Lightning Service Provider (LSP) server which facilitates the lightning payments.\n\n### 🥈 Second Prize\n\n[BUIDL](https://dorahacks.io/buidl/10848)\n\nBUIDL link: https://dorahacks.io/buidl/10848\n\nThe Secure and Seamless Crypto Wallet for the Future. Anansi simplifies your crypto journey, regardless of the chain. Our innovative wallet eliminates private key management with secure passkey login and offers gas-free transactions (Botanix TestNet). Built on cutting-edge technology, Anansi leverages ERC-4337 standards, showcasing the power of Account Abstraction we implemented on the Botanix blockchain (Bitcoin Layer 2). Experience the future of secure and accessible crypto!\n\n### 🥉 Third Prize\n\n[BUIDL](https://dorahacks.io/buidl/10893)\n\nBUIDL link: https://dorahacks.io/buidl/10893\n\nBotanixCraft aims to revolutionize the blockchain gaming industry by offering a simple, no-code solution for designing, building, and developing games. Our solution also utilizes IPFS, providing developers with a natural way to upload and manage their audio, video, and 3D model assets, which can be used across their projects."}],"skills":null,"applied":false,"isCurrentHackerRegistered":false,"buidlsCount":66,"applicationsCount":81,"organization":{"id":684,"name":"Botanix Labs","logo":"https://cdn.dorahacks.io/static/files/18bf701774e716757c3c7f5420e821a3.png"},"description":"# **🚀 SpiderHack by Botanix: the first EVM Hackathon on Bitcoin 🚀**\n\n*Build the future of finance on Bitcoin! Join the Botanix SpiderHack!*\n\nAre you ready to revolutionize the world of decentralized applications built on Bitcoin? \n\nBotanix Labs invites you to the SpiderHack, the first Spiderchain hackathon event to create innovative EVM dApps on Botanix, the first EVM-equivalent Layer 2 running on Bitcoin.\n\n🗣️ Who? Every developer who wants the opportunity to shape the future of finance on Bitcoin.
\n🗣️ When? SpiderHack runs from February 5 to March 31, 2024
\n🗣️ Why? Participants will develop innovative Bitcoin dApps while competing for a $50,000 prize pool!\n\n# **What is Botanix?**\nBotanix makes innovation on Bitcoin easy with the first EVM-equivalent Layer 2 on Bitcoin, called the Spiderchain. In fact, building on Bitcoin is almost as simple as copying and pasting any existing EVM smart contract and deploying it on the Botanix testnet. Transform any Ethereum application into a plug-and-play solution on Bitcoin!\n\nIn a brand new paper, Jameson Lopp reviewed the Botanix Labs whitepaper and noted its simplicity. He wrote, “While there are a variety of proposals being discussed for enhancing Bitcoin's Layer 2 capabilities […] one distinction with Botanix's Spiderchain is that it can be implemented on Bitcoin today without any protocol changes to the base layer.”\n\nWith SpiderHack, the Botanix team wants to give developers:\n\n- Practical experience with an EVM-equivalent layer on Bitcoin\n- Education on how the future of Bitcoin L2s can function\n- Opportunities to compete for a $50,000 bounty\n- Relationships with the Botanix team and ecosystem to build on Bitcoin\n\nStart by exploring the live Botanix Labs Testnet where you can experience the power of EVM on Bitcoin firsthand. With forward security as a key feature, Botanix is optimized for a network with low fees and fast transactions running on Bitcoin.\n\n# SpiderHack Requirements\n## What to build?\nParticipants are encouraged to consider building a submission that fits in one of the following categories.\n\n- **DeFi (Decentralized Finance)**: Leverage Bitcoin's security and transparency for innovative financial services from decentralized lending and borrowing to commerce and exchange.\n- **NFTs (Non-Fungible Tokens)**: Unlock the intersection of Bitcoin and digital collectibles with the immutable Bitcoin blockchain.\n- **GameFi (Gaming Finance)**: Fuse the worlds of gaming and Bitcoin by integrating Bitcoin-based applications into gaming economics and assets.\n- **Bitcoin Infrastructure**: Optimize Bitcoin's technical foundations for scalability, interoperability, and network efficiency by addressing critical issues related to transaction throughput.\n- **DAOs (Decentralized Autonomous Organizations)**: Develop governance structures and decision-making mechanisms on Bitcoin that enable decentralized social control.\n- **Social Impact**: Address real-world challenges with an emphasis on positive social impact using the power of Bitcoin's security and transparency.\n- **Creative Mode**: Unleash your personal creativity and explore untapped possibilities with Bitcoin. Let your imagination run wild and submit any application that expands the value and utility of Bitcoin.\n\n## What to submit?\nHere are guidelines for complete submissions and disclosures. \n\n**Submission Guidelines:**\n\nAll submission need to deploy to the Botanix Testnet and include the following:\n\n- Incorporate unique use cases or implementation\n- Demo video up to 3 minutes long\n- Text description explaining the features and functionality of your submission\n- Open source Github repository with a complete README\n- Links to participant’s website and socials to help judges review your submission. If the participant’s website is private, the project must include login credentials in its testing instructions.\n- Method for testing the project (e.g., link to the app or testing instructions)\n- All submission materials must be in English, including the demonstration video, text description, and testing instructions, as well as any other materials submitted.\n- Complete submission form by the final deadline\n\n**Multiple Submissions:**\n- Entrants are allowed to submit more than one submission. However, each submission must be unique and substantially different from the others.\n\n**Disclosure:**\n- Projects submitted to other hackathons or challenges need to be disclosed in the submission or README of the project.\n\n# Prizes and Exclusive Opportunities\n### 💰 $50,000 Bounty Pool\nAll participants in the SpiderHack event will compete for a total bounty of $50,000 provided by Botanix Labs. Winners will be awarded for building the best applications using the spiderchain to showcase the power of an EVM-equivalent layer on Bitcoin.\n\n- First Place: $25,000\n- Second Place: $10,000\n- Third Place: $5,000\n- Most Creative Project: $5,000\n- Best Technical Project: $5,000\n\n### 🌟 Exclusive Opportunities\n\nTop developers from SpiderHack will have a chance to meet with the Botanix team and explore potential partnerships as official builders in the Botanix ecosystem. After the SpiderHack event, these builders will receive dedicated marketing, growth and development resources to take their projects to new heights on Bitcoin.\n\n\n# Judges\n- Willem Schroé (Co-Founder & CEO of Botanix Labs)\n- Alisia Painter (Co-Founder & BD Lead at Botanix Labs)\n- Armin Sabouri (Co-Founder & CTO at Botanix Labs)\n- Patrick Bush (Senior Investment Analyst at VanEck)\n- Vikash Singh (Principal at Stillmark, the Bitcoin VC Fund)\n\n# Judging Criteria\nSubmissions will be evaluated based on the following criteria:\n \n- Implementation Quality: Does the project demonstrate high-quality development: clean, efficient and safe code, tests, documentation, usage of the version control system?\n- Innovation: Does it solve a problem in a creative and unique way?\n- User Experience: Does the project’s design make the user experience seamless?\n- Originality: Does the project represent a creative, unique, and well-thought-out idea? \n- Potential Impact: How large of an impact could the project have? And how many users could the project potentially attract?\n\n# Community Support\nHere are some educational and community resources to get started!\n\n- Community: [Hackathon Channel on Discord](https://discord.gg/botanixlabs), [Telegram](https://t.me/+rVo_EOrFXeljN2Vk)\n- Website: [Botanix Labs](https://botanixlabs.xyz/)\n- Testnet: [Botanix Labs Testnet ](https://botanixlabs.xyz/en/testnet)\n- How-To's: [Botanix Labs Documentation ](https://docs.botanixlabs.xyz/botanix-labs/)\n\nJoin SpiderHack to shape the future of decentralized finance.\n\nBuild on Bitcoin with Botanix!","onboardingCompleted":false,"registerFormUrl":null,"preRegisterTime":0,"publicContactHackerHandle":null,"hackersCount":275,"title":"SpiderHack by Botanix: the first EVM Hackathon on Bitcoin","uname":"spiderhack","imageUrl":"https://cdn.dorahacks.io/static/files/18d6b6e7fece5b6b2716ab64e5ab30b1.jpg","originUrl":null,"startTime":1707087660,"endTime":1711922340,"timezone":"-60","city":null,"visible":true,"approvalStatus":6,"state":0,"voteUrl":null,"voteMechanism":null,"bonusPrice":50000,"bonusMechanism":null,"followersCount":0,"ecosystem":"Bitcoin,Ethereum,EVM,Spiderchain,Botanix","applyGuide":null,"weight":100,"participationForm":"Virtual","field":"Blockchain,EVM,Botanix,DeFi,Bitcoin,Ethereum,DAO,NFT,Infra","email":"lucas@botanixlabs.xyz","contacts":"Email,lucas@botanixlabs.xyz","externalContacts":null,"telegram":null,"discord":null,"whatsapp":null,"wechat":null,"prizeFundingEscrowed":0,"token":"USD","prizeSafeForm":0,"prizeSafeNetwork":null,"prizeSafeOwner":null,"prizeSafeWallet":null,"prizeSafePublishDate":null,"hasOnboarding":false,"isPublicTrackJudging":false,"isEndedTrackJudging":false,"question":null,"countryId":null,"cityId":null,"venueName":null,"venueAddress":null,"category":1,"isEnableBounty":true,"isBountyRequired":false,"isEndedBountyJudging":false,"bountiesLimitForBuidl":10,"isPublicBountyJudging":false,"status":2},"status":4,"bounty":null,"track":null,"table":"0","trackObj":{"id":697,"name":"DeFi","judgingCriteria":"","weight":0},"bountyObjs":[]}],"chain":[],"chainList":[],"appliedGrant":false,"acceptRewards":false,"owner":83862,"ownerInfo":{"nickname":"Mystical94","username":"U_e4464f468842a3","avatar":"https://cdn.dorahacks.io/static/files/18e002a815e3aadb9d8c73c478ab55c6.jpeg"},"visible":true,"deleted":false,"continuousSponsoring":false,"pageView":0,"sponsoredCount":0,"starCount":0,"sponsoredAmount":"0.00","sponsoredPersons":0,"followers":0,"voteCount":0,"projectMembers":[],"bnbRound":null,"doraGrantDaoTags":[],"techTrees":[0],"infrastructureTags":[71,83],"otherInfrastructures":["infra:Botanix"],"lastEditor":{"id":83862,"username":"U_e4464f468842a3","date":1723820713000},"upvoted":false,"followed":false,"upvoters":{"count":0,"list":[]},"kycStatus":0,"ideas":[],"name":"Xcrypt","techniqueField":"","source":"-","vision":"Transfer Funds anonymously on the Blockchain without reveling your real address using Stealth Addresses","projectDescription":"### ✍ Project Overview\n- Xcrypt is a privacy-focused solution addressing the need for anonymity in blockchain transactions. It tackles the risk of exposing the identities and financial information of users by enabling anonymous transactions on the Botanix Blockchain. The solution utilizes stealth addresses on the Botanix Blockchain, allowing users to receive funds without revealing their real addresses.\n- The project draws inspiration from existing privacy-focused blockchains like Monero and tools like Tornado Cash, but aims to bridge the gap between complex and expensive privacy solutions and non-private transfers.\n- It empowers users to maintain their privacy, fostering trust and security in the blockchain industry.\n- Overall, Xcrypt has the potential to become a leading privacy solution, ensuring the confidentiality and anonymity of blockchain transactions.\n\n### 😎 Idea\n- I've always been fascinated by the concept of anonymity in blockchains, with various methods available to achieve it.\n- Privacy-focused blockchains like Monero and widely-used networks like Tornado Cash, which is based on anonymity sets or zero-knowledge proof solutions, provide near-perfect privacy for both parties in a transaction.\n- However, they require specialized tools or come at a higher cost than direct transfers, leaving a gap between expensive, complex solutions and non-private transfers.\n- Recently, Vitalik published an article titled \"An Incomplete Guide to Stealth Addresses,\" which provided missing pieces of a simple yet effective solution for anonymous transactions, at least for the receiving party.\n- Inspired by this idea we decided to create a user-friendly tool utilizing stealth addresses. We chose Botanix as the initial network for its implementation due to its fast and affordable transactions.\n\n### ⚔ What’s difference between Xcrypt and other wallets?\nXcrypt is all about keeping your financial matters private. Unlike regular wallets, where sharing your address can reveal what you've been up to, Xcrypt is different. Instead of giving out your real wallet address, you share something called a Xcrypt ID. It's like a secret code, and it doesn't link to any specific place on the blockchain.\n\nWhen you want someone to send you money, Xcrypt uses a special method called Diffie-Hellman key exchange (don't worry, we won't get too technical). The result is a new secret address created just for that transaction. The cool part is, even the person sending you money can't figure out your real wallet address because you only share your Xcrypt ID with them. And each time, a fresh new address is made.\n\nOnly you, the owner of the Xcrypt ID, have control over these secret addresses. Everyone else, including the sender, doesn't know where your real wallet is—it's like a constantly changing secret. Xcrypt makes privacy easy and clever, so your financial business stays your business.\n\n### 📺 Background & Context\n- Issue Addressed: Xcrypt addresses the pressing concern of inadequate privacy in blockchain transactions. While the blockchain guarantees transparency and immutability, it simultaneously exposes sensitive details of transactions, such as sender and recipient addresses. This lack of privacy imposes significant risks on both individuals and businesses, potentially connecting their financial actions to real-world identities.\n\n- Fundamental Privacy: Privacy holds a crucial role in financial transactions. Without a robust privacy layer, users remain vulnerable to an array of risks:\n\n - Identity Exposure: Open blockchain transactions create an avenue for observers to correlate transactions with specific people or entities. This jeopardizes financial privacy and exposes individuals to potential targeting or surveillance.\n\n - Financial Profiling: In-depth profiling of individuals and businesses becomes possible through the analysis of blockchain transactions. This includes identifying spending habits, income sources, and financial associations. Such data can be exploited for targeted ads, discrimination, or even extortion.\n\n - Security Gaps: Transparent blockchains, when repeatedly used for transactions, render users susceptible to hacking and phishing threats. Criminals can analyze transaction histories to discern patterns, monitor balances, and exploit security vulnerabilities.\n\n - Business Exposure: Transparent transactions inadvertently reveal confidential financial information of companies, like sales figures, supply chain connections, and partnerships. Competitors can leverage this intel to gain an edge, potentially undermining business competitiveness.\n\n - Regulatory Hurdles: Certain industries, such as healthcare and finance, mandate stringent privacy regulations. Transparent blockchain transactions could clash with these standards, resulting in legal complications or penalties for non-compliance.\n\n- Significance: Addressing this issue assumes paramount importance due to its direct impact on safeguarding financial confidentiality. Preserving the integrity of personal and corporate information from prying eyes is central. By introducing a user-centric solution that leverages stealth addresses for anonymous transactions, Xcrypt empowers users to regain control over their financial privacy and alleviate the potential pitfalls linked with identity exposure.\n\n### ☄️ Value Proposition\n- Enhanced Privacy: Xcrypt utilizes stealth addresses, allowing users to receive funds without revealing their real addresses. This provides a significant level of privacy for individuals and businesses, ensuring that their financial activities are shielded from prying eyes.\n\n- User-Friendly Solution: Xcrypt aims to be accessible and user-friendly for both power users and non-power users. The generation and usage of Xcrypt IDs and stealth addresses are designed to be simple and intuitive, enabling a wide range of users to adopt and utilize the solution without technical complexity.\n\n- Affordability and Speed: Xcrypt is built on the Botanix Blockchain, chosen for its fast and affordable transactions. By leveraging Botanix blockchain, Xcrypt offers users the benefits of privacy without sacrificing transaction speed or incurring high fees commonly associated with other privacy-focused solutions.\n\n- Bridge the Gap: Xcrypt fills the gap between expensive and complex privacy solutions, such as Monero, and non-private transfers on transparent blockchains. It provides an intermediate solution that offers a significant level of privacy without the need for specialized tools or high costs.\n\n- Wide Applicability: Xcrypt's privacy solution can be applied to various use cases. It can benefit individuals who want to keep their financial transactions private, businesses that need to protect their financial information, and anyone concerned about the risks associated with revealing their identity during transactions.\n\n- Market Differentiation: Xcrypt stands out in the market by offering a unique approach to privacy in blockchain transactions. While other solutions rely on heavy computations or complex methodologies, Xcrypt simplifies the process with stealth addresses and Xcrypt IDs, making it more accessible and user-friendly.\n\n### ✒ Technical Description\n- The Xcrypt solution implements stealth addresses on the Botanix Blockchain using a combination of cryptographic techniques to ensure transaction security and user privacy. Let’s break down the key steps and encryption methods involved:\n\n- Stealth Addresses Generation:\n Receiver, generates a root spending key (receiver private key) and computes a stealth meta-address (receiver public key or receiver’s address) using elliptic curve cryptography. This stealth meta-address (receiver’s address) becomes a publicly known identifier for the receiver on the blockchain.\n\n- Ephemeral Key Generation:\n The Sender, generates an ephemeral key (sender’s private key) which the sender keeps secret. This key is like a temporary secret code.\n\n- Shared Secret Creation:\n The Sender combines his ephemeral key (sender’s private key) with Receiver’s stealth meta-address (receivers public key) to create a shared secret (S). This shared secret is a private connection between Sender and Receiver.\n\n- Ephemeral Public Key Publishing:\n Sender creates an ephemeral public key (senders public key) from his ephemeral key (senders private key) and publishes it on a public registry. This public key can be seen by anyone.\n\n- Transaction Process:\n Sender sends funds to a stealth address, which is derived from the combination of his ephemeral key (senders private key) and Receiver’s meta-address (receivers public key).\n\n- Recipient’s Discovery:\n Receiver scans the public registry for ephemeral public keys (senders public key) and tries to unlock special addresses (stealth addresses) using his spending key (receivers private key) and the shared secrets (S). If funds are found in an address, Receiver can access them.\n\n- Address Ownership and Privacy:\n The transaction details are recorded on the blockchain, but the connection between the recipient’s real address and the stealth address remains private. This adds a layer of privacy by making it difficult for external observers to link transactions to specific recipients.\n\n- The cryptographic techniques used in this process include:\n\n Elliptic Curve Cryptography (ECC): This is used to generate private and public keys, compute shared secrets, and create addresses. ECC provides a secure way to perform mathematical operations that ensure transaction security and privacy.\n\n Hash Functions: Hashing is used to derive addresses from public keys and shared secrets. Hash functions are one-way functions that add an extra layer of security to the process.\n\n Public Key Registries: The public registry where ephemeral public keys are published allows participants (like Receiver) to scan and identify stealth addresses. This mechanism helps maintain privacy without revealing the actual recipient’s address.\n\nThe Xcrypt solution leverages these cryptographic methods to create a system where transactions are secure, and recipient privacy is preserved through the use of stealth addresses.\n\n### 💻 Implementation\n- We have started with a standard Hardhat project and added essential methods to the StealthAddress contract. To enhance credibility, we intentionally avoided making the contract upgradeable, as there's no on-chain governance currently. If an upgrade is needed, we'll deploy a new version and provide client-side support.\n- Next, we developed the UI/UX using React and TypeScript, focusing on a simple yet elegant design for both power and non-power users. The UI colors and feel is being build keeping in mind the Botanix Blockchain.\n- We used wagmi library for blockchain interactions which streamlined the process.\n- The elliptic library handled the complex math involved with elliptic curves, and both libraries featured TypeScript typings, making them a joy to work with.\n- Tools Used: Solidity, Hardhat, Botanix Blockchain, React, Typescript, Wagmi and Metamask.\n\n### 👥 Intended Users\n- The intended users of Xcrypt would be anyone who values privacy in their transactions and wants to keep their identity hidden. This could include individuals who want to keep their financial transactions private, businesses that want to protect their financial information, or anyone who wants to avoid the risks associated with revealing their identity in a transaction.\n- Xcrypt is designed to be user-friendly for both power and non-power users, making it accessible to a wide range of people.\n\n### ⚔ Challenges\n- The main challenge was designing the best possible user experience, which we believe the current implementation achieves.\n- Another challenge was signing and sending withdrawal transactions without using the connected user wallet. We resolved this by creating a custom-built transaction broadcasted via public RPC URLs, which works effectively.\n\n### Acknowledgements\n- The project is being inspired from Umbra Protocol and Hazed and some parts of the code has been used.\n- The deployment on the Botanix Blockchain and its integration with the Botanix Blockchain is our original work.\n- Also the transferring of 1% of the total amount as platform fees is something that have been done for the first time.\n\n### 💹 Market Analysis\n- Xcrypt's solution addresses a significant market opportunity by providing privacy in blockchain transactions. Privacy has become a crucial concern in the blockchain industry as individuals and businesses increasingly recognize the risks associated with transparent transactions. By offering a user-friendly and accessible solution, Xcrypt taps into a growing demand for privacy-enhancing tools in the blockchain space.\n- The Total Addressable Market (TAM) for Xcrypt's solution is substantial. As blockchain technology continues to gain adoption across industries, the need for privacy in transactions becomes more prevalent. Individuals who value financial privacy, businesses seeking to protect sensitive financial information, and anyone concerned about the risks of identity exposure in transactions represent a wide range of potential users for Xcrypt.\n- Xcrypt differentiates itself from incumbent competitors by providing a simpler and more cost-effective solution. Existing privacy-focused blockchains like Monero require specialized tools and incur higher costs, making them less accessible to mainstream users. Xcrypt bridges the gap between complex and expensive privacy solutions and non-private transfers, offering a user-friendly option with its stealth address implementation. The ease of generating Xcrypt IDs and utilizing stealth addresses sets Xcrypt apart from incumbent competitors.\n- Furthermore, Xcrypt leverages the Botanix Blockchain, which provides fast and affordable transactions. This strategic choice enhances the scalability and usability of the solution, making it attractive to users who prioritize transaction speed and cost-efficiency.\n\n### ☄️ What's next?\n- Currently, Xcrypt only supports native coin transfers(BTC). However, adding support for tokens and NFTs would greatly enhance its utility. We are considering implementing relayer nodes to mint and sell notes as tokens (or NFTs) in exchange for covering user fees on transfers.\n- This approach allows users to maintain their anonymity while using note tokens to request relayers to cover fees and pay for transactions. Competition between relayers could help keep transfer fees reasonable.\n- Deploying Xcrypt on the Botanix Mainnet as soon as possible 😉.\n- Expanding Xcrypt by enabling cross-chain transactions. Additionally, gas optimization in the StealthAddress contract and its interaction with the receiving side can be improved.\n- Obtaining a legal opinion on Xcrypt's regulatory compliance would be beneficial. However, since the StealthAddress contract is on the blockchain and the code is available on GitHub, funds will remain accessible even if the website is shut down.\n- Future UX improvements include notifications for funds received on new controlled stealth addresses and a mobile app (although the website is mobile-friendly). The possibilities are endless!\n\n### 🌟 Conclusion\n- Xcrypt is a user-friendly and innovative solution that addresses the growing need for privacy in blockchain transactions. By leveraging stealth addresses and the Botanix Blockchain, Xcrypt provides a simple and cost-effective way for users to keep their financial transactions private. With a substantial market opportunity and a focus on usability, Xcrypt has the potential to become a leading privacy solution in the blockchain industry.","teamDescription":"- Shubham Gupta: Full-Stack Blockchain Developer with a strong knack for Entrepreneurship.","githubPage":"https://github.com/Xcrypt-Privacy/xcrypt-contracts","githubVerify":0,"demoLink":null,"demoVideo":null,"ownerTitle":null,"ownerIntroduction":null,"twitterVerified":false,"weibo":null,"nft":null,"scOwner":"","editTime":1723820713,"upvotes":"0.00","isRecruitingEnabled":false,"recruitingInfo":"","recruitingLink":null,"twitter":"Xcrypt_Privacy","facebook":null,"instagram":null,"socialTelegram":null,"socialDiscord":null,"socialLinks":[],"showedFunding":false,"createdAt":"2024-03-31T18:59:26.744409+08:00","updatedAt":"2024-08-16T23:05:13.417156+08:00","milestoneEditor":83862,"path":"/buidl/11014","techField":"","techFieldAry":[],"techTree":[0],"tags":[71,83],"otherTags":["infra:Botanix"],"origin":"-","intro":"### ✍ Project Overview\n- Xcrypt is a privacy-focused solution addressing the need for anonymity in blockchain transactions. It tackles the risk of exposing the identities and financial information of users by enabling anonymous transactions on the Botanix Blockchain. The solution utilizes stealth addresses on the Botanix Blockchain, allowing users to receive funds without revealing their real addresses.\n- The project draws inspiration from existing privacy-focused blockchains like Monero and tools like Tornado Cash, but aims to bridge the gap between complex and expensive privacy solutions and non-private transfers.\n- It empowers users to maintain their privacy, fostering trust and security in the blockchain industry.\n- Overall, Xcrypt has the potential to become a leading privacy solution, ensuring the confidentiality and anonymity of blockchain transactions.\n\n### 😎 Idea\n- I've always been fascinated by the concept of anonymity in blockchains, with various methods available to achieve it.\n- Privacy-focused blockchains like Monero and widely-used networks like Tornado Cash, which is based on anonymity sets or zero-knowledge proof solutions, provide near-perfect privacy for both parties in a transaction.\n- However, they require specialized tools or come at a higher cost than direct transfers, leaving a gap between expensive, complex solutions and non-private transfers.\n- Recently, Vitalik published an article titled \"An Incomplete Guide to Stealth Addresses,\" which provided missing pieces of a simple yet effective solution for anonymous transactions, at least for the receiving party.\n- Inspired by this idea we decided to create a user-friendly tool utilizing stealth addresses. We chose Botanix as the initial network for its implementation due to its fast and affordable transactions.\n\n### ⚔ What’s difference between Xcrypt and other wallets?\nXcrypt is all about keeping your financial matters private. Unlike regular wallets, where sharing your address can reveal what you've been up to, Xcrypt is different. Instead of giving out your real wallet address, you share something called a Xcrypt ID. It's like a secret code, and it doesn't link to any specific place on the blockchain.\n\nWhen you want someone to send you money, Xcrypt uses a special method called Diffie-Hellman key exchange (don't worry, we won't get too technical). The result is a new secret address created just for that transaction. The cool part is, even the person sending you money can't figure out your real wallet address because you only share your Xcrypt ID with them. And each time, a fresh new address is made.\n\nOnly you, the owner of the Xcrypt ID, have control over these secret addresses. Everyone else, including the sender, doesn't know where your real wallet is—it's like a constantly changing secret. Xcrypt makes privacy easy and clever, so your financial business stays your business.\n\n### 📺 Background & Context\n- Issue Addressed: Xcrypt addresses the pressing concern of inadequate privacy in blockchain transactions. While the blockchain guarantees transparency and immutability, it simultaneously exposes sensitive details of transactions, such as sender and recipient addresses. This lack of privacy imposes significant risks on both individuals and businesses, potentially connecting their financial actions to real-world identities.\n\n- Fundamental Privacy: Privacy holds a crucial role in financial transactions. Without a robust privacy layer, users remain vulnerable to an array of risks:\n\n - Identity Exposure: Open blockchain transactions create an avenue for observers to correlate transactions with specific people or entities. This jeopardizes financial privacy and exposes individuals to potential targeting or surveillance.\n\n - Financial Profiling: In-depth profiling of individuals and businesses becomes possible through the analysis of blockchain transactions. This includes identifying spending habits, income sources, and financial associations. Such data can be exploited for targeted ads, discrimination, or even extortion.\n\n - Security Gaps: Transparent blockchains, when repeatedly used for transactions, render users susceptible to hacking and phishing threats. Criminals can analyze transaction histories to discern patterns, monitor balances, and exploit security vulnerabilities.\n\n - Business Exposure: Transparent transactions inadvertently reveal confidential financial information of companies, like sales figures, supply chain connections, and partnerships. Competitors can leverage this intel to gain an edge, potentially undermining business competitiveness.\n\n - Regulatory Hurdles: Certain industries, such as healthcare and finance, mandate stringent privacy regulations. Transparent blockchain transactions could clash with these standards, resulting in legal complications or penalties for non-compliance.\n\n- Significance: Addressing this issue assumes paramount importance due to its direct impact on safeguarding financial confidentiality. Preserving the integrity of personal and corporate information from prying eyes is central. By introducing a user-centric solution that leverages stealth addresses for anonymous transactions, Xcrypt empowers users to regain control over their financial privacy and alleviate the potential pitfalls linked with identity exposure.\n\n### ☄️ Value Proposition\n- Enhanced Privacy: Xcrypt utilizes stealth addresses, allowing users to receive funds without revealing their real addresses. This provides a significant level of privacy for individuals and businesses, ensuring that their financial activities are shielded from prying eyes.\n\n- User-Friendly Solution: Xcrypt aims to be accessible and user-friendly for both power users and non-power users. The generation and usage of Xcrypt IDs and stealth addresses are designed to be simple and intuitive, enabling a wide range of users to adopt and utilize the solution without technical complexity.\n\n- Affordability and Speed: Xcrypt is built on the Botanix Blockchain, chosen for its fast and affordable transactions. By leveraging Botanix blockchain, Xcrypt offers users the benefits of privacy without sacrificing transaction speed or incurring high fees commonly associated with other privacy-focused solutions.\n\n- Bridge the Gap: Xcrypt fills the gap between expensive and complex privacy solutions, such as Monero, and non-private transfers on transparent blockchains. It provides an intermediate solution that offers a significant level of privacy without the need for specialized tools or high costs.\n\n- Wide Applicability: Xcrypt's privacy solution can be applied to various use cases. It can benefit individuals who want to keep their financial transactions private, businesses that need to protect their financial information, and anyone concerned about the risks associated with revealing their identity during transactions.\n\n- Market Differentiation: Xcrypt stands out in the market by offering a unique approach to privacy in blockchain transactions. While other solutions rely on heavy computations or complex methodologies, Xcrypt simplifies the process with stealth addresses and Xcrypt IDs, making it more accessible and user-friendly.\n\n### ✒ Technical Description\n- The Xcrypt solution implements stealth addresses on the Botanix Blockchain using a combination of cryptographic techniques to ensure transaction security and user privacy. Let’s break down the key steps and encryption methods involved:\n\n- Stealth Addresses Generation:\n Receiver, generates a root spending key (receiver private key) and computes a stealth meta-address (receiver public key or receiver’s address) using elliptic curve cryptography. This stealth meta-address (receiver’s address) becomes a publicly known identifier for the receiver on the blockchain.\n\n- Ephemeral Key Generation:\n The Sender, generates an ephemeral key (sender’s private key) which the sender keeps secret. This key is like a temporary secret code.\n\n- Shared Secret Creation:\n The Sender combines his ephemeral key (sender’s private key) with Receiver’s stealth meta-address (receivers public key) to create a shared secret (S). This shared secret is a private connection between Sender and Receiver.\n\n- Ephemeral Public Key Publishing:\n Sender creates an ephemeral public key (senders public key) from his ephemeral key (senders private key) and publishes it on a public registry. This public key can be seen by anyone.\n\n- Transaction Process:\n Sender sends funds to a stealth address, which is derived from the combination of his ephemeral key (senders private key) and Receiver’s meta-address (receivers public key).\n\n- Recipient’s Discovery:\n Receiver scans the public registry for ephemeral public keys (senders public key) and tries to unlock special addresses (stealth addresses) using his spending key (receivers private key) and the shared secrets (S). If funds are found in an address, Receiver can access them.\n\n- Address Ownership and Privacy:\n The transaction details are recorded on the blockchain, but the connection between the recipient’s real address and the stealth address remains private. This adds a layer of privacy by making it difficult for external observers to link transactions to specific recipients.\n\n- The cryptographic techniques used in this process include:\n\n Elliptic Curve Cryptography (ECC): This is used to generate private and public keys, compute shared secrets, and create addresses. ECC provides a secure way to perform mathematical operations that ensure transaction security and privacy.\n\n Hash Functions: Hashing is used to derive addresses from public keys and shared secrets. Hash functions are one-way functions that add an extra layer of security to the process.\n\n Public Key Registries: The public registry where ephemeral public keys are published allows participants (like Receiver) to scan and identify stealth addresses. This mechanism helps maintain privacy without revealing the actual recipient’s address.\n\nThe Xcrypt solution leverages these cryptographic methods to create a system where transactions are secure, and recipient privacy is preserved through the use of stealth addresses.\n\n### 💻 Implementation\n- We have started with a standard Hardhat project and added essential methods to the StealthAddress contract. To enhance credibility, we intentionally avoided making the contract upgradeable, as there's no on-chain governance currently. If an upgrade is needed, we'll deploy a new version and provide client-side support.\n- Next, we developed the UI/UX using React and TypeScript, focusing on a simple yet elegant design for both power and non-power users. The UI colors and feel is being build keeping in mind the Botanix Blockchain.\n- We used wagmi library for blockchain interactions which streamlined the process.\n- The elliptic library handled the complex math involved with elliptic curves, and both libraries featured TypeScript typings, making them a joy to work with.\n- Tools Used: Solidity, Hardhat, Botanix Blockchain, React, Typescript, Wagmi and Metamask.\n\n### 👥 Intended Users\n- The intended users of Xcrypt would be anyone who values privacy in their transactions and wants to keep their identity hidden. This could include individuals who want to keep their financial transactions private, businesses that want to protect their financial information, or anyone who wants to avoid the risks associated with revealing their identity in a transaction.\n- Xcrypt is designed to be user-friendly for both power and non-power users, making it accessible to a wide range of people.\n\n### ⚔ Challenges\n- The main challenge was designing the best possible user experience, which we believe the current implementation achieves.\n- Another challenge was signing and sending withdrawal transactions without using the connected user wallet. We resolved this by creating a custom-built transaction broadcasted via public RPC URLs, which works effectively.\n\n### Acknowledgements\n- The project is being inspired from Umbra Protocol and Hazed and some parts of the code has been used.\n- The deployment on the Botanix Blockchain and its integration with the Botanix Blockchain is our original work.\n- Also the transferring of 1% of the total amount as platform fees is something that have been done for the first time.\n\n### 💹 Market Analysis\n- Xcrypt's solution addresses a significant market opportunity by providing privacy in blockchain transactions. Privacy has become a crucial concern in the blockchain industry as individuals and businesses increasingly recognize the risks associated with transparent transactions. By offering a user-friendly and accessible solution, Xcrypt taps into a growing demand for privacy-enhancing tools in the blockchain space.\n- The Total Addressable Market (TAM) for Xcrypt's solution is substantial. As blockchain technology continues to gain adoption across industries, the need for privacy in transactions becomes more prevalent. Individuals who value financial privacy, businesses seeking to protect sensitive financial information, and anyone concerned about the risks of identity exposure in transactions represent a wide range of potential users for Xcrypt.\n- Xcrypt differentiates itself from incumbent competitors by providing a simpler and more cost-effective solution. Existing privacy-focused blockchains like Monero require specialized tools and incur higher costs, making them less accessible to mainstream users. Xcrypt bridges the gap between complex and expensive privacy solutions and non-private transfers, offering a user-friendly option with its stealth address implementation. The ease of generating Xcrypt IDs and utilizing stealth addresses sets Xcrypt apart from incumbent competitors.\n- Furthermore, Xcrypt leverages the Botanix Blockchain, which provides fast and affordable transactions. This strategic choice enhances the scalability and usability of the solution, making it attractive to users who prioritize transaction speed and cost-efficiency.\n\n### ☄️ What's next?\n- Currently, Xcrypt only supports native coin transfers(BTC). However, adding support for tokens and NFTs would greatly enhance its utility. We are considering implementing relayer nodes to mint and sell notes as tokens (or NFTs) in exchange for covering user fees on transfers.\n- This approach allows users to maintain their anonymity while using note tokens to request relayers to cover fees and pay for transactions. Competition between relayers could help keep transfer fees reasonable.\n- Deploying Xcrypt on the Botanix Mainnet as soon as possible 😉.\n- Expanding Xcrypt by enabling cross-chain transactions. Additionally, gas optimization in the StealthAddress contract and its interaction with the receiving side can be improved.\n- Obtaining a legal opinion on Xcrypt's regulatory compliance would be beneficial. However, since the StealthAddress contract is on the blockchain and the code is available on GitHub, funds will remain accessible even if the website is shut down.\n- Future UX improvements include notifications for funds received on new controlled stealth addresses and a mobile app (although the website is mobile-friendly). The possibilities are endless!\n\n### 🌟 Conclusion\n- Xcrypt is a user-friendly and innovative solution that addresses the growing need for privacy in blockchain transactions. By leveraging stealth addresses and the Botanix Blockchain, Xcrypt provides a simple and cost-effective way for users to keep their financial transactions private. 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