Time for BCH to look at Drivechain at least zside project to finally solve auditable moveable coin from main-chain to zside orchard drive-chain and improve bch privacy problem
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This is possible since CashTokens upgrade, here’s a high-level of how it could work:
Along these lines: CashTokens enables trustless proof-of-stake sidechains run by sets of cashtoken holders. Withdrawal transactions can be processed on an interval by a vote of token holders + “enforced vote secrecy” https://github.com/bitjson/cashtokens/blob/master/examples.md#sealed-voting
Works just as well for a prediction market as it could work for a trustless mixing service, effectively like http://Tornado.cash, but doesn’t have to be written in a blockchain VM language, you can just write the thing in Rust or whatever (the only mainchain consensus code is some simple covenants + CashTokens)
So more plainly: you can launch Zcash/monero clones as proof-of-stake sidechains, and deposit/withdraw BCH whenever
(and atomic swaps work between the chains)
The gist is that we can do the same withdrawal process as Drivechain: https://github.com/bitcoin/bips/blob/master/bip-0300.mediawiki, but instead of having miners vote, the cashtoken holders vote. Vote coordination is discouraged by the sealed voting idea from Truthcoin (page 43) https://bitcoinhivemind.com/papers/truthcoin-whitepaper.pdf
So there are 3 types of assets: BCH, sidechain “shares” (cashtokens), and sidechained-BCH (BCH that is locked in the covenant and currently being used on the sidechain). More info: https://drivechain.info/literature/index.html
An unlimited number of such sidechains can be created, they just need to grow a large enough shareholder base that a single person controls no more than 50% of the token. E.g. even if group of fraudsters owns >50% it’s still secure because one of the groups members can profitably double-cross it. All that matters is determining whether a single rational actor has a majority stake. (Page 25 here https://bitcoinhivemind.com/papers/truthcoin-whitepaper.pdf)
– Jason Dreyzehner on Telegram
Nothing stopping anyone from working it out and building it, but who has the resources?
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@bitcoincashautist i agree Zside Orchard for bch looks like the best option right now
everyone need to have a serious discussion about it and how to implement it the fasted & safest way into bch without compromise
can’t let LTC have all the fun & market share with MWEB
@bitcoincashautist that’s true it only started and proper mobile wallet has not came yet but overall bch community must watch MWEB and TARI development
but zcash orchard has more potential and it is much needed into bch
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