Hello Bitcoiners,

how would you feel if I would tell you you can trade without counterparty risk over lightning using your phone?

Sounds exciting? Let me introduce to you, 10101 (speaks, ten ten one).

10101 - One app, all things Bitcoin

10101 is a noncustodial on-chain and Lightning wallet for the phone. It has all the bells and whistles a good Bitcoin wallet needs with an extra level of pizzazz.

  1. You can pay on-chain or off-chain to anyone on the Lightning Network, and you can receive on-chain payments or payments from anyone on the Lightning Network.
  2. It allows you to trade CFDs, options and other derivatives secured by Bitcoin.
  3. It allows you to hedge your CFD position into a stable USD position.

We are doing all this while applying the 2 rules of Bitcoin:

Rule 1: Not your keys, not your coins

The wallet in 10101 is fully noncustodial. This means, you have the power and the responsibility to manage your own funds. This is valid for your on-chain wallet as well as your Lightning wallet.

Rule 2: Not your keys, not your coins

For trading we follow the same rule: at no point in time you will have to trust the counterparty of your trade with your funds.

To achieve this we are making use of DLCs (Discreet Log Contracts).

DLCs are Bitcoin's way of bringing smart contracts on-chain: It is a contract protocol where two parties agree to exchange money dependent on the outcome of a certain event as determined by an oracle (or several oracles).

After the event happens, the oracle publishes a commitment to the outcome of the event that the winning party can use to claim their funds. The oracle does not need to know the terms of the contract (or even that a contract was set up in the first place).

Who are we

We are not a random group of devs who came together trying to reform the financial system and the world of trading. Wait, we are. But, we have proven that we can do it!

Over the last year we have been building ItchySats, a solution which enables you to trade CFDs peer-to-peer without having to trust your counterparty while you keep full custody over your coins at all times.

Before that we built atomic swaps solutions, enabling users to swap Bitcoin for Monero atomically.

Now, we are doubling down and are bringing noncustodial financial services to Lightning.


We would love to hear from you.

What do you think? Is this something that excited you?

We have a testable version life on testnet - if you are keen on giving it a try, feel free to reach out either by signing up for a beta here or you can checkout our code on GitHub here .

Cheers, bonomat

Bonus

10101 is the binary representation of 21, as in 21 mio Bitcoin and it embodies the vision of Bitcoin:

non-custodial and censorship resistance

related

swap Bitcoin for Monero atomically.

No thanks. You just ruined everything you said.

It is actually monero to bitcoin, the much better direction

no. The best direction is: shitcoiners (aka monero) can just get rekt.

Monero isn't a shitcoin.

I'm very much afraid of the following scenario: people love the stable USD thing but the contracts used to stabilize them are secretly sold by none other than the BTC/USD price oracle. Once there's a billion paper USD in people's wallets, the oracle proclaims that the price of a USD is 0 sats and runs away with everybody's money.

This is an interesting attack vector.

To avoid this the idea is to have several oracles which behave exactly like multisig on the bitcoin blockchain. For example, 2 of 3 oracles which need to agree on the BTC/USD price on various bitcoin exchanges. This way the attack you were describing is harder to accomplish (but not impossible).

There is new exciting research on oracle signatures which would make signatures and verification more efficient and we could easily have NofM oracles with N>10 or more.

по этой причине рождается 1001 место с покупкой и продажей монет. цена будит одинаковая везде.

Sorry. No.

"10101" "speaks" as "21." I think in decimal, not binary.

Fuck it. I'm "speaking" it as "blackjack."

You work for me now. Bring me another drink, wench.

Who are these oracles, and how can you trust them?

We are aware that a single oracle solution does not scale and is a challenge in regards to trust. That's why our goal is to have a multi-oracle solution.

Disclaimer: For ItchySats we were using a single oracle at the moment run by @LLFOURN.

See also another post, found here on SN, with an announcement:

10101: Announcing closed beta for noncustodial Lightning wallet https://stacker.news/items/107765

Here's a Tweet by this post's OP that kicked off a Twitter thread describing 10101 wallet futher:

What has 10x faster settlement time and is 10x cheaper and more private than other online payment methods?

The #LightningNetwork ⚡️

It is also global, more open, interoperable and censorship resistant.

The time to build on it is now!

https://twitter.com/get10101/status/1610121681082753026 [Nitter]

Interesting concept that has a lot of potential!

The biggest question mark for me is the oracles. I assume that the oracles used right now are ran by you. There's currently no real incentive for other people to run an oracle. I'd really like for this ecosystem to improve, I don't have to trust my DLC partner and the oracle colluding (because they might be the same person).

usd is a poop coin. no thanks.

It allows you to hedge your CFD position into a stable USD position.

There's a number of somewhat similar methods that exist now for a stable USD position (e.g., Valet, previously branded StandardSats). There might eventually be a stable EUR position and maybe even GBP, JPY, AUD and CNY even.

But when might there be a method for the remaining 170 or so currencies used around the world. A merchant in Kenya may not want exposure to the dollar, or the EUR. Today they pay suppliers in KES, so they'ld like a stable KES to protect against exchange rate risk.

Would it be possible for such a CFD (and oracle) to exist (for this specific currency, for example)?

To the best of our knowledge, this is the first fully noncustodial approach.

In theory you can get any currency. The hard part will be to get the liquidity, i.e. you always need 2 parties for this, one who goes long and one who goes short. The one who goes short is stable in the currency of choise, e.g. if you have BTCKES, you need someone who wants to go long BTC against KES.

Would you have a screenshot of the wallet?

I'm not sure how to post images here. But we have some in the description of the project here: https://makers.bolt.fun/project/10101

What is the story with monero? Have the atomic swaps ever reached some mobile wallet?

No, we left the project to the community so that we can focus on something new.

Is this available to play with now?

I’m blind. Missed the bottom section somehow.

Is this currently available for downloading?

We release apk's for android on our github releases. If you are interested in becoming a beta tester (also for ios) please leave us your details here an we will get in touch with you.

I don't want to test beta. I want to try your app.

Alternatively, YOU'RE the beta tester.

Is this thing on? Be sure to tip your waitress.

A little confusing but seems like a nice little project :)

Tommy from AllArk

Which part is confusing? :)

The USD swap bit. Still new to how that is done with DLCs

I'll see to share an article in the coming days on how this works.