RenVM Mainnet is the new decentralized finance (DeFi) protocol. That will allow interoperability between the Bitcoin, Bitcoin Cash and Zcash blockchains with the intelligent ecosystems of Ethereum. So users will be able to use these cryptocurrencies within any DeFi application.
Every day new developments focused on decentralized finance (DeFi) are presented. This with the aim of creating an alternative that allows providing solutions and services to users, which are fully built on decentralized infrastructures.
For this reason, this was recently officially announced on launch of the project RenVM Mainnet by the startup Ren. RenVM Mainnet is a project aimed at offering interoperability to decentralized finance (DeFi), which will have a major impact on the current crypto ecosystems.
Thus, one of the properties of RenVM that most captures the attention of the crypto community is that it will allow the integration of cryptocurrencies such as Bitcoin, Zcash y Bitcoin Cash to the Ethereum decentralized finance ecosystem. For this, RenVM operates as a decentralized custodian that allows users to burn crypto assets in a 1:1 ratio within the network. Ethereum and in the form of tokens ERC-20. So users will be able to use their BTC, BCH and ZEC in any DeFi application.
Ren has sought to implement solutions that allow users to have autonomy and sovereignty over the management of their own assets. Since the birth of cryptocurrencies and blockchain technology, a new approach to finance has been developed and adopted. One in which the figure of a trusted third party is no longer necessary to carry out our own operations, and that decentralized finance (DeFi) has perfected.
In this sense, Ren implements its new RenVM Mainnet solution. Which allows users absolute access and control over their funds through DeFi. With which they can enjoy the freedom to carry out all the operations they require without the need for trusted third parties or centralized intermediaries.
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What is RenVM?
RenVM Mainnet is a decentralized and trustless custodian which drives interoperability for DeFi. Allowing you to carry out any type of financial operations with various cryptographic assets between several blockchains.
The concept of interoperability that this project implements is based on the tokenized representation of cryptographic assets. And it allows users to maintain control over their assets while they move between various chains.
Within RenVM, users can trade BTC, BCH, and ZEC, burning these cryptocurrencies within the network. Which will be represented by their equivalents in Ethereum ERC-20 tokens such as renBTC, renBCH and renZEC. Which have a 1:1 relationship with respect to the original assets. This is in order to maintain and guarantee the support of the tokens for the same value and the same amount of the cryptocurrency.
Thus, in a clearer way, RenVM has the potential to block cryptocurrencies and create their equivalent representations within other blockchains. Respecting the 1:1 proportion in quantity and value. Which allows users to interact in several applications and blockchains with several assets at the same time in the same transaction.
For its part, being a decentralized custodian, RenVM stores assets within a network of decentralized nodes, known as Dark Nodes. Which allow the process of integration and burning of assets to be carried out in a fluid and constant manner, guaranteeing the interoperability of the system.
Project features and benefits
The main advantage of this system is the universal interoperability it provides for blockchains. There are no limits on the amount of cryptocurrencies to use or the blockchain you want to use. RenVM allows any asset to be used in any DeFi application.
For its part, this system also offers scalability and robustness. RenVM has the RZL MPC algorithm which provides automatic adjustment to the network as more assets come into custody.
Likewise, this algorithm allows nodes to execute scripts without revealing the inputs or outputs of the script. Ensuring maximum protection to the system. And not only that, RenVm has an extremely secure system based on the secrecy of Shamir. Making it almost impossible to attack. Additionally, it presents a solution that allows for the restoration of funds in the unlikely event that an attack is successfully executed.
Likewise, thanks to the implementation of this algorithm, RenVM has the ability to generate private keys (ECDSA) without the need to reveal or expose them at any time. Keeping them completely secret, even from the network nodes themselves. An aspect that is presented in other implementations such as Wrapped Bitcoin (WBTC) and that improves in RenVM.
So in general, this implementation has enormous potential capable of providing unique experiences and quality service to all its users.
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