DVNs

The Structure of LumiBitโ€™s DVNs

The Decentralized Verifier Networks (DVNs) in LumiBit are vital components responsible for verifying the integrity and authenticity of data between the BTC mainnet and LumiBit, thereby ensuring secure cross-chain communication. These networks operate using an X-of-Y-of-N consensus mechanism, where required Lumibit-BTC nodes and random non-essential nodes validate data package states through their signatures before uploading them to the BTC mainnet. By leveraging a decentralized network of validators, DVNs reduce reliance on individual nodes or entities, enhancing the security and censorship resistance of the entire cross-chain communication system.

The primary workflow of LumiBitโ€™s DVNs includes several key steps:

  1. Data Submission: Cross-chain messages sent on the source chain are encapsulated into data packets and submitted to DVNs for verification.

  2. Data Verification: DVN nodes independently verify the integrity and validity of data packets, involving checking cryptographic signatures, executing specific validation algorithms, or interacting with the source chain to confirm the authenticity of the data.

  3. Consensus on Results: Validators reach a consensus on the data state through a predetermined mechanism. Once consensus is achieved and multi-signature is completed, the verification result is submitted to the BTC mainnet, either directly or indirectly.

  4. Result Submission: After successful verification and multi-signature completion in DVNs, the data state is submitted to the BTC network for packaging. At this point, the data becomes immutable and is secured by the BTC network consensus.

DVNs not only enhance LumiBitโ€™s security but also underscore the importance of relying on Bitcoinโ€™s strong consensus, expanding the role of Layer 2 nodes.

Source: https://medium.com/@LumiBitL2/decentralized-verifier-networks-a-new-mission-for-bitcoin-layer-2-nodes-90c7ab34fa5f

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