The convergence of blockchain ecosystems is accelerating the evolution of decentralized finance (DeFi), paving the way for seamless asset interoperability and enhanced financial innovation. In this context, OKTC and Bytom have announced a strategic collaboration aimed at building a robust, interconnected infrastructure that bridges heterogeneous blockchain environments. This partnership focuses on cross-chain compatibility, shared governance, decentralized market-making, and the development of novel DeFi primitives.
At the heart of this initiative lies MOV, Bytom’s next-generation Layer 2 value exchange protocol built on a mainchain-sidechain architecture. MOV integrates three core components: the Magnet smart contract (value exchange engine), the Open Federated Multi-chain Framework (OFMF), and the high-speed Vapor sidechain. Together, these modules enable efficient, secure, and scalable cross-chain interactions across diverse digital and real-world assets.
By aligning their technological visions, OKTC and Bytom are setting a new standard for open financial systems — one where assets flow freely across chains, trust is algorithmically enforced, and decentralized applications (dApps) can leverage unified liquidity and credit frameworks.
👉 Discover how cross-chain integration is reshaping DeFi’s future
Core Collaboration Initiatives
1. Cross-Chain Interoperability and Mutual Token Recognition
A cornerstone of the OKTC-Bytom partnership is the establishment of bidirectional token equivalence and cross-chain compatibility between their respective ecosystems.
Tokens such as BBTC and BETH on the Bytom network will be fully equivalent to OBTC and OETH on OKTC. When users deposit BBTC into the OKTC ecosystem, it will automatically convert into OBTC, and vice versa. This seamless conversion ensures liquidity continuity and eliminates friction in asset transfers.
To achieve this, both teams are co-developing a unified cross-chain integration framework that enables:
- BTC bridging into OKTC as OBTC
- BTC bridging into MOV as BBTC
- Direct atomic swaps between OBTC and BBTC
This framework operates under a joint federated governance model, where both parties participate in managing cross-chain operations through multi-signature (multi-sig) controls. The system leverages battle-tested security protocols to safeguard private key management, ensuring that user funds remain protected throughout the cross-chain journey.
2. Joint Consensus Node Participation
To strengthen network decentralization and mutual resilience, OKTC and Bytom are committing to run consensus nodes on each other's chains.
- OK Mining Pool will deploy and operate Vapor sidechain nodes on the Bytom network, becoming active consensus participants.
- Conversely, Bytom will establish full nodes on OKTC, serving as validator nodes within its Proof-of-Stake (PoS) framework.
Each party will support the required staking of native assets — BTM for Bytom and OKT for OKTC — to meet node qualification thresholds. This reciprocal node deployment fosters deeper technical integration, improves network monitoring, and enhances overall system reliability.
👉 Learn how node participation drives blockchain decentralization
3. Decentralized Multi-Signature Market Making
One of the critical challenges in DeFi is enabling professional market makers to operate securely in non-custodial environments. Traditional centralized exchange APIs allow tiered access and fund segregation, but these features are absent in purely decentralized setups.
To address this, Bytom introduces a 3-of-2 multi-signature wallet model, involving three parties:
- Funder: Provides capital
- Market Maker: Executes trades
- Service Provider: Manages infrastructure
This structure separates trading operations from deposit/withdrawal permissions. Withdrawals are restricted to pre-approved whitelisted addresses, minimizing risk while maintaining operational flexibility.
The collaboration will extend this model to support OKTC-based assets, customizing the market-making service to accommodate OKTC’s unique transaction logic and token standards. This paves the way for deeper liquidity integration across both platforms.
4. Threshold Signature Scheme (TSS) Integration
Bytom’s proprietary Threshold Signature Scheme (TSS) is a breakthrough in secure, decentralized fund management. It operates on a (t-n) = 1-3 model — meaning any two out of three parties must sign to authorize transactions — eliminating single points of failure.
Under this partnership, TSS will be upgraded to support OKTC-native assets, allowing federated gateways and liquidity pools to manage cross-chain funds with enhanced security and transparency. This upgrade ensures that asset custody remains decentralized while enabling efficient coordination among trusted participants.
5. Atomic Swaps via Hash Time-Lock Contracts (HTLC)
To enable trustless, peer-to-peer asset exchanges between OKTC and MOV ecosystems, the two teams are jointly developing HTLC-based atomic swap protocols.
Using hash time-lock contracts:
- Users lock assets on their respective chains (e.g., OBTC on OKTC, BBTC on MOV)
- A shared cryptographic hash is generated
- Upon revealing the pre-image within a defined timeframe, both sides unlock the swapped assets
This mechanism eliminates reliance on centralized intermediaries or federation nodes, making it ideal for low-value, frequent transactions. It also enhances privacy and reduces counterparty risk — key advantages for decentralized trading scenarios.
6. On-Chain Credit Scoring Using Coin Days
A novel aspect of this collaboration is the co-development of an on-chain credit system based on coin days destroyed (CDD) — a metric that multiplies the value of transferred assets by the number of days they’ve been held.
When an asset is spent, its accumulated coin days are "destroyed." This metric serves as a powerful indicator of transaction authenticity:
- Long-held assets → High CDD → Higher trust score
- Rapidly flipped tokens → Low CDD → Lower weight in reputation systems
Bytom has already applied this principle in its MOV trading competitions to suppress wash trading. Now, with OKTC, it aims to expand this model into broader DeFi use cases — including oracle services, lending protocols, and reputation-based dApps — where trustless credit assessment is crucial.
Why This Partnership Matters for DeFi 2.0
Current DeFi ecosystems often function as isolated silos — despite rapid innovation, liquidity fragmentation and interoperability gaps persist. The OKTC-Bytom collaboration represents a pivotal shift toward DeFi 2.0, characterized by:
- True cross-chain composability
- Shared security models
- Unified liquidity layers
- Programmable asset economies
By connecting heterogeneous blockchains at the infrastructure level, this partnership enables developers to build applications that draw from multiple asset types — from native cryptocurrencies to real-world tokenized assets — without compromising decentralization or security.
Moreover, innovations like TSS, HTLC swaps, and coin-day-based credit scoring lay the groundwork for more sophisticated financial instruments — think decentralized derivatives, undercollateralized loans, and adaptive risk engines — all operating across chain boundaries.
Frequently Asked Questions (FAQ)
Q: What is MOV in the context of Bytom?
A: MOV is a Layer 2 value exchange protocol built on Bytom’s mainchain-sidechain architecture. It includes the Magnet contract engine, OFMF cross-chain gateway, and Vapor sidechain to enable fast, secure cross-chain transactions.
Q: How do BBTC and OBTC differ?
A: BBTC represents BTC pegged on Bytom’s MOV ecosystem; OBTC is BTC bridged onto OKTC. Under this collaboration, they are designed to be fully interchangeable through automated cross-chain conversion.
Q: Is user fund security guaranteed during cross-chain transfers?
A: Yes. Funds are protected through multi-signature schemes and TSS protocols, with joint governance ensuring no single entity controls assets during transit.
Q: What role does coin days destroyed play in DeFi?
A: Coin days destroyed help distinguish genuine user activity from artificial trading patterns like wash trading. Higher CDD values indicate long-term holding behavior, which can be used to weight credit scores in DeFi applications.
Q: Can developers build dApps using this integrated ecosystem?
A: Absolutely. The unified infrastructure opens opportunities for developers to create cross-chain dApps with access to shared liquidity, enhanced security models, and advanced market-making tools.
Q: Will this integration affect transaction speed or fees?
A: On the contrary — leveraging Vapor’s high-speed sidechain and optimized cross-chain messaging reduces latency and lowers gas costs compared to base-layer solutions.
The synergy between OKTC and Bytom marks a significant milestone in blockchain interoperability. As DeFi matures, such foundational partnerships will define the next era of open finance — one where assets move freely, trust is embedded in code, and innovation thrives across ecosystems.
👉 Explore how unified blockchain infrastructures power the future of finance