Technical architecture
Now we'll go into the technical details of what happens behind the scenes which allows the users to own the underlying assets. Before that a quick graph to show why a new user would choose BIT10.The back-end infrastructure for BIT10 is made possible with ICP's (Internet Computer Protocol), specifically their ICRC-1 standard.
internetcomputer.org/docs/current/references/icrc1-standard
The part we're interested in was the canister smart contracts and the capabilities that it gives us. A token canister implementing the ICRC-1 standard includes the necessary functions for managing token balances, transfers, and approvals. As well as that, Canisters can talk to other canisters which allows us to build a cohesive ecosystem of decentralized applications that can leverage each other's functionalities.
The first step was getting the price of the Token which required some real world data from an Oracle.
In DeFi, oracles play a crucial role by providing external data to smart contracts. For BIT10, we used ICP's exchange rate canister and the Coinbase API to determine the current value of the BIT10 token, ensuring accurate and up-to-date data for our DApp.
Using the ICP Exchange Rate Canister
The ICP exchange rate canister is a service on the Internet Computer that provides exchange rates for various fiat currencies and cryptocurrencies. By integrating this canister into the oracle, we ensure that the BIT10 token's value is computed using reliable and accurate exchange rate data. The exchange rate canister offers several benefits: Accuracy: Real-time Data and Decentralization.
BIT10 leverages ICP's layer-0 infrastructure for true cross-chain capabilities, enabling our all-in-one decentralized asset manager to operate seamlessly across chains like ICP, Solana, and soon Ethereum-without bridges. ICP's chain-key technology and threshold ECDSA allow native interactions with Bitcoin, Ethereum, Solana, and more, making BIT10's index funds, DEX, and lending fully interoperable and secure.
Canisters on ICP are autonomous, tamper-proof units of code and data, running on a world computer network. This powers BIT10's auto-rebalancing, over-collateralization, and real-time oracles, ensuring trustless, efficient operations. As highlighted by DFINITY, canisters function like advanced smart contracts, with HTTPS outcalls as oracles and cycles as gas-ideal for building modular DeFi products like BIT10.