Atlas Protocol Docs
  • Introduction
    • What is Atlas Protocol?
    • Understanding the Bitcoin Landscape
    • The Problem
    • The Solution
  • Atlas Protocol Basics
    • Multi-chain Bitcoin Liquid Staking
    • Security
    • Decentralization
    • Custody
    • How Atlas Works
    • atBTC (Atlas Bitcoin)
    • Yield Generation
    • Chain Abstraction on NEAR
  • 'The First Pillar' Testnet
    • Quest 1 - Walkthrough Guide
    • Quest 2 - Walkthrough Guide
    • Quest 3 - Walkthrough Guide
    • Quest 4 - Walkthrough Guide
    • Quest 5 - Walkthrough Guide
  • Advanced Process Flows
    • Deposit BTC Process Flow
    • Redeem atBTC Process Flow
  • Roadmap
  • Links
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  • Deposit Process (Simplified)
  • Redemption Process (Simplified)
  1. Atlas Protocol Basics

How Atlas Works

PreviousCustodyNextatBTC (Atlas Bitcoin)

Last updated 7 months ago

Atlas Protocol streamlines the process of staking Bitcoin and participating in DeFi across multiple blockchains. It leverages NEAR Protocol's chain signature technology to facilitate secure and efficient cross-chain interactions.

The process involves two main phases: Deposit and Redemption.

Deposit Process (Simplified)

For a deeper technical understanding of the Deposit Process, please check out our documentation

  1. Initiate Deposit

    • A Bitcoin user interacts with the Atlas Protocol via a NEAR smart contract.

    • The user initiates a native BTC deposit using their Bitcoin wallet.

  2. Chain Signature Request for Staking

    • The Atlas smart contract requests a NEAR Chain Signature.

    • This signature authorizes the receipt and transfer of BTC to a Bitcoin staking protocol to generate yield.

  3. Minting atBTC

    • The Atlas smart contract requests another NEAR Chain Signature.

    • Corresponding atBTC is minted and sent to the user's desired NEAR or EVM-compatible wallet.

  4. Utilize atBTC in DeFi

    • The user can now utilize atBTC in various DeFi protocols across multiple blockchains.

    • Meanwhile, the underlying BTC collateral continues to earn passive yield through the staking protocol.

Redemption Process (Simplified)

  1. Initiate Redemption

    • A user holding atBTC initiates a redemption request with Atlas Protocol via the NEAR smart contract.

    • The smart contract receives and burns the atBTC tokens.

  2. Chain Signature Request for Withdrawal

    • The Atlas smart contract requests a NEAR Chain Signature.

    • Corresponding native BTC is withdrawn from the Bitcoin staking protocol.

  3. Return of Native BTC

    • The Atlas smart contract requests a NEAR Chain Signature to send the native BTC.

    • The BTC is sent to the user's specified native Bitcoin wallet.

For a deeper technical understanding of the Redemption Process, please check out our documentation

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