Security Model
ReserveBTC implements a comprehensive security architecture designed to protect user assets while maintaining the decentralized and trustless nature of Bitcoin and DeFi.
Core Security Principles
Self-Custody First
Users maintain full control of their Bitcoin at all times. No custody transfer required.
Oracle-Based Architecture
Automated Oracle monitoring provides secure and reliable balance synchronization.
Transparent Operations
All protocol operations are verifiable on-chain and open source.
Decentralized Architecture
No single point of failure in the protocol design or Oracle system.
Continuous Monitoring
Real-time balance verification ensures perfect backing ratios.
Audited Code
Smart contracts undergo rigorous security audits by leading firms.
Multi-Layer Security Architecture
Bitcoin Layer Security
Self-Custody Model
- • Bitcoin remains in user's wallet
- • No private key sharing required
- • No bridge or custody risks
- • Users control their own security
Address Verification
- • BIP-322 signatures (planned for mainnet)
- • All Bitcoin address types supported
- • Currently mock verification for testnet
- • Industry-standard methodology when deployed
Oracle Layer Security
Data Integrity
- • BlockCypher API integration
- • 5-minute monitoring intervals
- • Delta validation and noise filtering
- • Committee-based authorization
Decentralization
- • Multiple Oracle node operators
- • Consensus-based verification
- • No single point of failure
- • Economic incentive alignment
Smart Contract Security
Code Quality
- • 206 security tests passing
- • E2E and resilience testing
- • Comprehensive test coverage
- • Open source transparency
Access Control
- • Committee-based Oracle access
- • Role-based permissions
- • Soulbound token restrictions
- • Fee management controls
Risk Assessment & Mitigation
Identified Risks
Oracle Manipulation
Risk of false balance reporting
Smart Contract Bugs
Potential code vulnerabilities
User Key Security
Private key compromise risks
Network Attacks
Blockchain network disruptions
Mitigation Strategies
Multi-Oracle Consensus
Multiple independent verifications required
Extensive Auditing
Regular security audits and formal verification
User Education
Security best practices and guidance
Redundant Systems
Multiple failsafes and backup mechanisms
Audits & Verification
Smart Contract Audits
Independent security audits by leading blockchain security firms
View Audit ReportsSecurity Best Practices for Users
✅ Recommended Practices
- Use hardware wallets for Bitcoin storage
- Keep wallet software updated
- Verify all transaction details
- Use official ReserveBTC interface only
- Enable 2FA on all accounts
- Regular security backups
❌ Security Risks
- Never share private keys or seed phrases
- Avoid public WiFi for transactions
- Don't use custodial exchange wallets
- Never sign unknown messages
- Avoid phishing websites
- Don't trust unverified communications
🚨 Emergency Procedures
If You Suspect Compromise
- Immediately move Bitcoin to new address
- Revoke all connected app permissions
- Change wallet passwords
- Monitor for unauthorized transactions
- Contact support if tokens affected
Protocol Emergency Response
- • Pause mechanism for critical issues
- • Governance voting for major changes
- • Multi-sig protection for upgrades
- • Community notification systems
- • Bug bounty program active