The '1-of-N' security of BOB's BitVM bridge is powerful. But what does it really mean?
Imagine an operator wants to steal your BTC from the bridge. They make a fraudulent withdrawal claim. This starts a 7-day timer.
During that week, anyone (challengers) who sees the fraud can post a tiny transaction on Bitcoin that says, "I challenge this".
This single challenge forces the fraudulent operator into a corner. They must now publicly prove on-chain, how they arrived at their fraudulent result.
Because it's based on a lie, they will inevitably fail. The moment they fail, the protocol automatically punishes them, slashing their collateral, removing them as an operator and the fraudulent withdrawal is cancelled.
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