#Merlin咱们聊聊Merlin
Fund security is directly related to the survival of the public chain.
Today, let's talk about how #Merlin protects 3.5 billion funds.
As the native Layer 2 network of Bitcoin, the importance of fund security of Merlin Chain is self-evident. In order to ensure the security of up to 3.5 billion US dollars, Merlin Chain has taken a series of comprehensive security measures and built a multi-level, all-round security system. The following are the key measures for Merlin Chain to ensure fund security:
1. Security considerations of architectural design
Merlin Chain has added layers of security to the architectural design to ensure the security and transparency of the system. This includes:
**Decentralized Oracle**: Merlin Chain adopts a multi-token staking Oracle node system to resist the risk of single point failure by decentralizing power and data transparency. Oracle nodes are responsible for collecting and batch processing transactions, generating compressed transaction data, ZK state roots and proofs, and ensuring that data is publicly accessible to the entire network.
**Diversified asset pledge**: Supports pledge of $BTC, $MERL and other mainstream BRC 20 assets, improving the flexibility and risk resistance of the system.
**Proxy pledge**: Users can choose to directly pledge assets to become Oracle nodes, or entrust assets to existing, reputable Oracle nodes for management.
**Real-time monitoring and exit mechanism**: Users can view their proxy pledge status and income in real time, as well as the performance record of proxy nodes. At the same time, a flexible exit mechanism is provided, and users can withdraw their assets at any time to ensure the liquidity of funds.
2. Security of the data storage layer
Merlin Chain uses Celestia as the data availability layer to ensure the verifiable release of block data and enhance the transparency and credibility of the network. Celestia provides public data availability guarantees, allowing everyone to view and store the status of MerlinChain.
3. Verify to one layer, inherit the security of Bitcoin
MerlinChain proposes a solution based on Taproot-based aggregated zero-knowledge proof and Rollup data written to the Bitcoin mainnet. All second-layer data will be submitted to Bitcoin's first layer for security verification, inheriting the security of Bitcoin, providing L2 batch processing scalability, and ensuring that data is anchored in Bitcoin and cannot be tampered with.
4. Institutional-level security for asset management
Merlin Chain’s assets are managed by Cobo’s MPC wallet solution, which uses cold and hot wallet isolation and other measures to ensure that all cross-chain/locked funds in MerlinChain are non-custodial and secure. Cobo’s MPC technology implements a threshold signature scheme to ensure that private key shards are generated, encrypted, and distributed among multiple parties in a secure environment.
5. Joining well-known security teams
Merlin Chain has joined forces with multiple security teams such as SlowMist to build a strong defense for fund security. In addition, MerlinChain has also established the Merlin Security Council to fund research, education, and technology development, and encourage more white hats and dApps to join this decentralized organization.
6. On-chain monitoring and cooperation with independent platforms
MerlinChain supports users to conduct on-chain monitoring through third-party independent platforms such as mistTrack, query on-chain data of Merlin and its ecological projects, monitor suspicious addresses, and track deliberate behavior, to ensure fund security and provide a safe and transparent on-chain experience.
Through the above measures, Merlin Chain ensures the security of its network and funds, providing users with a reliable and secure Layer 2 solution to support the development and innovation of the Bitcoin ecosystem.
