Shinobi is a protocol for generating Secret Bitcoin (SBTC), an SNIP-20 token on the Secret Network backed by bitcoin. SBTC is pegged 1:1 with BTC, allowing users to seamlessly transfer their bitcoin to the Secret Network while maintaining privacy. The peg in and peg out actions are facilitated through a Privacy Secured Trustless Bridge, ensuring there is no middleman involved and transactions are indistinguishable from ordinary transactions on the Bitcoin blockchain. Once bitcoin is transferred to the Secret Network, all transactions become completely private, providing users with enhanced privacy and security.
One of the key features of Shinobi is its private nature. When pegging-in bitcoin to the Secret Network, the bitcoin addresses used are not distinguishable from ordinary bitcoin addresses. This means that users can send bitcoin to the Secret Network without revealing this fact to outside observers. Moreover, transactions that occur on the Secret Network are completely private, thanks to the SNIP-20 Standard on which SBTC is based. This default privacy feature makes SBTC comparable to cryptocurrencies like Monero.
Another important feature of Shinobi is its no-middleman approach. Unlike traditional bridge setups that often involve multiple parties holding private keys or even a single party in control, Shinobi utilizes smart contracts on the Secret Network to facilitate every step of the peg-in and peg-out process. By removing the need for a middleman, Shinobi provides a Privacy Secured Trustless Bridge, ensuring users can transact with complete trust and security.