Bridge

Lightning Bridge

The Lightning Bridge allows you to bridge $TAO between Ethereum and Bittensor instantly and automatically, instead of over the course of days with the standard taobridge.xyz.

What do I need to use the Lightning Bridge?
  • Must have an Ethereum or Bittensor wallet loaded into the bot with the asset you wish to convert from.

  • Must have added an Ethereum or Bittensor wallet to your Address Book to receive the asset you wish to convert to.

  • If converting from WTAO, you must have some ETH in your Ethereum wallet to cover gas fees. Note that if you are converting from TAO, this fee is charged in TAO.

What are the fees of the Lightning Bridge?
  • A 1% Protocol Fee, which can be lowered to 0.5% with sufficient $TAOBOT stake.

  • A 25% Arbitration Fee. This fee is levied when there is a positive price difference between TAO and WTAO, and the asset you are converting to is trading at a premium to the asset you are converting from. The arbitration fee is 25% of that premium difference.

  • Note that if the asset you are converting to is trading at a deficit to the asset you are converting from, the arbitration fee is not levied. In other words, the arbitration fee is only levied if the user stands to gain from the bridge transaction.

  • For example, say a user wants to bridge 2 TAO to WTAO. TAO is trading at $650 and WTAO is trading at $660.

  • First, the 1% Protocol Fee is levied. 1% of 650 * 2 is $13.00.

  • Second, the 25% Arbitration Fee is levied since WTAO is trading at a premium to TAO. There exists a $10 premium between WTAO and TAO. 25% of 10 * 2 = $5.00.

  • The total fee charged by tao.bot is $18.00

  • Also note that a separate gas fee is charged to pay either for extracting the WTAO from your wallet (if bridging from WTAO to TAO) or for depositing WTAO to your wallet (if bridging from TAO to WTAO)

Guide

To navigate to Bridge, start by calling the bot with /start.

Then either click on the bridge button or call the Menu with /bridge.

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