Merlin M-BTC
Overview
Status
Mainnet
Type
Reserve
BTC Supply
₿0
Merlin MBTC is a BTC-backed asset that primarily lives on Merlin Chain.
Assessment
Asset Custody
Users trust centralized parties with the custody of BTC backing M-BTC
When users deposit funds into Merlin, they deposit funds into a MPC wallet managed by Cobo, a institutional custodian. Information on how many signers participate in this MPC scheme is not available. Merlin has stated that more players are being added into this custody scheme.
Source
Source
Supply Issuance
We cannot verify information on M-BTC’s minting mechanism
MBTC is minted to Merlin via a bridge contract between Merlin and its parent chain. Because we cannot verify its parent chain’s contracts, we are unable to verify MBTC’s minting and burning permissions.
Censorship Resistance
M-BTC has a blacklist function
The token implementation has a blacklist function.
Governance
We cannot verify information on M-BTC’s governance mechanism
MBTC governance is likely managed via a bridge contract between Merlin and its parent chain. Because we cannot verify its parent chain’s contracts, we are unable to verify MBTC’s minting and burning permissions.
It is likely managed by the development team.
It is likely managed by the development team.
Protocol Transparency
The protocol does not provide a public proof-of-reserve
The project has not published a Proof-of-Reserves. Users trust that the custodians holding native BTC backing the derivative asset to have ample reserves.
External operators are not disclosed
Operators of the protocol are not publicly disclosed.
Redemptions enabled
Redemptions are enabled. The project has not disclosed how redemptions are processed in their documentation.
Contracts are not open-source and verified
Not all contracts related to the project are source viewable and verified.