Core Principle
You Choose, You Sign, You Are Responsible
Every action on the KRAY L2 Bridge requires your explicit authorization.
The KRAY L2 Bridge is a trustless, automated system. Validators do not make decisions — they only execute what you authorize with your signature.
Your signature on the Bitcoin blockchain is permanent proof of your authorization. It cannot be disputed or reversed.
Responsibilities
👤 Your Responsibility
- Verify destination addresses
- Choose appropriate fee rates
- Understand network conditions
- Accept delays from congestion
- Secure your private keys
- Sign transactions carefully
🤖 What the Bridge Does
- Execute your signed instructions
- Follow automated security rules
- Verify signatures are valid
- Process after challenge period
- Protect from fee spikes
- Record proof on blockchain
The bridge cannot help you recover funds sent to wrong addresses. Bitcoin transactions are irreversible. Always triple-check before signing.
Frequently Asked Questions
This is your responsibility. Lower fees mean slower confirmation — potentially hours or days. The bridge shows you current network conditions, but you make the final choice. Your signature is proof that you chose the fee rate.
The bridge has protection: minor spikes (up to 2x) proceed normally. Major spikes cause the transaction to hold until fees decrease. If fees stay high for 7+ days, the transaction is cancelled and your L2 balance is refunded. However, you accepted this risk when you signed.
During the 24-hour challenge period, cancellation may be possible. Once broadcast to Bitcoin, the transaction cannot be cancelled. Bitcoin transactions are irreversible.
A security feature that protects against fraud. After you sign, there's a 24-hour waiting period where validators verify everything is correct. If fraud is detected, the withdrawal is cancelled. This is an industry-standard practice.
Transparency and control. You see exactly what you're paying, you choose the fee rate, and your signature proves you authorized it. The bridge doesn't need a fee reserve that could be attacked.
Your funds are lost forever. Bitcoin transactions are irreversible. The bridge cannot recover funds sent to wrong addresses. Nobody can. Always verify addresses before signing.
Fee Structure
L2 Operations
- Transfers: Free with membership, or 1 KRAY
- Staking: Free
- DeFi operations: 1 KRAY
Bridge Operations
- Deposit (L1 → L2): Free (you pay Bitcoin network fee)
- Withdrawal (L2 → L1): You provide UTXO for Bitcoin fee
For withdrawals, you choose the fee rate. The bridge uses your sats to pay the network fee. Any change is returned to your address.
Security Model
Multi-Layer Protection
- Your Signature — Only you can authorize transactions
- 24-Hour Challenge — Time to detect fraud
- 2-of-3 Multisig — Validators must agree
- Fee Protection — Hold during fee spikes
- Automatic Refund — If cancelled, funds return
- Blockchain Proof — Immutable record
Your Security Responsibilities
- Never share your seed phrase or private keys
- Always verify addresses before signing
- Use hardware wallets for large amounts
- Check network conditions before withdrawing
🔐 Cryptographic Security (Schnorr Signatures)
KRAY L2 uses Schnorr signatures (BIP-340) — the same cryptographic standard used by Bitcoin Taproot. This ensures maximum security for your transactions.
Your private key NEVER leaves your device. When you sign a transaction, only the signature is sent to the server — never your private key.
How Signing Works
Why This is Mathematically Secure
- One-way function: It's mathematically impossible to derive the private key from a signature
- secp256k1 curve: Same elliptic curve used by Bitcoin since 2009
- 128-bit security: Would take longer than the age of the universe to crack
- BIP-340 standard: Audited and battle-tested by the entire Bitcoin ecosystem
What Gets Sent Over the Network
✅ Sent (Safe)
- Your public address
- Transaction details
- Signature (64 bytes)
- Public key (32 bytes)
- Nonce (replay protection)
❌ Never Sent
- Private key
- Seed phrase
- Wallet password
- Any data that could sign other transactions
Protection Against Attacks
- Intercept signature: Useless — each signature only works for that specific transaction
- Replay attack: Impossible — nonce increments with each transaction
- Modify transaction: Invalid — any change breaks the signature
- Brute force: Impossible — 2¹²⁸ attempts needed (more than atoms in the universe)
- Man-in-the-middle: Protected — HTTPS + signature verification
We use the exact same cryptographic standards as Bitcoin Taproot, Lightning Network, and all major cryptocurrency wallets. Your security is guaranteed by the same mathematics that protects billions of dollars in Bitcoin.
🏗️ Complete Security Architecture
Here's everything we do to keep your funds safe. Full transparency — no hidden mechanisms.
1. Wallet Security (Your Device)
2. L2 Transaction Security
3. Bridge Security (L1 ↔ L2)
4. Database Security
5. Anti-Fraud Protections
✅ Built-in Protections
- Nonce system: Each tx has unique number, can't replay
- Signature verification: Cryptographic proof required
- 24h challenge period: Time to detect fraud
- Rate limiting: Prevents spam attacks
- Balance checks: Can't spend more than you have
- Fee spike protection: Holds tx if fees too high
🛡️ Additional Safeguards
- Membership tiers: Free tx for card holders
- Minimum balance: Prevents dust spam
- Auto-refund: If withdrawal cancelled
- Clean UTXO check: No inscriptions in fee input
- Address validation: Must be valid bc1p...
- Amount validation: Must be positive integer
6. Open Standards We Use
- BIP-39: Mnemonic seed phrases (same as all Bitcoin wallets)
- BIP-32: Hierarchical deterministic wallets
- BIP-44: Multi-account hierarchy
- BIP-86: Taproot derivation paths
- BIP-340: Schnorr signatures
- BIP-341: Taproot spending rules
- secp256k1: Elliptic curve (Bitcoin standard)
- SHA-256: Hashing algorithm
- AES-256: Encryption for stored data
- TLS 1.3: Network encryption (HTTPS)
We don't use any proprietary or custom cryptography. Everything is based on Bitcoin's battle-tested standards that secure over $1 trillion in value. Your wallet is compatible with any BIP-86 compliant software.
7. What Happens If...
Your L1 funds (on Bitcoin blockchain) are always safe — they're secured by Bitcoin itself. L2 balances are backed 1:1 by KRAY in the bridge multisig. If servers go offline temporarily, you just wait. If permanently, the multisig keys can be used to return all funds to users.
They can't steal funds. The database only contains public information (addresses, balances, public keys). To move funds, you need to sign with your private key — which is ONLY on your device, never on our servers.
One compromised validator can't steal funds. The bridge requires 2-of-3 signatures. An attacker would need to compromise at least 2 independent validators simultaneously, which are geographically distributed and use different security measures.
Your funds are lost forever. We cannot recover them — we don't have your seed phrase. This is the tradeoff of true self-custody: you have complete control, but also complete responsibility. Always backup your seed phrase securely (offline, multiple copies, never digital photos).
Your Keys, Your Coins
We built KRAY L2 so that YOU always control your funds. Not us, not validators, not anyone else. This is true self-custody on Bitcoin.
Terms of Use
1. Acceptance
By using the KRAY L2 Bridge, you agree to these terms. If you do not agree, do not use the bridge.
2. User Responsibility
You are solely responsible for:
- Verifying all transaction details before signing
- Choosing appropriate fee rates
- Understanding Bitcoin network conditions
- Securing your private keys and seed phrases
- Any losses resulting from your errors
3. No Liability
The KRAY L2 Bridge, its operators, and validators are not liable for:
- Delays caused by low fee selection
- Delays caused by network congestion
- Transactions stuck in mempool
- Funds sent to wrong addresses
- Losses due to user error
- Any indirect or consequential damages
4. Automated Execution
Validators are automated systems that execute transactions based on your signed authorization. They follow predefined rules and do not make subjective decisions. They cannot reverse or modify transactions.
5. Blockchain Finality
Once a transaction is broadcast to the Bitcoin network, it cannot be reversed or cancelled. Your signature is permanent proof of authorization.
6. No Refunds
There are no refunds for user errors including wrong addresses, low fees, or misunderstanding how the system works. The bridge protects you from fee spikes, but not from your own mistakes.
By using the KRAY L2 Bridge, you acknowledge that you have read, understood, and agree to these terms. Your use of the bridge constitutes acceptance.