How It Works
Overview
Sova is an Ethereum L2 running the OP rollup stack. The network's key innovation is providing native Bitcoin integration at the network level enabling smart contracts to directly interact with Bitcoin.
The first use case for this network is servicing sovaBTC a native Bitcoin wrapper. Next we will dive into how the sovaBTC technology works.
Bitcoin Interactions
⚡ Deposits: Native Bitcoin
Users initiate a deposit by signing both a Bitcoin and Sova transaction.
Validators broadcast the Bitcoin transaction and tentatively mint sovaBTC on Sova.
Sentinel, Sova’s finality oracle, locks the affected contract state until the Bitcoin transaction is confirmed (default: 6 blocks).
Once finalized, sovaBTC becomes fully transferable on the Sova Network and all OP Superchain networks always backed 1:1 by BTC.
🔓 Withdrawals: Bitcoin Redemption
Users burn sovaBTC and specify a Bitcoin address for withdrawal.
Sova’s signing service generates and broadcasts the Bitcoin transaction using or threshold signatures.
All BTC withdrawals are verifiable against Sova's internal ledger and the Bitcoin blockchain.
If validators act dishonestly, Operators can submit fraud proofs and trigger slashing.
Transaction Flow
Sova abstracts away the complexity of cross-chain interactions by integrating Bitcoin directly into the EVM runtime. When a user initiates a transaction—whether it's a deposit, a withdrawal, or a smart contract call involving Bitcoin—the process unfolds seamlessly across several internal components:
Web3 Wallets and dApps serve as the user interface. Users interact with familiar EVM wallets to send transactions on Sova.
The Sova Mempool collects and orders these transactions, ensuring proper sequencing and validation before block inclusion.
Once included in a block, the SovaEVM Execution Engine interprets and executes the transaction. If the transaction involves Bitcoin (e.g. minting sovaBTC or initiating a withdrawal), the engine communicates with Sova's custom precompiles and finality logic.
The Inspector and Sentinel modules determine whether the Bitcoin transaction associated with the operation has reached the required confirmation threshold. During this window, the related state is locked and cannot be mutated or reused.
For withdrawals, the Signing Service securely generates and broadcasts the corresponding Bitcoin transaction, ensuring that BTC is released to the correct address once sovaBTC is burned.
After Bitcoin confirmation, the contract state on Sova is finalized and fully unlocked, completing the transaction lifecycle.
Core Components
🔗 SovaEVM: Bitcoin-Native Smart Contracts
SovaEVM is the first Ethereum-compatible execution layer with native access to Bitcoin Core. Through custom precompiles and the REVM inspector, smart contracts can directly:
Read from the Bitcoin network (e.g., check txids, block headers)
Broadcast real Bitcoin transactions
React to Bitcoin finality events
This enables a new class of decentralized applications where Bitcoin is no longer just a wrapped asset—it’s a programmable first-class citizen.
👷 Validators: Cross-Chain Enforcers
Sova validators maintain the integrity of both the Sova and Bitcoin state. They are responsible for:
Synchronizing execution with Bitcoin finality
Locking and reverting state changes based on BTC confirmations
Broadcasting Bitcoin transactions on behalf of users
Validators are subject to slashing penalties for misbehavior, ensuring honest participation. Their actions are cryptographically auditable and anchored to Bitcoin block hashes.
Last updated