Fraud Proofs Based on Bitcoin

Merlin Chain will introduce a fraud proof mechanism to further ensure data integrity and security. This mechanism involves two roles: the Prover and the Verifier. The implementation pathway is as follows:

  1. Pre-Signed Transactions

    • Provers and Verifiers pre-sign a series of transactions to enable a challenge-response mechanism between them.

  2. Binary Circuit Conversion

    • The Prover converts the program to be verified into a binary circuit containing many NAND logic gates to ensure data integrity and correctness.

    • Each logic gate has a leaf script defining and describing its behavior and function.

  3. Merkle Tree Submission

    • The Prover places the leaf script of each logic gate in this large binary circuit into a Merkle Tree and submits the Merkle Root to a Taproot address.

  4. Verification Process

    • The Verifier extracts the Merkle Root from the Taproot address and verifies its validity.

    • If the Verifier suspects any issues with the submitted Merkle Root, such as incorrect data or fraudulent behavior, they can initiate the challenge-response mechanism. The Verifier challenges the Prover to provide the corresponding leaf scripts or other proofs to verify the correctness of the Merkle Root.

    • The Prover must provide the necessary evidence to prove that the submitted Merkle Root is correct.

    • The Verifier checks these proofs to ensure their validity and the integrity of the data.

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