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System architecture

Note

Although Strata is designed to run on bitcoin mainnet, currently Strata is only running on a bitcoin signet. Any references to bitcoin or BTC in this documentation should be read as "bitcoin signet" or "signet BTC" when describing the current system.

Strata is an EVM blockchain that uses bitcoin as a source of truth for state commitments and proof of valid state transitions. The user's application layer interacts with Strata in three ways:

  1. Through the full node, which provides both Ethereum-compatible RPCs and additional Strata RPCs, enabling users to send EVM transactions to Strata.
  2. Through the bundler, which handles the bundling of account abstraction (ERC-4337) transactions, also known as UserOperations.
  3. Through bitcoin, which allows users to deposit BTC into the Strata system.
Architecture Diagram
This diagram illustrates the overall system architecture and the data flow between different components of Strata and the entities interacting with the system. There are three layers: bitcoin layer at the base, Strata layer above it, and the user application layer that sits on top of the Strata layer. The direction of arrows indicate the direction of data flow between the components, and the text in the arrows indicate the data. The centralized services are the services that are run by Alpen Labs. Other components within Strata layer (the bundler and the full node) can be run by anyone in our devnet community.

User application layer

The user application layer is not part of Strata but includes any interface or application that acts as a gateway for users to interact with Strata. These applications include wallets (e.g. EOA wallets, account abstraction wallets, bitcoin wallets), decentralized applications (e.g. Uniswap), smart contract deployment tools (e.g. Foundry), and command-line interface tools (e.g. Cast). They interact programmatically with a Strata full node, bundler, and bitcoin through an RPC interface provided by each service, and the RPC interfaces enable applications to interact with Strata, including deploying smart contracts, sending EOA or account-abstraction transactions, and initiating deposits into Strata.

Bundler

The bundler supports account abstraction by accepting UserOperation transactions as defined by ERC-4337. It bundles these transactions and relays them to the full node.

We have deployed a bundler for devnet that developers can use as an endpoint to send UserOperations. Anyone else can also run their own bundler to connect with the full node network independently.

Full node

A full node is a software client that runs Strata’s core logic and provides an RPC interface for programs to interact with Strata. It receives transactions from the user application layer or bundler and relays them to the sequencer. Periodically, the full node polls the sequencer for new blocks. If new blocks are available, they are then downloaded and executed against the full node's current state, advancing the state. This new state remains unconfirmed until the full node sees that the relevant batch checkpoint posted on bitcoin by the sequencer has been confirmed.

Internally, a full node is constructed similarly to a post-merge Ethereum full node, keeping modularity in mind, separating the node into an execution layer and an orchestration layer. They interact with each other through a slightly modified Engine API, which we extended to handle withdrawals from Strata to bitcoin.

For devnet, Alpen is running a full node that developers can connect to via RPC to interact with Strata. Additionally, anyone in the devnet community can run their own full node by building the full node source code.

Sequencer

The sequencer is currently a centralized component that performs the functions of sequencing transactions in its mempool, validating the transactions, bundling the valid transactions into blocks, creating and signing a new block of transactions approximately every 5 seconds, and sharing blocks with full nodes upon request. The sequencer also decides the range of blocks (aka a batch) to be proven, relays that information to the prover, and posts the batch checkpoint to bitcoin. A batch checkpoint includes the batch metadata and the proof generated by the prover.

The sequencer is therefore the primary component in the Strata system performing the necessary actions that enable full nodes to advance the chain to the next state.

For devnet, Alpen runs the sequencer, and full nodes only accept checkpoints signed by the sequencer.

Prover

The prover gets information from the sequencer about the next batch the prover is generating a proof for. The prover then produces a recursive validity proof that proves the validity of the current batch, as well as all batches before it, according to the Strata consensus rules. At a high level, the proof ensures that:

  1. All bitcoin blocks in the batch have been thoroughly scanned for user deposit transactions, previous proofs, and checkpoints.
  2. The state transition resulting from executing the current batch and deposit transactions is valid.
  3. The previous batch proof on bitcoin is valid.

This recursive proof enables a verifier to validate the Strata chain's entire history, from genesis to the latest state. The proof is passed to the sequencer, who then posts it to the bitcoin network along with the batch metadata (state commitments).

Bridge operator

A bridge operator is one of \(N\) nodes collectively performing the functions of processing user deposit and withdrawal requests by locking the user's BTC in the \(N\)-of-\(N\) multisig on bitcoin and by releasing the appropriate amount of BTC back to the user's bitcoin address, respectively. Each bridge operator monitors bitcoin for a special deposit request transaction, in which the user allows the bridge operators to transfer the user's BTC to an \(N\)-of-\(N\) multisig address within a specified amount of time. The bridge operators then cooperate and sign a deposit transaction that transfers the user's funds to the \(N\)-of-\(N\) multisig address within the alloted time. When this transaction is confirmed on bitcoin, an equivalent amount of BTC is minted to the user's designated Strata account. Similarly, for each confirmed withdrawal request on Strata, the bridge operators cooperate to sign and broadcast a withdrawal transaction to bitcoin that transfers the appropriate BTC amount to the user's designated bitcoin address. Detailed descriptions of the deposit and withdrawal mechanisms can be found in the bitcoin bridge documentation. Currently, the bridge is an \(N\)-of-\(N\) multisig, with all bridge operators run by Alpen. A more secure bridge that provides a single-functional-user trust assumption is targeted for the next major Strata release.