# Automated Swap Backend (ASB)

## Quick Start

The recommended way to operate an ASB is through the `orchestrator` tool that ships with this repository.
The orchestrator generates a hardened Docker Compose environment that runs the ASB together with dedicated Bitcoin and Monero infrastructure.
Refer to the [orchestrator README](https://github.com/eigenwallet/core/blob/main/swap-orchestrator/README.md) for a full command reference, architecture overview, and automation tips.

1. Install [Docker](https://docs.docker.com/engine/install/) and [Docker Compose](https://docs.docker.com/compose/install/) on the machine that will host your maker.
2. Download the latest [orchestrator release](https://github.com/eigenwallet/core/releases) (or build it from source) and make the binary executable.
3. Create an empty working directory, place the binary inside and start the wizard: `./orchestrator`.
4. Pick the networks you want to operate on (mainnet or the Bitcoin testnet/Monero stagenet pair) and answer the prompts about ports, Tor settings and maker parameters.
5. Once the wizard finishes run `docker compose up -d --build` from the same directory to start the environment.
6. Attach to the ASB control shell with `docker compose attach asb-controller` and type `help` to inspect available commands.
   The README includes additional controller examples if you need to script JSON-RPC calls.

The generated `config.toml` lives next to `docker-compose.yml`. Edit it to adjust maker parameters, then restart the ASB container with `docker compose restart asb` to apply the changes.

### Running on mainnet vs. testnet

The orchestrator allows you to select the networks during the wizard. Choose Bitcoin testnet & Monero stagenet for a dry run, or Bitcoin mainnet & Monero mainnet for production.

If you run on mainnet we strongly recommend keeping the default self-hosted nodes that the orchestrator provisions. They provide better privacy than connecting to third-party RPC servers.

### Connect with others

Consider joining the designated [Matrix chat](https://matrix.to/#/%23unstoppableswap-market-makers:matrix.org) to connect with other individuals running asbs. The core developers are active in this chat and always looking for feedback.

### Using Docker

The orchestrator manages the Docker Compose setup for you.
Re-run `./orchestrator` whenever you want to regenerate the compose file with new container images or port assignments—the tool preserves your `config.toml` and Docker volumes.
Day-to-day operations happen via `docker compose` from the orchestrator directory (`up`, `down`, `logs`, `ps`, etc.).

## ASB Details

The ASB is a long running daemon that acts as the trading partner to the swap CLI.
The CLI user is buying XMR (i.e. receives XMR, sends BTC), the ASB service provider is selling XMR (i.e. sends XMR, receives BTC).
The ASB can handle multiple swaps with different peers concurrently.
The ASB communicates with the CLI on various [libp2p-based](https://libp2p.io/) network protocols.

Both the ASB and the CLI can be run by anybody.
The CLI is designed to run one specific swap against an ASB.
The ASB is designed to run 24/7 as a daemon that responds to CLIs connecting.
Since the ASB is a long running task we specify the person running an ASB as service provider.

### ASB discovery

The ASB daemon supports the libp2p [rendezvous-protocol](https://github.com/libp2p/specs/tree/master/rendezvous).
Usage of the rendezvous functionality is entirely optional.

You can configure one or more rendezvous points in the `[network]` section of your config file.
For the registration to be successful, you also need to configure the externally reachable addresses within the `[network]` section.
For example:

```toml
[network]
rendezvous_point = [
  "/dns4/discover.unstoppableswap.net/tcp/8888/p2p/12D3KooWA6cnqJpVnreBVnoro8midDL9Lpzmg8oJPoAGi7YYaamE",
  "/dns4/discover2.unstoppableswap.net/tcp/8888/p2p/12D3KooWGRvf7qVQDrNR5nfYD6rKrbgeTi9x8RrbdxbmsPvxL4mw",
  "/dns4/darkness.su/tcp/8888/p2p/12D3KooWFQAgVVS9t9UgL6v1sLprJVM7am5hFK7vy9iBCCoCBYmU",
  "/dns4/eigen.center/tcp/8888/p2p/12D3KooWS5RaYJt4ANKMH4zczGVhNcw5W214e2DDYXnjs5Mx5zAT",
  "/dns4/swapanarchy.cfd/tcp/8888/p2p/12D3KooWRtyVpmyvwzPYXuWyakFbRKhyXGrjhq6tP7RrBofpgQGp",
  "/dns4/rendezvous.observer/tcp/8888/p2p/12D3KooWMjceGXrYuGuDMGrfmJxALnSDbK4km6s1i1sJEgDTgGQa",
  "/dns4/aswap.click/tcp/8888/p2p/12D3KooWQzW52mdsLHTMu1EPiz3APumG6vGwpCuyy494MAQoEa5X",
  "/dns4/getxmr.st/tcp/8888/p2p/12D3KooWHHwiz6WDThPT8cEurstomg3kDSxzL2L8pwxfyX2fpxVk",
]
external_addresses = ["/dns4/example.com/tcp/9939"]
```

For more information on the concept of multiaddresses, check out the libp2p documentation [here](https://docs.libp2p.io/concepts/addressing/).
In particular, you may be interested in setting up your ASB to be reachable via a [`/dnsaddr`](https://github.com/multiformats/multiaddr/blob/master/protocols/DNSADDR.md) multiaddress.
`/dnsaddr` addresses provide you with flexibility over the port and also allow you to register two addresses with transports (with and without websockets for example) under the same name.

### Setup Details

In order to understand the different components of the ASB and CLI better here is a component diagram showcasing the ASB and CLI setup using public Bitcoin and Monero infrastructure:

![Service Provider scenarios](http://www.plantuml.com/plantuml/proxy?cache=no&src=https://raw.githubusercontent.com/eigenwallet/core/refs/heads/master/dev-docs/asb/diagrams/cli-asb-components-asb-pub-nodes.puml)

Contrary, here is a diagram that showcases a service provider running it's own blockchain infrastructure for the ASB:

![Service Provider scenarios](http://www.plantuml.com/plantuml/proxy?cache=no&src=https://raw.githubusercontent.com/eigenwallet/core/refs/heads/master/dev-docs/asb/diagrams/cli-asb-components-asb-self-hosted.puml)

The diagram shows that the `asb` group (representing the `asb` binary) consists of three components:

1. Monero Wallet
2. Bitcoin Wallet
3. ASB

The `ASB` depicted in the diagram actually consists of multiple components (protocol impl, network communication, ...) that sums up the functionality to execute concurrent swaps in the role of Alice.

#### Monero Wallet Setup

The ASB manages Monero wallets internally through direct FFI bindings and stores them inside the Docker volume mounted at `/asb-data`.
On first start it creates a wallet and prints the primary address in the logs.
Fund that wallet with enough XMR liquidity to cover the swaps you intend to make.
You can export the wallet seed (and restore height) via the controller's `monero-seed` command when you need to recover it in another wallet application.

#### Bitcoin Wallet Setup

The ASB has an internally managed Bitcoin wallet.
The Bitcoin wallet is created upon initial startup and stored in the data folder of the ASB (configured through initial startup wizard).

#### Market Making

For market making the ASB offers the following parameters in the config:

```toml
[maker]
min_buy_btc = 0.0001
max_buy_btc = 0.0001
ask_spread = 0.02
price_ticker_ws_url = "wss://ws.kraken.com"
external_bitcoin_address = "bc1..."
developer_tip = 0.02
```

The minimum and maximum amount as well as a spread, that is added on top of the price fetched from a central exchange, can be configured.

`external_bitcoin_address` allows to specify the Bitcoin address that the ASB will use to redeem or punish swaps.
If the option is not set, a new address from the internal wallet is used for every swap.

`developer_tip` allows configuring your maker to donate a small part of swaps to funding further development of the project. This is disabled by default. You can manually enable it if you choose to do so. Set it to a number between 0 and 1. Setting it to 0.02 will donate 2% of each swap to the donation address of the project. The tip is sent by adding an additional output to the Monero lock transaction of a swap. This means this will not impact the availability of your UTXOs (unlocked funds) as it does not require an additonal transaction.

In order to be able to trade, the ASB must define a price to be able to agree on the amounts to be swapped with a CLI.
The `XMR<>BTC` price is currently determined by the price from the central exchange Kraken.
Upon startup the ASB connects to the Kraken price websocket and listens on the stream for price updates.
You can plug in a different price ticker websocket using the `price_ticker_ws_url` configuration option.
You will have to make sure that the format returned is the same as the format used by Kraken.

Currently, we use a spot-price model, i.e. the ASB dictates the price to the CLI.
A CLI can connect to the ASB at any time and request a quote for buying XMR.
The ASB then returns the current price and the minimum and maximum amount tradeable.

#### Swap Execution

Swap execution within the ASB is automated.
Incoming swaps request will be automatically processed, and the swap will execute automatically.
Swaps where Bob does not act, so Alice cannot redeem, will be automatically refunded or punished.
If the ASB is restarted unfinished swaps will be resumed automatically.

The refund scenario is a scenario where the CLI refunds the Bitcoin.
The ASB can then refund the Monero which will be automatically transferred back to the `asb-wallet`.

The punish scenario is a scenario where the CLI does not refund and hence the ASB cannot refund the Monero.
After a second timelock expires the ASB will automatically punish the CLI user by taking the Bitcoin.

More information about the protocol in this [presentation](https://youtu.be/Jj8rd4WOEy0) and this [blog post](https://comit.network/blog/2020/10/06/monero-bitcoin).

All claimed Bitcoin ends up in the internal Bitcoin wallet of the ASB.
The ASB offers a commands to withdraw Bitcoin and check the balance, run `./asb --help` for details.

If the ASB has insufficient Monero funds to accept a swap the swap setup is rejected.
Note that there is currently no notification service implemented for low funds.
The ASB provider has to monitor Monero funds to make sure the ASB still has liquidity.

#### Tor and hidden services

If `tor.register_hidden_service` is set to `true` that asb will automatically start listening on an onion service.

### Exporting the Bitcoin wallet descriptor

First use `swap` or `asb` with the `export-bitcoin-wallet` subcommand.

Output example:

```json
{
  "descriptor": "wpkh(tprv8Zgredacted.../84'/1'/0'/0/*)",
  "blockheight": 2415616,
  "label": "asb-testnet"
}
```

The wallet can theoretically be directly imported into
[bdk-cli](https://bitcoindevkit.org/bdk-cli/installation/) but it is easier to
use Sparrow Wallet.

Sparrow wallet import works as follows:

- File -> New wallet -> Give it a name
- Select "New or Imported Software Wallet"
- Click "Enter Private Key" for "Master Private Key (BIP32)"
- Enter the `xprv...` or `tprv...` part of the descriptor (example above is `tprv8Zgredacted...`:

![image](enter-master-private-key.png)

- Click "Import"
- Leave the derivation path as `m/84'/0'/0'` and click "Import Keystore" button
- Click "Apply" and then supply password

![image](import-keystore.png)

- Click Transactions tab
- ???
- Profit!

![image](transactions-tab.png)

If the bitcoin amount in your wallet doesn't match "asb balance" output and you don't see (all) the transactions you need to increase the gap limit:

- go to Settings > Advanced... > Gap limit

![image](gap-limit.png)