Users can collateralize assets on other networks such as ETH on Ethereum. Refer to the X-Collateral section for more information about X-Collateral and how it works.
Supply & Collateralize
1. Choose network
Select the network with the assets you want to use as collateral from the ‘"From’ drop-down list. Then select the network you want the collateral to be used on in the ‘To’ drop-down list. In this example, assets from the Ethereum network will be bridged to the BSC network and then used as collateral.
2. Choose an asset
Select the asset you want to use as collateral from the ‘Choose Asset’ drop-down list. ETH is the first asset supported for X-Collateral and other assets including interest-bearing tokens (e.g. aWETH, cETH) will be available soon.
3. Input amount to transfer
Input the amount of ETH you want to transfer. You can also click ‘Max’ to transfer all available ETH.
4. Choose to borrow 0.05 BNB
Choose to borrow 0.05 BNB. If you do not need to borrow, just uncheck the box.
Note transaction on Binance Smart Chain(BSC) will charge network fee(called ‘gas fee’) in BNB, the native token of BSC. In this example, the user will need to pay the fee in BNB to borrow against collateralized xETH.
5. Mint and supply xTokens
Click the ‘Mint & Supply’ button. In this example, ETH is transferred and xETH will be minted. The newly minted xETH will be supplied to the Qubit Supply market and be used as collateral.
6. Approve the transaction
You need to approve the transaction. In this example, the wallet used is Metamask. Check the gas fee will vary depending on the status of Ethereum network.
7. Wait until the transaction is completed on Ethereum
You will see the animation in this image while the transaction is being processed.
Note every transaction on Ethereum take approximately 10 minutes but it may vary. You can go to https://etherscan.io and check the status.
8. Completion of X-Collateral Bridge
Once the transaction is successful, you will find the alert ‘Transaction Succeeded’ like in the image.
9. Check your collateral
Congratulations! You have successfully completed your cross-chain collateralization! It expands your horizon of blockchain networks. Double check your collateral(in this case xETH) against which you can borrow liquidity.
Note if you borrowed in step 4 ‘Choose to borrow 0.05 BNB’, you will find your BNB borrowing too.
You can convert your xTokens on the BSC network to the initial tokens by redemption. The smart contract will burn xTokens on BSC and unlock the initial tokens on the other network. In this guide, xETH will be burnt and ETH will be unlocked on Ethereum network.
1. Choose xToken in Supply market
You need to redeem your xToken in the Supply market before redeem it via Bridge. Select xToken you want to redeem. In this case it is xETH.
Note you can redeem the entire amount of supplied tokens only if you do not have any borrowing.
2. Redeem in Supply Market First
Click ‘Redeem’. You may redeem a portion or all of your x-Token as you need.
3. Go to BRIDGE and choose network
Go to ‘BRIDGE’ menu and click ‘Redeem’. Then you now need to choose a network. In this case, xETH is on BSC, so it has to be ‘From BSC To Ethereum’.
4. Choose Asset
Choose an asset. The Asset will be burned to transfer the asset on the Ethereum to you.
5. Input redemption amount
Input the amount of xETH you wish to burn. Same amount of ETH will be transferred back to you on Ethereum network.
6. Check redemption amount and address.
Check Redemption amount. Note 0.018 ETH will be deducted in order to transfer ETH from Qubit’s smart contracts to your wallet on Ethereum.
Click ‘Approve’. The transaction details will be displayed on your wallet interface.