Secured Assets
Secured Assets enable DeFi with native assets without wrapping or bridges. Secured Assets let users deposit native assets like Bitcoin or Ethereum into decentralized THORChain vaults. Once deposited, those assets can be used across the Rujira DeFi ecosystem while always remaining redeemable for the original asset.
The Problem
The problem is not moving assets between chains. The problem is relying on custodians, multisigs, or third-party bridge validators to do it. That adds extra trust assumptions, extra attack surface, and extra ways for users to lose access to assets that were supposed to stay 1:1 backed.
Some of the biggest losses in crypto came from bridges. Incidents like Ronin, Wormhole, and Nomad showed how validator, multisig, or messaging failures can put hundreds of millions of dollars at risk in a single point of failure.
Wrapped assets usually depend on a company or issuer to hold reserves, honor redemptions, and stay solvent. That means users are trusting a third party, not just the asset itself.
Once an asset becomes a bridge-issued or custodian-issued IOU, you inherit outside rules, outside operators, and outside failure risks. The asset may look the same in the wallet, but the trust model is materially weakened.
Mechanics
To make this concrete, we will walk through a BTC example. The flow is simple: deposit native BTC, let THORChain secure it in decentralized vaults, mint the BTC on Rujira, use it across DeFi, and redeem it, or any other token, back to Bitcoin whenever you want.
Send your native BTC, ETH, or any supported L1 asset directly to THORChain vaults. No wrapping. No bridge. No KYC. Just your wallet and the THORChain network.
Deposit Terminal
Deposit Native Assets
Your assets are locked inside THORChain's Asgard vaults - a network of ~100 independent node operators who collectively hold keys via Threshold Signature Schemes (TSS).
Asgard Vault Network
Secured by Node Operators spread across the globe
Locked:1.5 BTC
Once your deposit is confirmed, a Secured Token appears in your Rujira wallet - representing your native asset 1:1. It's fully backed, always redeemable, and composable across the entire Rujira DeFi suite.
Secured Asset Created
Your Secured Assets unlock the full Rujira ecosystem. Trade on the Orderbook DEX, earn yield with the algorithmic/AMM strategies, trade Perps with leverage, and borrow against your BTC, or bid on BTC liquidations.
Use Your BTC Across Rujira
RUJI Trade
Trade on the orderbook
RUJI Perps
Use leverage
RUJI Money Market
Borrow against your BTC
RUJI AMM
Earn yield
Burn your Secured Token and receive the original native asset back to your Bitcoin address - no permission needed, no waiting on a custodian, no counterparty risk. Always 1:1.
Redemption Flow
Redeem 1.5 BTC
Your Secured Asset is removed on Rujira
Release approved
The vault signs and prepares your BTC transfer
Transaction sent
Your BTC is broadcast to the Bitcoin network
Native BTC Received
1.5 BTC arrives in your wallet
Deposit once, use your BTC across Rujira, and still keep a clear path back to Bitcoin whenever you want.
Deposit NowComparison
The key difference is where trust sits. Secured Assets are backed by native assets in decentralized THORChain vaults, while bridge and wrapped models depend on external operators or custodians.
| Model | Rujira Secured Assets | Bridged Assets | Wrapped Assets |
|---|---|---|---|
| Asset Backing | Native L1 assets locked in decentralized vaults | Assets locked in bridge contracts | Assets held by centralized custodians |
| Security Model | Threshold Signature Scheme with ~100 validators | Third-party bridge validators at best, often a simple multisig | Centralized custody |
| Trust Assumptions | Trust minimized through decentralized validators | Must trust bridge operators | Must trust the custodian |
| Custody Control | No single entity controls funds | Bridge operators control contracts | Custodian controls reserves |
| Redemption | Always redeemable 1:1 for the native asset | Dependent on bridge solvency | Dependent on custodian cooperation |
| Censorship Risk | Low | Medium | High |
| Examples | BTC secured through THORChain vaults | Axelar / Wormhole-style bridges | wBTC, cbBTC |
Why This Matters
Secured Assets allow native assets to move freely across chains without relying on centralized custodians or vulnerable bridges. By securing assets in decentralized vaults, Rujira enables a safer way to access cross-chain DeFi while maintaining the integrity of the original asset.
Deposited assets remain real native tokens held in decentralized THORChain vaults.
Vaults are secured by a large validator set using Threshold Signature Schemes instead of a single custodian.
Swap, lend, trade, and provide liquidity across the ecosystem without leaving native asset exposure behind.
FAQ
Common questions about how Secured Assets are backed, redeemed, and used across the Rujira ecosystem.
Discover More
You've now seen how Secured Assets work. Pick a page below to explore what they connect to, or head to the Support Center for guides and answers.
