To showcase the full capabilities of the Torram Network, we’ve been developing a few prototype use cases. One of the first and most exciting is a stablecoin we’ll call TorramUSD—a Taproot asset-based stablecoin. TorramUSD will be the first truly Bitcoin-native L1 stablecoin.
Technical Breakdown of TorramUSD
1. Oracle-Driven Price Tracking
TorramUSD tracks the price of a basket of stablecoins—USDC, USDT, and DAI—using the built-in oracle module on the Torram Network.
With this oracle, developers can build advanced applications such as:
- Multi-Collateral Stablecoin: Users deposit USDT, USDC, or DAI to mint TorramUSD.
- On-Chain Liquidation: If a user’s collateral falls below safe thresholds, smart contracts can automatically execute liquidations.
- Risk Spreading: Example: If USDT drops to $0.92, the system pauses USDT minting and shifts toward more stable assets like USDC.
- Dynamic Reserve Rebalancing: Automatically adjusts reserve holdings—for example, 60% USDC, 30% DAI, and 10% USDT.
Refer to the developers docs to view a working example: https://github.com/TorramLabs-Team/Torram_CLI/tree/main/oracle-reader
Read more about Torram Oracles.
2. Deploying TorramUSD as a TSB (aka Taproot Token on Bitcoin)
With the Torram CLI, developers can deploy TorramUSD directly onto the Bitcoin network as a TSB token. If you aren’t familiar with this new innovation, refer to the article tokens that don’t break Bitcoin . Once deployed, smart contracts can retrieve live metadata from the Bitcoin network for TorramUSD.
Here are some of the available queries for interacting with TorramUSD (Taproot asset):
| Query Name | Description |
| get_token | Get metadata/details of a specific token |
| get_all_tokens | List all TSB tokens on the chain |
| get_token_balance | Get a user’s balance of a specific token |
| get_balances_by_owner | List all tokens and balances for a given owner |
| get_token_balances_by_token | Get list of all holders + balances of a token |
| get_token_operation | Get details of a specific transfer/operation |
| get_token_operations_by_token | Get all transfers for a given token (history view) |
Refer to the developers docs to view a working example: https://github.com/TorramLabs-Team/Torram_CLI/tree/main/tsb-reader
3. Native Bitcoin UTXO Indexing for Smart Contracts
With Torram’s native Bitcoin UTXO indexing, smart contracts can look up UTXOs from any Bitcoin address in real-time.
This enables developers to build true Bitcoin-native applications.
Here are a few possibilities:
🪙 Bitcoin-Backed Stablecoins
Allow users to mint TorramUSD by locking native BTC as collateral:
- Smart contracts verify UTXOs.
- BTC/USDC price from oracle determines the collateral ratio.
- Mint up to a safe loan-to-value (LTV).
📈 BTC-Backed Synthetic Assets
Use BTC to mint synthetic versions of TradFi assets:
- Lock BTC to mint synthetic SPX, VIX, or QQQ tokens.
- Oracle provides BTC/SPX, BTC/QQQ prices for liquidation checks.
- Trade synthetic RWAs natively on Bitcoin.
Refer to the developers docs to view a working example: https://github.com/TorramLabs-Team/Torram_CLI/tree/main/tsb-reader
⚠️ Note: Avoid using UTXO indexing for historical queries in smart contracts. It indexes the entire Bitcoin blockchain and may block contract execution. Use only for forward-looking transactions.
What Makes Torram Unique?
Torram unlocks the full potential of Bitcoin-native development by offering:
- Built-in oracle within the smart contract execution environment
- Native Bitcoin indexing directly usable inside smart contracts
- Taproot-based asset deployment (TSB) and full query support
- Finality on Bitcoin
Ready to Build?
Experience the full power of Bitcoin-native development.
👉 Sign up to become a builder on Torram
📔 Torram Developer Documentation
💬 Join our community on Telegram @torrambuilders
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