NUT-XX and NUT-XX+1: Mint / Melt Bitcoin On-Chain

17.md

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+NUT-17: Mint tokens Bitcoin On-Chain
+==========================
+
+`optional`
+
+---
+
+This NUT describes the process of minting tokens on Bitcoin On-Chain analog to NUT-04 for Bitcoin Lightning. 
+
+# Mint quote
+
+To request a mint quote, the wallet of `Alice` makes a `POST /v1/mint/quote/{method}` request where `method` is the payment method requested (here `btconchain`). 
+
+```http
+POST https://mint.host:3338/v1/mint/quote/btconchain
+```
+
+The wallet of `Alice` includes the following `PostMintQuoteBtcOnchainRequest` data in its request:
+
+```json
+{
+  "amount": <int>,
+  "unit": <str_enum["sat"]>
+}
+```
+ with the requested `amount` and the `unit`. 
+
+ The mint `Bob` then responds with a `PostMintQuoteBtcOnchainResponse`:
+
+```json
+{
+  "quote": <str>,
+  "address": <str>,
+  "paid": <bool>,
+  "expiry": <int>
+}
+```
+
+Where `quote` is the quote ID and `address` is the payment request to fulfill. `paid` indicates whether the request as been paid and `expiry` is the Unix timestamp until which the mint quote is valid.
+
+Note: `quote` is a **unique and random** id generated by the mint to internally look up the payment state. `quote` **MUST** remain a secret between user and mint and **MUST NOT** be derivable from the payment request. A third party who knows the `quote` ID can front-run and steal the tokens that this operation mints.
+
+## Example
+
+Request of `Alice` with curl:
+
+```bash
+curl -X POST https://mint.host:3338/v1/mint/quote/btconchain -d '{"amount": 10, "unit": "sat"}' -H "Content-Type: application/json"
+```
+
+Response of `Bob`:
+
+```json
+{
+  "quote": "DSGLX9kevM...",
+  "address": "bc1qkyfgd7mus7ykfd7qkwakq75qsf7rtm...",
+  "paid": false,
+  "expiry": 1701704757
+}
+```
+
+The wallet **MUST** store the `amount` in the request and the `quote` id in the response in its database so it can later request the tokens after paying the request. After payment, the wallet continues with the next section.
+
+## Check mint quote state
+
+To check whether a mint quote has been paid, `Alice` makes a `GET /v1/mint/quote/btconchain/{quote_id}`.
+
+```http
+GET https://mint.host:3338/v1/mint/quote/btconchain/{quote_id}
+```
+
+Like before, the mint `Bob` responds with a `PostMintQuoteBtcOnchainResponse`.
+
+Example request of `Alice` with curl:
+
+```bash
+curl -X GET https://mint.host:3338/v1/mint/quote/btconchain/DSGLX9kevM...
+```
+
+# Minting tokens
+
+After requesting a mint quote and paying the request, the wallet proceeds with minting new tokens by calling the `POST /v1/mint/{method}` endpoint where `method` is the payment method requested (here `btconchain`).
+
+```http
+POST https://mint.host:3338/v1/mint/btconchain
+```
+
+The wallet `Alice` includes the following `PostMintBtcOnchainRequest` data in its request
+
+```json
+{
+  "quote": <str>,
+  "outputs": <Array[BlindedMessage]>
+}
+```
+ with the `quote` being the quote ID from the previous step and `outputs` being `BlindedMessages` (see [NUT-00][00]) that the wallet requests signatures on whose sum is `amount` as requested in the quote.
+
+ The mint `Bob` then responds with a `PostMintBtcOnchainResponse`:
+
+```json
+{
+  "signatures": <Array[BlindSignature]>
+}
+```
+
+where `signatures` is an array of blind signatures on the outputs.
+
+## Example
+
+Request of `Alice` with curl:
+
+```bash
+curl -X POST https://mint.host:3338/v1/mint/btconchain -H "Content-Type: application/json" -d \
+'{
+  "quote": "DSGLX9kevM...",
+  "outputs": [
+    {
+      "amount": 8,
+      "id": "009a1f293253e41e",
+      "B_": "035015e6d7ade60ba8426cefaf1832bbd27257636e44a76b922d78e79b47cb689d"
+    },
+    {
+      "amount": 2,
+      "id": "009a1f293253e41e",
+      "B_": "0288d7649652d0a83fc9c966c969fb217f15904431e61a44b14999fabc1b5d9ac6"
+    }
+  ]
+}'
+```
+
+Response of `Bob`: 
+
+```json
+{
+  "signatures": [
+    {
+      "id": "009a1f293253e41e",
+      "amount": 2,
+      "C_": "0224f1c4c564230ad3d96c5033efdc425582397a5a7691d600202732edc6d4b1ec"
+    },
+    {
+      "id": "009a1f293253e41e",
+      "amount": 8,
+      "C_": "0277d1de806ed177007e5b94a8139343b6382e472c752a74e99949d511f7194f6c"
+    }
+  ]
+}
+```
+
+## Unblinding signatures
+
+Upon receiving the `BlindSignatures` from the mint `Bob`, the wallet of `Alice` unblinds them to generate `Proofs` (using the blinding factor `r` and the mint's public key `K`, see BDHKE [NUT-00][00]). The wallet then stores these `Proofs` in its database:
+
+```json
+[
+  {
+  "id": "009a1f293253e41e",
+  "amount": 2,
+  "secret": "407915bc212be61a77e3e6d2aeb4c727980bda51cd06a6afc29e2861768a7837",
+  "C": "02bc9097997d81afb2cc7346b5e4345a9346bd2a506eb7958598a72f0cf85163ea"
+  },
+  {
+  "id": "009a1f293253e41e",
+  "amount": 8,
+  "secret": "fe15109314e61d7756b0f8ee0f23a624acaa3f4e042f61433c728c7057b931be",
+  "C": "029e8e5050b890a7d6c0968db16bc1d5d5fa040ea1de284f6ec69d61299f671059"
+  }
+]
+```
+
+## Settings
+The settings for this nut indicate the supported method-unit pairs for minting and whether minting is supported or not. They are part of the info response of the mint ([NUT-06][06]) which in this case reads 
+```json
+{
+  "14": {
+    "supported": true,
+    "methods": [
+      {
+        "method": "btconchain",
+        "unit": "sat",
+        "min_amount": 10000,
+        "max_amount": 1000000
+      }
+    ]
+  }
+}
+```
+
+[00]: 00.md
+[01]: 01.md
+[02]: 02.md
+[03]: 03.md
+[04]: 04.md
+[05]: 05.md
+[06]: 06.md
+[07]: 07.md
+[08]: 08.md
+[09]: 09.md
+[10]: 10.md
+[11]: 11.md
+[12]: 12.md