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What is NEXUS?

NEXUS is a unified smart contract execution layer for proof-of-work blockchains. It adds programmability to Zcash first, with Bitcoin and Dogecoin joining the same execution layer as it expands. NEXUS is a metaprotocol — it has no separate chain. It reads Zcash (and later Bitcoin/Dogecoin) transactions, processes them according to NEXUS rules, runs WASM smart contracts, and writes a state summary back to those same chains. The underlying L1 never changes; NEXUS just gives it superpowers.
New to blockchain terms? See the Glossary for plain-English definitions of L1, WASM, ZK proofs, vaults, and more.

V1 vs V2 — What’s Available Now


Core Components


Execution Layer

WASM Virtual Machine (Smart Contract Engine)

NEXUS runs smart contracts written in Rust, compiled to WebAssembly (WASM) — a compact, portable binary format. The VM:
  • Runs the same contract code identically on every node
  • Charges gas for each operation (prevents runaway code)
  • Provides contracts access to storage, events, L1 chain data, and cross-contract calls
  • Today runs on Zcash; the same VM will execute contracts anchored to Bitcoin and Dogecoin when those chains join

State Processor

The state processor maintains the global record of all contract state and balances. It:
  • Processes transactions in order
  • Computes a state root — a single hash summarizing all state
  • Posts that root to Zcash L1 so anyone can verify NEXUS is behaving correctly
  • When Bitcoin/Dogecoin join, state roots are committed to all live chains simultaneously

Encrypted Mempool

Transactions are encrypted before submission using ECDH + ChaCha20-Poly1305. Their contents are hidden from miners until a block is produced. This prevents MEV (front-running and sandwich attacks). Protocol version 2. Domain: nexus-encrypted-mempool-chacha20poly1305-v2. See Encrypted Mempool for details.

Fee Market (EIP-1559 Style)

NEXUS uses a dynamic fee system:
  • A base fee adjusts automatically — rises when blocks are full, falls when empty
  • Maximum change per block: ±12.5% (smooth, predictable)
  • Target utilization: 40% of block gas
  • On Zcash: fees are denominated in zatoshi. Base fee: 244,000,000 zatoshi/gas unit
  • Add a priority tip for faster inclusion

Bridge Layer

Each chain has a dedicated bridge that monitors deposits, processes withdrawals, and posts state commitments to L1.

Zcash Bridge ✅ Live

  • Vault type: Transparent address (t-addr), P2SH 2-of-2 multisig (you + protocol)
  • Verification: Groth16 ZK proofs — verified natively by Zcash nodes. No external verifier needed.
  • State commits: Posted as Sapling shielded notes — not OP_RETURN. Each epoch writes a shielded note with a 512-byte encrypted memo containing the full state metadata. Epochs are linked via nullifiers, forming a cryptographically verifiable chain from genesis.
  • Deposit confirmations: 10 blocks (~12.5 min at 75s/block)
  • Escape timelock: 16,128 blocks (~2 weeks)
Why Sapling notes instead of OP_RETURN? Sapling memos hold 512 bytes (vs 80 bytes for OP_RETURN), nullifiers prevent state replay, and Zcash natively verifies the cryptography. Anyone with the public Full Viewing Key can independently verify all NEXUS state history on Zcash.

Bitcoin Bridge 🔄 Coming soon

  • Vault type: Taproot (P2TR) with escape hatch
  • Verification: ZK-STARK proofs + BitVM2 bisection fraud proofs
  • State commits: OP_RETURN outputs (32-byte state root)
  • Deposit confirmations: 6 blocks (~60 min)
  • Escape timelock: 2,016 blocks (~2 weeks)

Dogecoin Bridge 🔄 Coming soon

  • Vault type: P2PKH with CLTV escape hatch
  • Verification: ZK-STARK proofs + fraud proofs
  • State commits: OP_RETURN outputs
  • Deposit confirmations: 3 blocks (~3 min — Dogecoin’s 1-minute blocks are the fastest)
  • Escape timelock: 20,160 blocks (~2 weeks)

Security Layer

How NEXUS Ensures Correctness

Two independent security mechanisms protect NEXUS on Zcash: 1. Cryptographic proofs (Groth16 ZK) Before posting state, the operator generates a Groth16 proof that all transactions were processed correctly. Zcash nodes verify this natively — the same cryptography Zcash uses for shielded transactions. If the proof is invalid, Zcash rejects it outright. 2. Economic bonds + fraud proofs Operators post a bond in ZEC before committing state. If the commitment is wrong, anyone can challenge:
Both mechanisms must fail simultaneously for any attack to succeed.

Verification by Chain


Vault Architecture

Every user’s deposited funds are held in a vault — an on-chain address with two spending paths:
The escape path ensures your funds are always recoverable. NEXUS cannot unilaterally spend from your vault — it needs your key.

Escape Hatch Waiting Periods


Privacy Layer

NEXUS ships two privacy features in V1, live on Zcash: Stealth Addresses — Generate a unique one-time address per transaction. Observers cannot link multiple transactions to the same wallet. Uses ECDH + HKDF-SHA256 with 1-byte view tags (filters 99.6% of non-matching scans). See Stealth Addresses. Encrypted Mempool — Transactions encrypted before submission. Miners cannot read contents until after inclusion. Prevents MEV. See Encrypted Mempool.

Transaction Flow (on Zcash)

Deposit

Withdrawal

Smart Contract Call


Node Architecture


V2: Unified Execution Layer

When Bitcoin and Dogecoin join, NEXUS becomes a single execution layer across all three chains. V2 adds intent exchange — swap across chains without manually managing deposits and withdrawals:
No price slippage surprise. No counterparty risk. MEV protection built in.