Oddbean new post about login | logout Interestingly, something I've just worked on could help with that: issuance based on a utxo snapshot could be made private with https://reyify.com/blog/preserving-proof-of-taproot-assets ... but it could also be simpler, without privacy. Don't see the need to burn, a la spacechains, if you just use a one time snapshot.
Sorry that last part about snapshots was dumb; not that it isn't a valid idea, but in no way is it some kind of peg, because it's new issuance, even if controlled. The two way peg concept is the most interesting, and it seems really unclear/difficult with bitvm (given fraud proos onchain a la arbitrum) (not that i know any easy way!).