kaleidoswap

name	kaleidoswap
description	Trade RGB assets on Bitcoin Lightning using the KaleidoSwap protocol. Use when quoting a swap, executing an atomic swap, placing a REST order, checking order status, or managing open orders. Requires kaleido-mcp.
license	Apache-2.0
metadata	{"author":"kaleidoswap","version":"1.1","networks":"bitcoin-lightning, rgb"}

KaleidoSwap Trading Skill

KaleidoSwap is a non-custodial DEX for RGB assets on Bitcoin Lightning Network. Trades are settled via atomic HTLC swaps or REST deposit-based orders.

Required MCP Server

• kaleido-mcp — quotes, orders, atomic execution, RLN node: balances, invoices, HTLC signing

Core Concepts

• Assets: RGB tokens identified by asset_id (BTC or rgb:...). Discover via kaleidoswap_get_assets() — never hard-code IDs.
• Pairs & Layers: Call kaleidoswap_get_pairs() to find trading pairs and their routes (each route has from_layer/to_layer). Always use layer values from here.
• Amounts for get_quote tool: pass display units (human-readable):
  • BTC: decimal BTC (e.g. 0.001 = 100,000 sats). Internally msat (precision=11).
  • RGB assets: decimal (e.g. 65.0 USDT with precision=6, 1.0 XAUT with precision=9).
• Raw amounts for atomic_init: use amount_raw from the quote response directly.
• Show users: always convert raw → display using raw / 10^precision.

Step 1: Discover Pairs and Layers

kaleidoswap_get_pairs()
→ [{
    base:   { ticker, precision },
    quote:  { ticker, precision },
    routes: [{ from_layer, to_layer }]   ← use these layer values
  }]

kaleidoswap_get_assets()
→ [{ ticker, asset_id, precision, name }]  ← resolve asset_id by ticker

Example — swap BTC→USDT on Lightning:

• Find pair where base.ticker="BTC" and quote.ticker="USDT"
• Pick route { from_layer: "BTC_LN", to_layer: "RGB_LN" }
• Resolve USDT asset_id from assets list

Step 2: Get a Quote

kaleidoswap_get_quote({
  from_asset_id: "BTC",
  from_layer:    "BTC_LN",
  from_amount:   0.001,           // display BTC (= 100,000 sats = 100M msat internally)
  to_asset_id:   "<USDT_ID>",
  to_layer:      "RGB_LN"
})
→ {
    rfq_id, expires_at,
    from_asset: { ticker, layer, amount_raw, amount_display },
    to_asset:   { ticker, layer, amount_raw, amount_display },
    price
  }

Show the user: amount in → amount out → effective rate. Ask confirmation before executing.

Step 3a: Execute — Atomic Swap (preferred)

1. kaleidoswap_atomic_init({
     rfq_id,
     from_asset_id,
     from_amount_raw,    // = quote.from_asset.amount_raw
     to_asset_id,
     to_amount_raw       // = quote.to_asset.amount_raw
   })
   → { swapstring, payment_hash }

2. rln_atomic_taker({ swapstring })
   → {}   (whitelist HTLC on RLN node — MUST happen before execute)

3. rln_get_node_info()
   → { pubkey }   (needed as taker_pubkey)

4. kaleidoswap_atomic_execute({
     swapstring, taker_pubkey: pubkey, payment_hash
   })
   → { status, message }

5. kaleidoswap_atomic_status({ payment_hash })
   → { swap: { status: "Waiting"|"Pending"|"Succeeded"|"Expired"|"Failed" } }
   Poll every 2s until terminal state.

If Succeeded → done. If Expired/Failed → fall back to REST.

Step 3b: Execute — REST Order (fallback)

BTC → RGB (e.g. BTC → USDT):

1. rln_create_rgb_invoice({ asset_id: <USDT_ID> }) → rgb_invoice
2. kaleidoswap_place_order({
     from_asset_id, to_asset_id, from_layer, to_layer, from_amount,
     receiver_address: rgb_invoice, receiver_address_format: "RGB_INVOICE"
   }) → { order_id, deposit_address: { address: bolt11 } }
3. rln_pay_invoice({ invoice: bolt11 })
4. Poll kaleidoswap_get_order_status({ order_id }) until "FILLED"

RGB → BTC (e.g. USDT → BTC):

1. rln_create_ln_invoice({ amount_msat }) → bolt11
2. kaleidoswap_place_order({ ..., receiver_address: bolt11, receiver_address_format: "BOLT11" })
   → { order_id, deposit_address: { address: rgb_invoice } }
3. rln_send_asset({ asset_id, recipient_id: rgb_invoice, amount: display_amount })
4. Poll kaleidoswap_get_order_status({ order_id }) until "FILLED"

Order states: OPEN → PENDING_PAYMENT → PAID → EXECUTING → FILLED | EXPIRED | FAILED

Safety Rules

1. Pairs first — kaleidoswap_get_pairs() gives valid layers and min amounts.
2. Quote first — never execute without a fresh rfq_id.
3. Confirm before executing — show amounts and rate; wait for user approval.
4. Respect dry_run — describe action only; do not call execute.
5. Check balances — verify sufficient funds before placing.
6. Respect min amounts — check pair minimums from get_pairs() before quoting.
7. Handle expiry — get a fresh quote if rfq_id has expired.