Overview
It is possible to move DAI from Binance Smart Chain (BSC) to the xDai sidechain.
This means that if someone's assets are available on both blockchains, then one could convert the assets to DAI on BSC, move the DAI to the xDai sidechain, and finally convert the DAI back to the original assets.
This is a high-level overview of the steps to move DAI from BSC to xDai
- Using the BSC to xDai omnichain (https://bsc-to-xdai-omnibridge.web.app/)
- Swapping the DAI (binance pegged) that you now have on the xDai sidechain to wrapped xDai (https://xdai.component.finance/)
- Swapping the wrapped xDai to xDai (regular DAI) on Honeyswap.
I'll provide a more in-depth explanation on each step below.
Using the BSC to xDai omnichain
The BSC to xDai omnichain is available here: https://bsc-to-xdai-omnibridge.web.app/
This allows you transfer a token from one chain to the other. However, one thing to remember here is that this is the "binance pegged" version of DAI. So, once this token is moved over to the xDai sidechain, it is still the "binance pegged" version. The steps after this one serve to convert the "binance pegged" version of DAI that you have to regular DAI.
Below is a screenshot of the BSC to xDai omnichain
As you can see, the source blockchain is on the left and the destination blockchain is on the right.
You will need to be on the BSC network when doing this and will pay the transaction fees in BNB.
To send the DAI over the bridge, complete a transaction to unlock (approve) and then click "transfer" to complete a transaction to actually move the DAI over the bridge.
Note: make sure to select the "binance pegged" version of DAI when selecting which asset to send over the bridge.
Converting binance-pegged xDai to wrapped xDai
From this point on, we are fully on the xDai sidechain and all transactions done will be on xDai. Make sure that you have Metamask set up for xDai. See this article on how to setup Metamask for xDai.
Fees will be paid in xDai (the regular DAI on the xDai sidechain), which you can get 0.01 for free from this faucet: https://blockscout.com/xdai/mainnet/faucet
Transaction fees are super tiny on xDai, only fractions of a penny at the moment, so .01 should be enough (it's amazing isn't it).
Anyways, now we can use a liquidity pool in component.finance to swap the xDai (binance-pegged) that we have to wrapped xDai. This is URL of the pools: https://xdai.component.finance/
Click on "Swap", and then choose to do the swap from DAI (BSC) to WXDAI as seen below.
Once that's done, you now have wrapped xDai on the xDai sidechain and just need to unwrap it.
Unwrapping WXDAI
Unwrapping the WXDAI just requires a simple swap on another liquidity pool. We just need to go to Honeyswap and swap between the WXDAI and XDAI pools.
After completeting that transaction, congratulations!, you now have regular DAI on the xDai sidechain. From here you can repurchase the assets you had before or invest in some cool project on the xDai sidechain.