The Fusotao protocol helps accelerate the development of DeFi by using high-performance and high-security features.

Project overview

The decentralized finance (DeFi) industry continues to hit all-time highs, with daily transaction volumes steadily increasing. Unfortunately, even though billions of funds are currently being switched back and forth, decentralized exchanges (DEXs) are fraught with obvious and invisible costs that hinder the functioning of the market.

Therefore, the future of DeFi requires eliminating the high transaction costs and limited functionality typically associated with traditional DEXs. Among them is slippage, the difference between the quoted price of the cryptocurrency and the trader’s actual price. This is due to limited liquidity, expensive gas costs, lack of control over strike prices and the risk encountered, as malicious traders execute trades ahead of knowledge-based traders. their consciousness. insider knowledge of their futures trading. Addressing these concerns means that DeFi can achieve parity with centralized exchanges (CEXs), while eliminating the need for middlemen. On the other hand, decentralized cryptocurrency exchanges (DEXs) are blockchain-based applications that coordinate the large-scale trading of crypto assets between many users. They do it entirely through automated algorithms, rather than the conventional approach of acting as a financial intermediary between buyers and sellers. These are crypto assets that sit below the surface of an exchange, awaiting the completion of any incoming buy or sell orders. pool. This is the Fusotao Protocol.

So how is Fusotao Protocol understood?

The Fusotao protocol is simply a secure, open and fast, secure and fast verification protocol for the order matching system. As a platform-based application chain (application chain), Fusotao holds user assets and verifies appropriate transactions from off-chain exchange services. This open source protocol has been integrated similar to an application chain on the framework for holding user assets and verifying appropriate transactions from offline exchange services, as a platform. Community driven, the protocol has also been extended using an off-chain execution model, on-chain verification supported by fusotao’s decentralized infrastructure, distributed matching system reliably free at zero cost and of course low latency buildable. Through off-chain order matching, order submission, order fulfillment, certificate generation, and other processes running on a centralized server, all platform users can enjoy a fast and secure trading experience. as user-friendly as CEX. The Fusotao protocol plans to implement and enforce this by providing a user-friendly order book-based DEX with zero gas costs, low latency, and high security. Realizing this potential, the core team of Fusotao Protocol assembled a professional team of beginner entrepreneurs and seasoned investors to create a comprehensive blockchain-based metaverse trading platform. As cryptocurrencies are designed for global adoption, our platform will be the one-stop destination for customers who intend to get a great return on their investment. The Fusotao protocol team has created a user-friendly hybrid system of both the traditional marketplace and blockchain-based assets.

The Goal of the Fusotao Protocol

The Fusotao protocol has the definite purpose of solving pending issues related to scalability and matching performance on centralized cryptocurrency exchanges by delegating off-chain transaction activity, without giving up security guarantees, including zero user funds and full replaceability of the asset base. The blockchain application chain acts as the verifier, while the off-chain matching system acts as the matcher and maxim. The application chain holds the user’s assets and verifies matched transactions from the off-chain client, which is used to execute orders and prove them through its new Verification Match Sub-Protocol.

Leveraging a custom and optimized implementation of the Sparse Tree, the order book is encrypted into a Tree and its root hash is stored on-chain, leaving the entire Tree up to the matcher. Verifiers simply verify the result of order execution by validating the Merkle proof, and the process matches the original hash and its original command. Once verified, accounts can be altered and the updated original hash is stored on-chain.

What is the difference between Fusotao and zk-SNARKs?

zk-SNARKs is a popular solution to the Polynomial problem. In general, zk-SNARK can be used to verify something without recomputing. there are 3 reasons we need to consider using zk-SNARKs: recalculate its complexity is measured in space, recalculate complexity is measured in time and need to hide something. In blockchain, first and second are very important. But as a suitable tool, the time cost to recalculate it is acceptable or even less than verifying with zk-SNARK. So far, compared to zero proof, it is much cheaper to generate merkle proof without zk-SNARK. That’s why we don’t use zk-SNARKs in Fusotao.

In conclusion

The Fusotao protocol is a potential project that deserves your attention. The project helps several founders build their own order book-based DEXs on our blockchain using our matching engine and verification protocol. In the near future, Fusotao aspires to be a core component in driving the growth of DeFi using high-performance and high-security features. Join the project to be able to experience these wonderful things

For More Detailed Informations , Visit
Website: https://www.fusotao.org/
Twitter: https://twitter.com/FusotaoProtocol
Telegram: https://t.me/fusotao
Medium: https://medium.com/fusotao-protocol/
Authorship Detailed
User : Snapexti
Bitcoitalk Url :- https://bitcointalk.org/index.php?action=profile;u=2785638
Auth. Proof :- https://bitcointalk.org/index.php?topic=5405105.msg60605833#msg60605833
BSC wallet : 0x85BCF13A1B784f0668Eb7DCC00a16dd1374b6eF2