DUCE Cryptographic Modules and Rollup Integration

Technical Workflow

The zkDEFAI FHE system processes data in the following sequence:

  1. Data Encryption: All deposit and yield data is encrypted using FHE libraries.

  2. FHE Computation: Investment algorithms execute on ciphertexts, enabling blind computation of yields.

  3. Zero-Knowledge Verification: zk proofs are generated to confirm that the computations are correct, without revealing the underlying data.

Performance Benchmarks

Preliminary benchmarks indicate that:

  • Latency remains within acceptable ranges

  • Gas costs for on-chain verification via rollups are reduced by up to 70% compared to conventional methods. These benchmarks validate the efficiency of the integrated zkDEFAI FHE system.

Superchain Rollup Mechanics Enhancing Batch Compression and Data Structures

The rollup layer aggregates transactions into compressed blocks using optimized data structures. Each rollup block contains:

  • A Merkle root of all batched transactions.

  • Succinct zk proofs attesting to the correctness of off-chain computations. This design minimizes on-chain storage requirements and reduces verification costs.

Fraud Proof and Dispute Resolution

In the event of discrepancies, the system allows any party to submit a fraud proof. A sequence diagram outlines

  • How a dispute is raised.

  • The role of zk proofs in resolving the dispute.

  • The final settlement mechanism on the base chain.

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