Protocol Overview
Last updated
Last updated
This document provides a comprehensive overview of the cSigma Edge protocol, detailing its architecture, components, and functionalities. It serves as a guide for developers, auditors, and users interested in understanding the protocol's design and operation within the DeFi ecosystem.
Factory
Master Pools
Fund Managers
Withdrawal Managers
Staking Pools
Router
The Factory contract serves as the central hub for creating and managing investment pools, fund managers, and staking pools within the cSigma Edge protocol.
Each master pool is designed to offer users a secure and efficient way to invest their assets while benefiting from the expertise of designated pool managers. The pool manager, assigned a critical role within the protocol, has the authority to determine various aspects of the pool.
Minimum Investment: Setting the minimum amount required for user participation.
Pool Closure: Deciding when to close the pool to new investments, ensuring strategic management of the pool’s lifecycle.
Maximum Fund Limit: Establishing the maximum limit on total funds the pool will accept, thereby managing liquidity and risk.
deposit(uint256 assets, address receiver)
withdraw(uint256 assets, address receiver, address owner)
Each master pool is attached with a Fund Manager contract.. It is tasked with managing the financial operations and strategic decision-making of a specific pool. This contract enables efficient handling of funds and ensures that investment strategies are executed effectively.
The Withdrawal Manager acts as a middleware layer between the Master Pool and the Fund Manager. It handles withdrawal requests when immediate liquidity is unavailable in the pool’s reserve, implementing a fair and efficient queue-based system.
Key Methods:
requestWithdrawal(uint256 _LPTokenAmount, address receiver) : Places a withdrawal request in the FIFO queue.
repay(uint256 uptoQueuePosition, uint256 amount) : Triggered by the Fund Manager. Redeems LP tokens that are placed in the queue from the pool to repay queued withdrawals.
claim(uint256 queuePosition, uint256 repaymentDataIndex) : Allows users to claim their stablecoins after their request is repaid.
The Staking Pool is designed to enhance user engagement within the cSigma Edge protocol by providing a mechanism for users to earn additional rewards on top of the interest accrued from lending in Master Pools. This staking pool incentivizes participation and rewards commitment, allowing users to maximize their returns.
stake(uint256 amount, uint32 lockingPeriodInSeconds)
unstake()
The Router contract enables seamless cross-chain asset transfers for users participating in the cSigma Edge protocol. It integrates with LayerZero and Stargate to support a robust and efficient bridging experience across multiple blockchains.
Core Functionalities:
Cross-Chain Deposit: Allow users to lend assets to an Edge Pool that resides on a different chain from where the user initiates the deposit. This is made possible via Stargate bridging combined with LayerZero messaging, ensuring seamless interoperability across supported chains.
User Initiates Deposit on Source Chain:
The user initiate the Deposit via the frontend on their currently selected chain (e.g., Binance smart chain).
Tokens are transferred into a bridge-compatible Vault.
Bridge Transfer via Stargate:
We call sendToken(...) on Stargate Router with:
Target chain ID
Deposit amount
Calldata to trigger a deposit() on the Master Pool on the destination chain
Stargate handles asset transfer, while LayerZero carries composed calldata to the destination.
LayerZero Message Handling:
On the destination chain, our contract receives the LayerZero payload via lzReceive(...).
The protocol decodes the payload and internally triggers our lzCompose(...) function.
Funds Deposited into Master Pool:
lzCompose(...) executes the deposit() logic on the Master Pool.
LP tokens are minted on the destination chain, representing the user’s position in the pool.
The LP tokens are delivered to the same address as the depositor, but on the destination chain.
These can be used for tracking, staking, or withdrawing later.
Cross-Chain Withdrawals: Users can initiate LP token withdrawals and bridge the resulting stablecoins to another supported chain.
How It Works
User Initiates Withdrawal on Source Chain:
The user holds LP tokens on a chain in the Master Pool (e.g., Ethereum).
They initiate the withdrawal on the router contract.
Message Sent via LayerZero:
The router creates a LayerZero message payload with withdrawal instructions.
This includes the LP token amount, recipient address, and chain info.
lzCompose(...) on Destination Chain:
On the chain where the Master Pool resides (e.g., Ethereum), _bridge(...) is invoked after:
Burn LP tokens.
Release the equivalent amount of lending tokens from the Master Pool.
Bridge Transfer via Stargate:
The tokens are bridged back to the user’s chain using Stargate.
Stargate moves the assets, LayerZero delivers proof.
User Receives Tokens Locally:
The tokens arrive on the user’s destination chain.
Funds are delivered to their address, completing the withdrawal.
Claim and Bridge: Once a queued withdrawal is repaid, users can bridge the claimed assets directly.
Key Methods:
requestWithdrawAndBridge(...)
claimAndBridge(...)
lzCompose(...)
The Master pool contract serves as a foundational component of the cSigma Edge protocol, representing individual investment pools that facilitate user participation in decentralized finance (DeFi). By inheriting from the standard, pools ensures compatibility with a wide range of DeFi protocols and provides users with a streamlined experience for managing their assets.
Lending Decisions: Choosing which institutions to lend to and defining the allocation of funds across different lending opportunities in .
By integrating a staking mechanism, the Staking Pool not only increases user incentives but also strengthens the overall ecosystem of the cSigma Edge protocol, encouraging longer-term investment strategies. Users earn these added rewards in the form of tokens.
