Private Financial Traders
In the world of Decentralized Finance (DeFi), transparency is often a disadvantage. If a trading bot executes a profitable strategy on a public blockchain, competitors can analyze the transaction history, reverse-engineer the strategy, and front-run future trades. This leads to "Alpha Decay," where a strategy loses its value once it becomes known.
The Scenario: The Autonomous Hedge Fund
An institutional trader wants to deploy an autonomous agent to manage liquidity across Solana DEXs. This agent uses a proprietary algorithm based on complex technical analysis.
The VeilCore Solution
The trader deploys the strategy to a VeilCore agent.
Hidden Logic: The trading algorithm is stored as a "private witness" in the ZK circuit. The public only sees the agent's proof verification key, not the code itself.
MEV Protection: When the agent decides to trade, it constructs the transaction offline. It submits the proof and the encrypted intent to the network.
Private Settlement: The trade is settled through the ZK Payment Engine. External observers see a swap occurring, but they cannot link it to the specific agent or determine the logic that triggered the trade.
Impact
This creates a "Dark Pool" environment on a public blockchain. It protects the intellectual property of algorithmic traders and prevents predatory Maximal Extractable Value (MEV) bots from exploiting large orders.
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