Understanding Panther Protocol: A Comprehensive Overview

Messari · 2024-12-23T16:38:22+00:00

- Panther Protocol is creating a **decentralized, privacy-enhancing layer for decentralized finance (DeFi)** that meets regulatory requirements while protecting user data.- Panther has partnered with **Eurobit to help them become the first VASP-licensed Zone Manager.** Panther has also partnered with PureFi, a KYC/KYT provider, to expand their role in the Panther ecosystem and become a Zone Manager.- **UTXOs are fundamental to Panther's privacy solution as they represent both digital assets (zAssets) and user accounts (zAccounts) within the Shielded Pools.** By leveraging UTXOs and ZKPs, Panther ensures that the details of transactions, including the sender, receiver, and amounts, remain hidden from public view while still maintaining a verifiable and immutable record of activity on the blockchain.- **Shielded Pools in Panther are specialized smart contract environments where users can deposit assets, convert them into privacy-enhanced zAssets, and trade within the pool without their transactions being publicly visible.** These pools are designed to enhance privacy in DeFi by leveraging ZKPs to obfuscate transaction details while allowing for selective disclosure of information for compliance purposes.- **DeFi adaptors will allow users to interact with external DeFi protocols directly from Panther's Shielded Pools.** This enables privacy-conscious users to engage in activities like swapping assets (using zSwap), providing liquidity, and staking, all while preserving the privacy of their transactions and identities.- Zone Managers determine the specific purpose of the Zone and its intended user base: * User bases include institutional clients, retail users, or a specific niche within the DeFi space. * This initial step is crucial for shaping the Zone's compliance requirements, features, and operational parameters. For example, a Zone designed for institutional clients might require more rigorous KYC procedures and higher transaction limits than a Zone targeting retail users.- User bases include institutional clients, retail users, or a specific niche within the DeFi space.- This initial step is crucial for shaping the Zone's compliance requirements, features, and operational parameters. For example, a Zone designed for institutional clients might require more rigorous KYC procedures and higher transaction limits than a Zone targeting retail users.- Configure Zone Parameters and Allowlists: * Zone Managers configure operational parameters, including transaction limits, trading fees, and supported assets. * Zone Managers determine which other Zones users can trade with via the Shielded Pools. * Zone Managers can create allowlists for specific users, assets, and trading pairs, enabling a controlled and compliant trading environment.- Zone Managers configure operational parameters, including transaction limits, trading fees, and supported assets.- Zone Managers determine which other Zones users can trade with via the Shielded Pools.- Zone Managers can create allowlists for specific users, assets, and trading pairs, enabling a controlled and compliant trading environment.- Establish Data Escrow and Forensic Reveal Procedures: * Zone Managers are responsible for setting up data escrow mechanisms to store encrypted transaction data for potential future disclosure to regulatory bodies. * Zone Managers work with specialized data escrow providers and define the procedures for forensic reveals, ensuring that these comply with legal requirements and data privacy regulations.- Zone Managers are responsible for setting up data escrow mechanisms to store encrypted transaction data for potential future disclosure to regulatory bodies.- Zone Managers work with specialized data escrow providers and define the procedures for forensic reveals, ensuring that these comply with legal requirements and data privacy regulations.- Integration with Panther Protocol and Go-Live: * Once the Zone is configured, the Zone Manager integrates it into Panther. * The Zone Manager tests the Zone's functionality and compliance mechanisms before making it available to users.- Once the Zone is configured, the Zone Manager integrates it into Panther.- The Zone Manager tests the Zone's functionality and compliance mechanisms before making it available to users.- A zAccount initiates a swap through Panther and selects the desired trade (e.g., zETH to zUSDC).- zSwap calculates the exchange rate and details the optimal route of execution.- The zAccount confirms the swap, and a unique hashed time-locked contract (HTLC) is created.- Within the set time limit of the HTLC, the zAccount reveals its secret keys to enable the DeFi Adaptor to execute the atomic swap; privacy is maintained as these details are never shown on the public blockchain.- zUSDC is delivered to the zAccount along with PRP rewards.- Zone Managers * VASP-licensed operators who set up Zones, enabling entrance into Panther’s Shielded Pools- VASP-licensed operators who set up Zones, enabling entrance into Panther’s Shielded Pools- Compliance Providers * Dedicated service providers who ensure the Zone Manager’s KYC/T/B requirements are met by zAccounts- Dedicated service providers who ensure the Zone Manager’s KYC/T/B requirements are met by zAccounts- Relayers * Specialist Operators providing relaying and bundling service * Earns fees for signing transactions, paying gas fees, and relaying bundles of transactions to Shielded Pool contract- Specialist Operators providing relaying and bundling service- Earns fees for signing transactions, paying gas fees, and relaying bundles of transactions to Shielded Pool contract- Oshiya Operators: ZMiners * zMiners: operates Oshiya nodes * Oshiyha node code fetches pending mining queue * Updates Merkle Trees to append the UTXOs * Creates SNARK proof to go onchain * Provides offchain execution and submits proofs * Receives rewards for processing all UTXOs in a queue (Guaranteed Reward & Premium Payment)- zMiners: operates Oshiya nodes- Oshiyha node code fetches pending mining queue- Updates Merkle Trees to append the UTXOs- Creates SNARK proof to go onchain- Provides offchain execution and submits proofs- Receives rewards for processing all UTXOs in a queue (Guaranteed Reward & Premium Payment)

Messari

Panther Protocol is creating a decentralized, privacy-enhancing layer for decentralized finance (DeFi) that meets regulatory requirements while protecting user data.
Panther has partnered with Eurobit to help them become the first VASP-licensed Zone Manager. Panther has also partnered with PureFi, a KYC/KYT provider, to expand their role in the Panther ecosystem and become a Zone Manager.
UTXOs are fundamental to Panther's privacy solution as they represent both digital assets (zAssets) and user accounts (zAccounts) within the Shielded Pools. By leveraging UTXOs and ZKPs, Panther ensures that the details of transactions, including the sender, receiver, and amounts, remain hidden from public view while still maintaining a verifiable and immutable record of activity on the blockchain.
Shielded Pools in Panther are specialized smart contract environments where users can deposit assets, convert them into privacy-enhanced zAssets, and trade within the pool without their transactions being publicly visible. These pools are designed to enhance privacy in DeFi by leveraging ZKPs to obfuscate transaction details while allowing for selective disclosure of information for compliance purposes.
DeFi adaptors will allow users to interact with external DeFi protocols directly from Panther's Shielded Pools. This enables privacy-conscious users to engage in activities like swapping assets (using zSwap), providing liquidity, and staking, all while preserving the privacy of their transactions and identities.
Zone Managers determine the specific purpose of the Zone and its intended user base:
- User bases include institutional clients, retail users, or a specific niche within the DeFi space.
- This initial step is crucial for shaping the Zone's compliance requirements, features, and operational parameters. For example, a Zone designed for institutional clients might require more rigorous KYC procedures and higher transaction limits than a Zone targeting retail users.
User bases include institutional clients, retail users, or a specific niche within the DeFi space.
This initial step is crucial for shaping the Zone's compliance requirements, features, and operational parameters. For example, a Zone designed for institutional clients might require more rigorous KYC procedures and higher transaction limits than a Zone targeting retail users.
Configure Zone Parameters and Allowlists:
- Zone Managers configure operational parameters, including transaction limits, trading fees, and supported assets.
- Zone Managers determine which other Zones users can trade with via the Shielded Pools.
- Zone Managers can create allowlists for specific users, assets, and trading pairs, enabling a controlled and compliant trading environment.
Zone Managers configure operational parameters, including transaction limits, trading fees, and supported assets.
Zone Managers determine which other Zones users can trade with via the Shielded Pools.
Zone Managers can create allowlists for specific users, assets, and trading pairs, enabling a controlled and compliant trading environment.
Establish Data Escrow and Forensic Reveal Procedures:
- Zone Managers are responsible for setting up data escrow mechanisms to store encrypted transaction data for potential future disclosure to regulatory bodies.
- Zone Managers work with specialized data escrow providers and define the procedures for forensic reveals, ensuring that these comply with legal requirements and data privacy regulations.
Zone Managers are responsible for setting up data escrow mechanisms to store encrypted transaction data for potential future disclosure to regulatory bodies.
Zone Managers work with specialized data escrow providers and define the procedures for forensic reveals, ensuring that these comply with legal requirements and data privacy regulations.
Integration with Panther Protocol and Go-Live:
- Once the Zone is configured, the Zone Manager integrates it into Panther.
- The Zone Manager tests the Zone's functionality and compliance mechanisms before making it available to users.
Once the Zone is configured, the Zone Manager integrates it into Panther.
The Zone Manager tests the Zone's functionality and compliance mechanisms before making it available to users.
A zAccount initiates a swap through Panther and selects the desired trade (e.g., zETH to zUSDC).
zSwap calculates the exchange rate and details the optimal route of execution.
The zAccount confirms the swap, and a unique hashed time-locked contract (HTLC) is created.
Within the set time limit of the HTLC, the zAccount reveals its secret keys to enable the DeFi Adaptor to execute the atomic swap; privacy is maintained as these details are never shown on the public blockchain.
zUSDC is delivered to the zAccount along with PRP rewards.
Zone Managers
- VASP-licensed operators who set up Zones, enabling entrance into Panther’s Shielded Pools
VASP-licensed operators who set up Zones, enabling entrance into Panther’s Shielded Pools
Compliance Providers
- Dedicated service providers who ensure the Zone Manager’s KYC/T/B requirements are met by zAccounts
Dedicated service providers who ensure the Zone Manager’s KYC/T/B requirements are met by zAccounts
Relayers
- Specialist Operators providing relaying and bundling service
- Earns fees for signing transactions, paying gas fees, and relaying bundles of transactions to Shielded Pool contract
Specialist Operators providing relaying and bundling service
Earns fees for signing transactions, paying gas fees, and relaying bundles of transactions to Shielded Pool contract
Oshiya Operators: ZMiners
- zMiners: operates Oshiya nodes
- Oshiyha node code fetches pending mining queue
- Updates Merkle Trees to append the UTXOs
- Creates SNARK proof to go onchain
- Provides offchain execution and submits proofs
- Receives rewards for processing all UTXOs in a queue (Guaranteed Reward & Premium Payment)
zMiners: operates Oshiya nodes
Oshiyha node code fetches pending mining queue
Updates Merkle Trees to append the UTXOs
Creates SNARK proof to go onchain
Provides offchain execution and submits proofs
Receives rewards for processing all UTXOs in a queue (Guaranteed Reward & Premium Payment)