NEX Core Components

ULTRADE is designed with a fit-for-purpose hybrid architecture where each component is focused on delivering a critical aspect of the overall system in the most efficient and practical way possible. This architecture delivers an optimal combination of security, usability, efficiency, scalability, and cost-effectiveness. The system is composed of three tightly integrated core components:

1. Core Exchange Contract on the Algorand Chain

The Core Exchange Contract is the central hub of ULTRADE's system, responsible for verifying and settling trades, managing user balances, and ensuring the integrity of cross-chain transactions. Deployed on the Algorand blockchain, this contract benefits from Algorand’s high throughput, low latency, and cost-efficiency. The Core Exchange Contract interacts with the Vault Smart Contracts on various chains through Generic Message Passing (GMP) to update balances, execute withdrawals, and maintain the overall security and transparency of the trading process.

2. Vault Smart Contracts - Multichain

Vault Smart Contracts are deployed on each supported blockchain, whether EVM or non-EVM based, including Ethereum, Polygon, Avalanche, Arbitrum, Optimism, Base, Algorand, Solana, Aptos, Sui, Near, Tron, TON, and more. These Vaults are crucial for handling deposits and withdrawals of native assets, ensuring that users' funds remain on the original chain without any need for wrapping or bridging.

Deposit Process:

• Users deposit native assets into a Vault contract on any supported chain. The deposit transaction includes additional metadata, specifically the "Login Account" of the user, which is the wallet address used to log into the platform.

• The Vault verifies the deposit details and sends a message via a Generic Message Passing (GMP) service (Wormhole and LayerZero for redundancy) to the Core Exchange Contract on the Algorand chain.

• The Core Exchange Contract verifies the message's origin, authenticity, and the details of the deposit. Upon verification, the user's Login Account balance is updated on-chain, making the assets available for trading within the ULTRADE ecosystem.

Withdrawal Process:

• Users initiate withdrawals by signing a withdrawal message with their Login Account and submitting it to the API.

• The Core Exchange Contract on Algorand verifies the signature, checks the balance, and validates the withdrawal request.

• Once verified, the Core Exchange Contract sends a GMP message to the appropriate Vault contract on the relevant chain, instructing it to release the specified token amount to the designated recipient account.

• The Vault contract verifies the sender's authority and processes the withdrawal, ensuring that the assets are securely transferred to the user's requested address.

3. Backend with In-Memory Matching Engine

The Backend includes an In-Memory Matching Engine that processes and matches orders in real-time. By handling the intensive computational work off-chain, the Backend ensures that order matching is performed with minimal latency, delivering the speed and efficiency expected from a professional trading platform. Despite being off-chain, the matching engine works in tandem with the on-chain Core Exchange Contract to ensure that all trades are verified and settled on-chain, maintaining the non-custodial nature of the platform.

Together, these components form a cohesive system that addresses the challenges of cross-chain trading while preserving the advantages of non-custodial asset management and orderbook-based trading without any bridges or wrapped assets.