# Architecture Diagram

The DarkVeil protocol is built on a hybrid architecture that intelligently separates on-chain security from off-chain privacy and performance. This diagram provides a high-level overview of the protocol's components and the flow of user interactions, from depositing funds to executing a confidential trade.

This model is designed to provide the absolute security of Ethereum L1 for user funds, while leveraging the power of our AI-driven Secure Enclave network to deliver a private, fair, and high-performance trading experience.

#### DarkVeil Protocol Flow

<figure><img src="/files/LcQM9sEUoPKRwUBvT9Kx" alt="Dark Veil Architecture Diagram"><figcaption></figcaption></figure>

#### Understanding the Architecture

The protocol is comprised of four key areas:

1. **The User Layer:** This is the trader, who interacts with the protocol via their wallet.
2. **The On-Chain Layer (Ethereum L1):** This is the "Trust Layer," comprised of audited smart contracts that hold all user funds and finalize the settlement of all trades.
3. **The Off-Chain Layer (Secure Enclave Network):** This is the "Privacy & Intelligence Layer," where all complex computations—like order matching and margin calculations—happen in complete confidentiality.
4. **External Services:** These are decentralized services, like Oracles, that provide essential, verified data to the protocol.

#### Key Interaction Flows

The diagram illustrates the three primary actions a user takes within the protocol:

* **1. Deposit / Withdraw:** The user interacts directly with the **Vault Contract** on Ethereum L1 to deposit or withdraw their collateral. This flow never touches the off-chain system; it's a direct, non-custodial interaction with the most secure layer.
* **2. Placing a Trade (Private Interaction):**
  * **Remote Attestation:** Before trading, the user's client first "challenges" the **Secure Enclave (TEE)** to prove it is genuine and running the correct, audited code.
  * **Submit Encrypted Order:** Once verified, the user submits their encrypted order directly to the off-chain enclave, completely bypassing the public mempool.
  * **AI Matching:** Inside the enclave, the **AI Matching Engine** reads the **Confidential Order Book** and the verified price from the **Oracle Bridge** to find the optimal, zero-slippage execution path.
* **3. Trade Settlement (On-Chain Proof):**
  * **Proof Generation:** The AI engine generates a signed "Settlement Proof."
  * **Verification & Settlement:** This proof is broadcast to the **Settlement Contract** on-chain. The contract verifies the proof's signature and then instructs the **Vault Contract** to move the assets, finalizing the trade.


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