Zipper Architecture

This section provides an overview of the technical architecture and processes behind Zipper’s functionality.

Core Architecture

1. Vault System:

   • Original assets are stored in multi-signature wallets managed with a Trusted Execution Environment (TEE) protocol to maximize security.

   • Vaults are fully decentralized, ensuring no single entity has control over the private keys.

2. 1:1 Minting and Burning:

   • Every zAsset minted on Fabric corresponds to an equal amount of the original asset held in Zipper’s vault.

   • When a zAsset is unwrapped, it is burned on Fabric, and the original asset is released from the vault.

3. On-Chain Transparency:

   • All transactions are fully recorded on-chain, allowing users to verify the status of their assets at any time.

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Technical Workflow

Wrapping (Zipping)

1. The user deposits an asset (e.g., USDT from Ethereum) into Zipper’s vault.

2. Zipper mints an equivalent amount of zAssets (e.g., zUSDT) on Fabric.

3. The zAssets are sent to the user’s Fabric-compatible wallet.

Unwrapping (Unzipping)

1. The user sends their zAssets (e.g., zUSDT) to Zipper.

2. Zipper burns the zAssets on Fabric.

3. The original asset is released from the vault and sent back to the user’s external wallet.

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Key Design Features

1. Decentralized Security:

   • The TEE protocol and multi-signature wallets prevent unauthorized access and ensure the safety of user funds.

2. Cross-Chain Compatibility:

   • Zipper supports assets from multiple blockchains, with unique contracts for each chain.

3. Compliance Measures:

   • Transactions are screened for compliance, blocking interactions with flagged or sanctioned wallets.