Vault Architecture
Last updated
Last updated
Zipper’s vault system is designed for efficiency and cost-effectiveness, ensuring every zAsset remains fully 1:1 backed while minimizing gas costs across different blockchain networks. Unlike a traditional pooled vault model, Zipper utilizes a distributed deposit system, where user deposits are managed across multiple addresses before being consolidated into a main vault.
Zipper operates with two distinct types of vault addresses to manage assets efficiently:
Deposit Addresses - User-specific addresses used for receiving deposits before consolidation.
Main Vaults - Primary storage locations where assets are consolidated after deposits.
When a user zips an asset, they send it to their designated deposit address, which is unique to them.
These deposit addresses are not uniquely generated for every deposit, meaning users deposit to the same assigned address each time if depositing the same asset or on the same network as a previous deposit.
Deposit addresses are not shared between users, ensuring funds remain separate and avoiding commingling.
Although deposit addresses are distinct from the main vault, they are still secured under the same private key model as the main vault.
Instead of immediately consolidating all deposits into the main vault, Zipper’s backend infrastructure monitors gas prices on the originating chain.
When network conditions are favorable, deposits are batched and consolidated into the main vault to minimize unnecessary gas costs.
Each supported token has one primary vault per blockchain.
The main vault is used for fulfilling unzips, ensuring sufficient liquidity is available when users withdraw assets.
Even if a token exists in multiple deposit addresses, the total amount across deposit addresses + main vault = 1:1 backing for all zAssets on Fabric.
When a user unzips an asset, Zipper first attempts to release funds from the main vault.
If the main vault does not have enough funds to immediately process the request (before gas-efficient consolidation has occurred), Zipper automatically fetches the required funds from existing deposit addresses to fulfill the withdrawal.
This mechanism ensures all withdrawals are processed seamlessly, regardless of vault balance distribution at any given time.
✅ 1:1 Backing Across All Addresses - Assets in deposit addresses and main vaults collectively ensure every zAsset remains fully backed. ✅ One Main Vault Per Token, Multiple Deposit Addresses - Each token has its own dedicated vault, but deposit addresses can handle multiple tokens from the same blockchain. ✅ No Commingling of User Funds - Deposit addresses are assigned per user, ensuring clear separation of assets before consolidation. ✅ Dynamic Fund Consolidation - Zipper’s architecture is designed to minimize gas fees by batching deposit transfers during low-fee windows. ✅ Efficient Withdrawal Processing - If the main vault is temporarily underfunded due to unprocessed consolidations, Zipper automatically retrieves assets from deposit addresses to fulfill withdrawals without delay.
