Updating facts

Author: mod

docs/legacy/about/related-work/web-3.md

@@ -67,6 +67,14 @@ Wootrade is a dark pool trading platform that offers significantly above-average
 
 An entry point to the 1inch Network's tech. The 1inch dApp is a 1 DeFi aggregator, offering access to the liquidity and token swap rates on various DEXes, with features, including partial fill and the ability to find the best swap paths across multiple liquidity sources. Users can optimize trades of DEXs on multiple networks and also with the 1inch DeFi Wallet users can buy crypto with their bank card using our partner fiat gateway providers.
 
+### HyperLiquid
+
+HyperLiquid is a high-performance decentralized exchange focused on perpetual contracts and derivatives trading. While it offers high-speed trading capabilities, it operates as a single trading venue. Yellow Network, in contrast, does not aim to launch a single trading venue but rather provides the infrastructure to build DEXs like HyperLiquid rapidly with lower CAPEX and OPEX through its layer-3 virtual ledger.
+
+### AsterDEX
+
+AsterDEX is another example of a decentralized exchange platform in the Web3 space. Similar to HyperLiquid, Yellow Network's approach differs by providing foundational infrastructure that enables projects like AsterDEX to be built more efficiently. The Yellow Clearnet layer-3 allows builders to create such platforms with reduced capital expenditure and operational costs.
+
 ## State of the Market (Q4, 2023—Q1, 2024)
 
 The macroeconomic climate has been defined by inflation and the extension of geopolitical crises. These headwinds have been strongly reflected in the crypto markets. We have also seen the effects of Terra, Celsius, and 3AC’s capitulations impact the market and encourage mass de-risking across all crypto assets.

docs/legacy/about/roadmap.md

@@ -10,5 +10,13 @@ This Product Roadmap is a general description of the product direction set up fo
 
 ### Product Roadmap
 
-<table data-view="cards"><thead><tr><th></th><th></th><th></th><th data-hidden data-card-cover data-type="files"></th></tr></thead><tbody><tr><td><p></p><p>Q1 2024</p><ul><li>Launch of Yellow Smart Account</li></ul></td><td></td><td></td><td><a href="#">Broken link</a></td></tr><tr><td>Q2 2024</td><td><ul><li>Rollout of Yellow Terminal</li><li>Linea Mainnet Integration</li><li>Canary trading test environment</li><li>Onboarding of Initial Builders</li></ul></td><td></td><td></td></tr><tr><td><p>Q3 2024</p><ul><li>Product launch of Yellow Network Telegram app</li><li>Product launch of Yellow Vault</li><li>Start of Yellow Locking Campaign Season 1</li><li>Start of liquidity building through the locking</li></ul></td><td></td><td></td><td></td></tr><tr><td><p>Q4 2024</p><ul><li>Distribution of season 1 rewards</li><li>Start of Yellow Locking Campaign Season 2</li><li>Adding support of 6 EVM chains</li><li>Expansion of Builder Program</li><li>Organization of Yellow Network Hackathons</li><li>Instant cross-chain trading feature</li></ul></td><td></td><td></td><td></td></tr><tr><td><p>Q1 2025</p><ul><li>Expansion and sales of Brokerage Ecosystem</li><li>Support of non-EVM chains</li><li>Enhancement of Multi-chain abstraction</li><li>Cross-chain swap through Account abstraction</li><li>Growth of Yellow Network Ambassador Program</li></ul></td><td></td><td></td><td></td></tr><tr><td><p>Q2 2025</p><ul><li>Launch of Mainnet</li><li>NeoDAX Stable release</li><li>Advanced orders</li><li>Risk Neutral Broker Dealer market making</li><li>Further Expansion of Brokerage Ecosystem</li><li>Improvement of Cross-chain Trading Systems</li></ul></td><td></td><td></td><td></td></tr></tbody></table>
+| Period | Milestones |
+|--------|------------|
+| **Q1 2024** | - Launch of Yellow Smart Account |
+| **Q2 2024** | - Rollout of Yellow Terminal<br>- Linea Mainnet Integration<br>- Canary trading test environment<br>- Onboarding of Initial Builders |
+| **Q3 2024** | - Product launch of Yellow Network Telegram app<br>- Product launch of Yellow Vault<br>- Start of Yellow Locking Campaign Season 1<br>- Start of liquidity building through the locking |
+| **Q4 2024** | - Distribution of season 1 rewards<br>- Start of Yellow Locking Campaign Season 2<br>- Adding support of 6 EVM chains<br>- Expansion of Builder Program<br>- Organization of Yellow Network Hackathons<br>- Instant cross-chain trading feature |
+| **2025** | - Launch of Yellow Clearnet virtual ledger layer-3<br>- SDK released to builders<br>- State-channels smart-contract nitrolite deployed<br>- Clearnode golang microservice for off-chain state-channel operations<br>- Used in multiple Hackathons<br>- NeoDAX SPOT release (built on Clearnet layer) - expected before end of 2025 |
+| **Q1 2026** | - NeoDAX SPOT trading between brokers<br>- Expansion of Brokerage Ecosystem<br>- Enhancement of Multi-chain abstraction |
+| **Q2 2026** | - NeoDAX support for Perpetual contract trading<br>- Advanced orders<br>- Risk Neutral Broker Dealer market making<br>- Further Expansion of Brokerage Ecosystem |
 

docs/legacy/about/summary.md

@@ -1,5 +1,5 @@
 ---
-description: Yellow Network seeks to revolutionize P2P brokerage for crypto assets.
+description: Yellow Network seeks to revolutionize broker-to-broker trading for crypto assets through its virtual ledger layer-3 infrastructure.
 ---
 
 # 📌 Summary
@@ -10,8 +10,10 @@ At Yellow Network we are committed to making cryptocurrency trading lean, effici
 
 A large amount of blockchains, tokens, and platforms has led to a silo approach that confronts users with inefficiencies and security issues, hindering scalability and mass adoption.
 
-Yellow Network aims to address this issue with a P2P network that uses state channels to connect brokers across blockchains, allowing it to reach tokens locked in isolated networks without cross-chain bridging.
+Yellow Network aims to address this issue by providing **Yellow Clearnet**, a virtual ledger layer-3 infrastructure that uses state channels to connect brokers across blockchains, allowing it to reach tokens locked in isolated networks without cross-chain bridging. The layer-3 is built using state-channel smart contracts (nitrolite - a simplified take on nitro) and clearnode, a golang microservice that acts as the off-chain service for state-channel ledger operations.
 
-The matching throughput of our network averages billions of messages daily, far quicker than any Layer-1 or Layer-2 solution currently available. Our solution is an automated smart clearing protocol, comparable to the function of a clearing house in traditional finance. Yellow Network acts as a mediator between brokers, exchanges, and market makers. It provides users with a protocol that works worldwide. It offers an all-in-one Web3 solution ready for the global retail market, a real-time inter-broker exchange, near-instant off-chain transactions, and efficient on-chain transactions.
+The matching throughput of our network averages billions of messages daily, far quicker than any Layer-1 or Layer-2 solution currently available. Our solution is an automated smart clearing protocol, comparable to the function of a clearing house in traditional finance. Yellow Network acts as a mediator between brokers, exchanges, and market makers through its chain-agnostic layer-3 infrastructure.
 
-By decoupling trading and settlement, the Yellow Network protocol enables true decentralization of high-frequency trading and widens access to digital and traditional assets.
+**NeoDAX**, built on top of the Yellow Clearnet layer, is the prominent application providing broker-to-broker trading venues. The layer-3 virtual ledger allows rapid development of DEX platforms like NeoDAX with lower CAPEX and OPEX, enabling builders to create fast DeFi applications with the SDK made available through multiple Hackathons.
+
+By decoupling trading and settlement through the layer-3 virtual ledger, the Yellow Network protocol enables true decentralization of high-frequency trading and widens access to digital and traditional assets.

docs/legacy/about/the-problem.md

@@ -22,10 +22,14 @@ Traditional finance approaches this problem by having multiple layers of special
 
 On the other hand, crypto markets primarily operate in silos and independent blockchains, leading to a highly fragmented ecosystem.
 
-There are over 200 notable exchanges and over 6000 cryptocurrencies. Around 100 use their own proprietary blockchain, making it hard to achieve secure interoperability.
+Since we started this project, many more Layer-1 and Layer-2 blockchains have appeared, and we are now dealing with hundreds of blockchains. The fragmentation is now acute. There are over 200 notable exchanges and over 6000 cryptocurrencies. Around 100 use their own proprietary blockchain, making it hard to achieve secure interoperability.
 
 Despite the critical nature of blockchain interoperability, cross-chain systems still face several hurdles when transacting assets or data between chains. These difficulties include transaction rate bottlenecks and disparities in trust.
 
+Many projects attempting to solve cross-chain issues have relied on interblockchain communications, copying state from one chain to another. This approach is very problematic as it generates waste on-chain, increases the usage of transactions per chain, is very slow since it requires blockchain confirmation on both ends, and is fairly complex to scale as a generic solution for every blockchain. Different chains may have different security requirements to confirm a state is valid and won't be reverted.
+
+The layer-3 virtual ledger approach remedies these issues by using state-channel smart contracts deployed on every chain and synchronizing the data off-chain using traditional high-speed databases such as Postgres, SQLite, and DHT networks like Kademlia.
+
 These silos and sub-ecosystems hinder scalability, efficiency, and mass adoption.
 
 *[Image placeholder: Traditional finance vs. Crypto finance comparison diagram]*

docs/legacy/about/the-solution.md

@@ -10,13 +10,15 @@ description: >-
 
 By seamlessly connecting brokers and exchanges, Yellow Network serves as a clearing and settlement network of interconnected nodes operating across different blockchains. This blockchain-agnostic approach enables the aggregation of liquidity from various chains, resulting in improved efficiency, reduced slippage, and enhanced execution of trades. With Yellow Network, participants can access the best possible trading opportunities.
 
-To facilitate high-speed trading, Yellow Network implements a layer-3 state channel infrastructure. This infrastructure allows for secure and decentralized communication and trading between brokers and exchanges. By leveraging this technology, Yellow Network ensures that transactions can be executed swiftly and efficiently while maintaining the integrity and security of the network.
+To facilitate high-speed trading, Yellow Network implements **Yellow Clearnet**, a virtual ledger layer-3 infrastructure. This layer-3 is composed of state-channel smart contracts (using nitrolite, a simplified take on nitro) and clearnode, a golang microservice that acts as the off-chain service for state-channel ledger operations. This infrastructure allows for secure and decentralized communication and trading between brokers and exchanges. By leveraging this technology, Yellow Network ensures that transactions can be executed swiftly and efficiently while maintaining the integrity and security of the network.
+
+The layer-3 virtual ledger enables the development of chain-agnostic applications. **NeoDAX**, built on top of the Yellow Clearnet layer, is the prominent application providing broker-to-broker trading venues. The layer-3 infrastructure allows rapid development of DEX platforms like NeoDAX with lower CAPEX and OPEX.
 
 The heart of Yellow Network lies in its state channel smart clearing protocol called ClearSync, which operates in a fully decentralized manner. This protocol ensures that the collateral locked within a state channel is governed by a smart contract controlled by the parties involved in the channel. As a result, Yellow Network does not have control over any funds, establishing a non-custodial system for its participants.
 
 In summary, Yellow Network's decentralized architecture, blockchain-agnostic approach, and layer-3 state channel infrastructure work together to revolutionize the financial ecosystem providing participants with enhanced liquidity, faster trading capabilities, and improved secure trading experience.
 
-Yellow Network distinguishes itself from other platforms by operating on a network of intermediate nodes rather than relying on a singular blockchain. By adopting this decentralized approach, Yellow Network enables participants to engage in high-frequency trading directly with each other on a peer-to-peer basis.
+Yellow Network distinguishes itself from other platforms by operating on a network of intermediate nodes rather than relying on a singular blockchain. By adopting this decentralized approach, Yellow Network enables participants to engage in high-frequency trading directly with each other on a broker-to-broker basis.
 
 Yellow Network serves as a clearing and settlement system that facilitates the communication of trading liabilities, updates to states within state channels, and the resolution of state channel challenges. This unique combination of features draws parallels to the SWIFT messaging protocol and ECN direct order matching protocol. While SWIFT and ECN enable brokers to access global financial markets in traditional finance, Yellow Network performs a similar role for digital assets. This clear-cut setup allows Yellow Network to contribute to the separation of powers, duties, and responsibilities by emulating an essential element of the traditional finance stack - the clearing house.
 

docs/legacy/architecture/custodial-layer.md

@@ -6,12 +6,20 @@ At this stage, Yellow Network does not provide any in-house custodial solution,
 However, we are aware of the need for decentralized custodial solutions and plan to address this issue in the near future.
 :::
 
+## Broker Identity and Security
+
+Brokers are identified by an ECDSA key-pair. They are recommended to use an MPC TSS (Multi-Party Computation Threshold Signature Scheme) custody solution such as the FROST protocol for example.
+
+**A key security principle depends on the diversity of custody solutions and providers used by the brokers to ensure there is no central vulnerability to the network.** This distributed approach to custody enhances the overall security and resilience of the Yellow Network.
+
+## Collateral Types
+
 The Yellow Network Smart Clearing Protocol does not custody assets of participating brokers except for:
 
-1. [Network access collateral.](smart-clearing-protocol.md#network-access-collateral) Stacked Yellow Tokens which brokers lock with the Yellow Network protocol in order to gain access to state channels.
-2. [Trading collateral.](smart-clearing-protocol.md#trading-collateral) Assets locked in the smart contracts between participating brokers to secure trading.
+1. **Access collateral** - For accessing the layer-3 ledger layer. Participants lock $YELLOW tokens to gain access to the state channel infrastructure.
+2. **Trading collateral** - Typically a stablecoin amount locked for a NeoDAX session, either from retail-to-broker or broker-to-broker trading.
 
-Yellow Network will have access to the Network Access Collateral and Trading Collateral for risk management purposes in the case of a dispute between brokers.
+All participants should have registered their public key and locked $YELLOW tokens. Yellow Network will have access to the collateral for risk management purposes in the case of a dispute between brokers.
 
 ### Flexible Architecture
 

docs/legacy/architecture/risk-management.md

@@ -10,10 +10,10 @@ Yellow Network manages risks by requiring participating brokers to deposit colla
 
 ## Collateral
 
-P2P trading is secured through collateral deposited by brokers. There are two types of collateral that have to be provided:
+Broker-to-broker trading is secured through collateral deposited by brokers. There are two types of collateral that have to be provided:
 
-* [Network access collateral:](risk-management.md#network-access-collateral) required to open state channels and become an accredited Yellow Network participant. It acts as a last resort for disputes between brokers.
-* [Trading collateral:](risk-management.md#trading-collateral) agreed on a P2P level when a state channel is opened. Secures day-to-day trading activities between brokers and prevents overexposure. It acts as the first line of defense in disputes between brokers.
+* **Access collateral** - For accessing the layer-3 ledger layer. Required to become an accredited Yellow Network participant. All participants should have registered their public key and locked $YELLOW tokens.
+* **Trading collateral** - Typically a stablecoin amount locked for a NeoDAX session, either from retail-to-broker or broker-to-broker trading. Agreed upon when a state channel is opened. Secures day-to-day trading activities and prevents overexposure.
 
 ### Network Access Collateral
 
@@ -93,4 +93,25 @@ After a settlement dispute is resolved, the broker has to ensure that he has suf
 
 A State Channel Dispute is triggered manually by a broker and signals an issue between the broker and the protocol. For example, when a broker discovers a bug in the smart clearing protocol.
 
+While state channels have an automated way to challenge a state for unlocking escrowed funds, this does not cover all possible malicious behavior happening off-chain.
+
 State Channel Disputes trigger a halt of the trading channel and a manual intervention from the Yellow Network support team. If the dispute can be resolved the state channel is reopened for trading. If no solution is found, the channel is closed and all open positions are reverted, using brokers' collateral if necessary.
+
+## Online Dispute Resolution Center (ODRC)
+
+The **Yellow Online Dispute Resolution Center (ODRC)** can handle all manual disputes through auditing logs and quorum vote of appointed anonymous auditors.
+
+### Participant Registry
+
+The registry is a reputation database for participants, recording key information such as:
+- Trading volume
+- Disputes lost
+- Amount of capital locked
+- Public key registration
+- Reputation scores
+
+Any participant can file a dispute against another participant for a filing fee. An independent arbitration board consults the audit trails available and enforces the outcome of the dispute, which may result in:
+- A reputation fault
+- A token slash (participant collateral can be slashed in case of dispute loss)
+
+**Reputation and disputes are recorded on-chain in the participant registry**, ensuring transparency and accountability across the network.

docs/legacy/architecture/smart-clearing-protocol.md

@@ -106,9 +106,13 @@ Situations that trigger a settlement:
 * The risk exposure of open trades is considered too high by a participant node, i.e. the open net liabilities exceed the [collateral thresholds](risk-management.md#collateral-thresholds).
 * An end-user requests a withdrawal of an asset that is not in the broker's custody but still in a trading channel's liabilities.
 
-#### Hash Timelocked Contracts (HTLC)
+#### Settlement Methods
 
-Every settlement is processed using a set of hash timelocked contracts.
+Settlements are often performed through withdrawal of funds from Layer-3 to any target blockchain, with the clearnode responsible for settlement.
+
+The escrow infrastructure depends on each chain's capacity. They are often simplified state-channels for lightweight ledger operations. In some cases, the escrow mechanism used will be a Hash Timelocked Contract (HTLC).
+
+##### Hash Timelocked Contracts (HTLC)
 
 A hash timelocked contract (HTLC) is a smart contract used to ensure that a transfer between two parties, performed before an expiration time, allows a rollback and payer to be refunded. It allows two parties to perform an atomic swap without a third party.