Feature : XRC-20 And AMM protocol

[LucasMLK]

Idea: To enhance the liquidity and ecological development of XDAG, it is crucial for XDAG to make continuous progress. The community has experienced various losses in the past due to issues with centralized exchanges. While we are aware of the ERC-20 Token protocol on the Ethereum Virtual Machine (EVM), the cryptocurrency field is saturated with numerous EVMs. Unfortunately, the development of EVM has become increasingly complex, with frequent occurrences of hacker attacks and security concerns related to Solidity programs. Therefore, XDAG must pursue an innovative approach that is technically straightforward, secure, practical, and suitable for the community.

To achieve greater decentralization and grant users absolute control over XDAG and their transaction rights, we propose implementing native transaction technology on the XDAG network. We have discovered a promising protocol called BRC-20, currently in development on the Bitcoin (BTC) network. This protocol is rapidly growing, both in terms of security and ecosystem, and we believe it is better suited for XDAG. (For more information on BRC-20, please refer to: https://domo-2.gitbook.io/brc-20-experiment/) The following functionalities are compatible with the BRC-20 protocol:

• xrc-20 mint
• xrc-20 deploy
• xrc-20 transfer

However, we aim for innovation rather than mere compatibility or plagiarism. After extensive discussions among developers, we identified the core capability in the decentralized finance (DeFi) field as swap. We observed that the core automated market maker (AMM) capability of Uniswap is highly effective. Therefore, building upon the BRC-20 protocol, we have introduced an innovative, protocol-level AMM on the XDAG public chain. The following ideas outline our approach:

• xrc-20 add_liquidity
• xrc-20 remove_liquidity
• xrc-20 swap

This implementation may position XDAG as the first public chain to support the AMM native chain protocol. Compared to AMMs implemented using Solidity, XDAG's protocol-level AMM implementation will be groundbreaking and innovative. Specific implementation method: Regarding the implementation of the XRC-20 and AMM protocols in XDAGJ:

1. Add the aforementioned XRC-20 agreement in the remark field.
2. Provide XRC-20 indexing at the XDAGJ node level.
3. Implement XRC-20 RPC-related interfaces on XDAGJ nodes.
4. Implement add_liquidity,remove_liquidity,swap operation in XDAG-Pro

[LucasMLK]

Protocol Design:

index	name	bytes	Type	Description
1	Protocol	1	unsigned number	Protocol: XRC-20:1 , AMM: 2

XRC-20 Protocol

1. Deploy xrc-20

index	name	bytes	value	Description
1	Protocol	1	1	xrc-20
2	Token Name	5	BTC	Token name
3	Operation	1	1	deploy
4	Max	8	21000000	Max supply: set max supply of the XRC-20
5	Lim	8	10000	Mint limit: If letting users mint to themsleves
6	Dec	1	8	Decimals: set decimal precision, max is 8
7	permissions	1	0	Permissions: 0: allow everyone mint, 1: only allow Deploy address mint

2. Mint xrc-20

index	name	bytes	value	Description
1	Protocol	1	1	xrc-20
2	Token Name	5	BTC	Token name
3	Operation	1	2	mint
4	Amount	16	100000000	Amount to mint: States the amount of the xrc-20 to mint. Has to be less than "lim" above if stated.

3. Transfer xrc-20

index	name	bytes	value	Description
1	Protocol	1	1	xrc-20
2	Token Name	5	BTC	Token name
3	Operation	1	3	transfer
4	Amount	16	100000000	Amount to transfer: States the amount of the xrc-20 to transfer.

[LucasMLK]

AMM(Automated Market Maker) Protocol

1. add_liquidity xrc-20/xdag

index	name	bytes	value	Description
1	Protocol	1	2	AMM
2	Operation	1	1	add_liquidity
3	Token Name	5	BTC	Token name
4	AmountDesire	8	1	The amount of token you wish to deposit.
5	AmountMin	1	5	Percentage of Minimal Deposited Token.
6	deadline	1	168801901704	request expiration time. (unix timestamp)

2. add_liquidity xrc-20/xrc-20

index	name	bytes	value	Description
1	Protocol	1	2	AMM
2	Operation	1	2	add_liquidity
3	TokenA	5	BTC	Token name A
4	TokenB	5	USDT	Token name B
5	AmountADesire	8	1	The amount of token A you wish to deposit.
6	AmountBDesire	8	30000	The amount of token B you wish to deposit.
7	AmountAMin	1	5	Percentage of Minimal Deposited Token A.
8	AmountBMin	1	5	Percentage of Minimal Deposited Token B.
9	deadline	1	168801901704	request expiration time. (unix timestamp)

3. remove_liquidity xrc-20/xdag

index	name	bytes	value	Description
1	Protocol	1	2	AMM
2	Operation	1	3	add_liquidity
3	Token Name	5	BTC	Token name
4	Liquidity	8	1	Amount to transfer: States the amount of the xrc-20 to add_liquidity.
5	AmountAMin	1	5	Percentage of Minimal Deposited Token A.
6	AmountBMin	1	5	Percentage of Minimal Deposited Token B.
7	deadline	1	168801901704	request expiration time. (unix timestamp)

4. remove_liquidity xrc-20/xrc-20

index	name	bytes	value	Description
1	Protocol	1	2	AMM
2	Operation	1	4	remove_liquidity
3	TokenA	5	BTC	Token name of A
4	TokenB	5	USDT	Token name of B
5	Liquidity	8	1	Amount to transfer: States the amount of the xrc-20 to add_liquidity.
6	AmountAMin	1	5	Percentage of Minimal Deposited Token A.
7	AmountBMin	1	5	Percentage of Minimal Deposited Token B.
8	deadline	1	168801901704	request expiration time. (unix timestamp)

5. swap xrc-20/xdag

index	name	bytes	value	Description
1	Protocol	1	2	AMM
2	Operation	1	5	swap
3	amountIn	8	100	Swap Token Input Amount.
4	amountOutMin	8	1000000	Swap Token Min Output Amount.
5	path	15	BTC USDT	Token name array(split by 5 bytes).
6	deadline	1	168801901704	request expiration time. (unix timestamp)

6. swap xrc-20/xrc-20

index	name	bytes	value	Description
1	Protocol	1	2	AMM
2	Operation	1	6	swap
3	amountOut	8	100	Swap Token Output Amount.
4	amountInMax	8	1000000	Swap Token Max Output Amount.
5	path	15	BTC USDT	Token name array(split by 5 bytes).
6	deadline	1	168801901704	request expiration time. (unix timestamp)