🏗️Technical Architecture

The one-click cross-chain transaction capability in 1FUEL is powered by a sophisticated algorithm that combines graph theory and dynamic programming to optimize transaction paths across different blockchain networks. The key components of this architecture are:

Graph Theory Model

In the 1FUEL system, blockchain networks are modeled as nodes in a graph, with potential transaction paths between them represented as edges. Each edge has an associated cost, determined by factors such as:

• Gas Fees: The cost required to execute transactions on a blockchain network.

• Network Latency: The time delay experienced in processing transactions across networks.

• Liquidity: The availability of assets to facilitate transactions without causing significant price slippage.

The objective is to identify the most efficient path—the one with the lowest overall cost—from the source blockchain to the target blockchain.

Dynamic Programming Approach

The algorithm continuously updates the weights of the edges in the graph in real-time, ensuring that the optimal path is always selected based on the latest network conditions. The dynamic programming approach involves:

• Cost Function Calculation: For each possible path, the algorithm calculates the total cost, factoring in gas fees, latency, and liquidity.

• Path Optimization: The algorithm evaluates multiple paths simultaneously, updating the cost function as network conditions change, ensuring that the most cost-effective path is selected at the time of transaction execution.

Hashed Time-Locked Contracts (HTLCs)

To ensure the security and atomicity of cross-chain transactions, 1FUEL employs Hashed Time-Locked Contracts (HTLCs). HTLCs are smart contracts that:

• Time-Lock: Transactions are time-bound, meaning they must be completed within a specified period, or they are automatically canceled.

• Conditional Execution: Transactions are contingent upon the fulfillment of certain conditions, typically the revelation of a cryptographic hash. This ensures that either the entire transaction across all involved chains is completed, or it is rolled back, preventing asset loss.