Goals of ZK OTC
ZK OTC is designed to solve execution-level problems that governance alone cannot fix. Its goals focus on capital movement, strategy protection, and institutional safety in adversarial on-chain environments.
1. Enable Capital Execution Without Information Leakage
In public markets, capital movement is information.
Large swaps, withdrawals, or reallocations reveal:
Position size
Strategy intent
Timing signals
Risk exposure
ZK OTC’s primary goal is to ensure that:
Capital can move on-chain
Without becoming a signal
And without being reverse-engineered
Execution must not leak strategy.
2. Protect LPs and Capital Contributors
LPs in public vaults face:
Address exposure
Balance visibility
Withdrawal timing inference
Long-term surveillance
ZK OTC is designed so that:
LP identities are never public
LP balances and share ratios are hidden
Withdrawals cannot be tracked or correlated
LP participation cannot be inferred
LPs contribute capital, not metadata.
3. Remove Front-Running and MEV Targeting
Public execution enables:
MEV sandwich attacks
OTC price manipulation
Adversarial liquidity provision
Execution griefing
ZK OTC’s goal is to:
Eliminate execution-time visibility
Remove predictable execution paths
Prevent adversaries from reacting in real time
Execution should be final before it is observable.
4. Enforce Fund Governance On-Chain
Most private funds rely on:
Off-chain approvals
Social trust
Manual controls
ZK OTC’s goal is to:
Bring fund governance fully on-chain
Enforce approval rules cryptographically
Remove discretionary execution power
Every action must be:
Proposed
Approved
Executed
Verified
5. Support Complex Fund Structures
Real funds are not single-wallet strategies.
ZK OTC is designed to support:
Multiple roles (manager, signer, LP, auditor)
Multiple approval thresholds
Strategy-specific constraints
Conditional and time-bound execution
All without exposing internal structure.
6. Enable Private Accounting and Reporting
Funds need reporting, but not exposure.
ZK OTC aims to:
Support private NAV computation
Enable aggregate performance reporting
Provide audit-grade proof receipts
Without revealing:
Asset composition
Position history
Counterparties
7. Enable Compliance Without Surveillance
ZK OTC supports:
Proof-based compliance
Selective disclosure under governance control
Jurisdictional or policy constraints
The goal is to:
Satisfy regulatory requirements
Without building identity honeypots
Without compromising LP privacy
8. Remain Composable and Chain-Agnostic
ZK OTC is designed as infrastructure.
Its goals include:
Multi-chain deployment
Integration with external liquidity sources
Compatibility with ZK-native ecosystems
Minimal assumptions about assets or venues
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