Deposit & Withdraw
EVEDEX has implemented an innovative solution that enables users to fund their accounts effortlessly with any currency from any network. This seamless deposit process removes traditional barriers, allowing you to enjoy the benefits of a decentralized platform without compromising on ease of use.
Moreover, to eliminate the hassle of manually signing transactions every time you top up your exchange balance, we've created the "personal deposit contract" — an innovative solution crafted by our team to streamline your experience while keeping your assets secure.
Recently, we released an article about the challenges we encountered with bridges during the development of our deposit and withdrawal systems. You can check it out here.
Understanding the Temporary Wallet
Our solution features what we call a "personal deposit contract" in essence, operates as a smart contract deployed on the Arbitrum network, designed to securely hold funds before they are routed to the appropriate bridge based on available liquidity. Unlike a traditional temporary hot wallet, which requires a private key, our system uses a smart contract that can only transfer tokens to a specified bridge, ensuring maximum security and eliminating the need for private key management. The contract’s code is open-source and audited, allowing anyone to verify its integrity and operations. This innovative approach enhances both security and usability without compromising decentralization.
Key advantages:
Smart Contract-Based: Instead of a traditional wallet with private keys, our temporary wallet is a smart contract deployed on the Arbitrum network. This smart contract temporarily receives your funds when you make a deposit.
Seamless Fund Transfer: Once your funds are in the temporary wallet, they are automatically transferred to the appropriate liquidity bridge. The bridge selection depends on the current liquidity, ensuring that your assets are efficiently routed to your final trading account.
Enhanced Security: The smart contract is designed to send tokens only to a pre-specified bridge address and destination address to boost security.
Transparency and Trust: The code for our smart contracts is fully open-source and has undergone rigorous audits. This means anyone can review and verify exactly how your funds are handled, providing complete transparency.
In summary, our temporary wallet marries the convenience of centralized systems with the security and transparency inherent to decentralized technology, ensuring a safe and user-friendly experience for all your transactions.
Deposit Process
The deposit process is designed to be intuitive for users and robust technically. Here is a step-by-step outline of the process:
User Authentication: The journey begins when a user logs into our exchange using their own wallet. This secure authentication step ensures that each user’s funds and activities are directly tied to their wallet.
Initiating a Deposit: Once authenticated, the user selects the Deposit option and chooses the desired network, token, and the amount they wish to transfer. Route Selection via Aggregator: Our integrated aggregator presents the user with several routing options. These options vary based on the final amount received and the expected processing time. After reviewing these choices, the user signs the transaction from their wallet.
Utilizing the Temporary Wallet: The transaction directs funds to the user’s personal deposit contract – a smart contract whose address is deterministically calculated before deployment. Although the contract is not deployed in advance, we can accurately predict its future address, which is uniquely linked to the user’s wallet. Importantly, this address cannot have a private key by design, reducing potential security risks.
Monitoring and Verification: We use Quicknode’s Streams service to monitor all the USDT movements on the Arbitrum network. Once a deposit is detected on any of the personal deposit contracts, the system initiates further verification.
Compliance and Contract Deployment: EVEDEX Core Engine ensures that the deposit meets a minimum threshold (7 USDT) and passes the AML checks through Chainalysis API. Then, our system deploys a new smart contract or uses an already deployed one if the user deposited funds before.
Transferring Funds to the Bridge: A designated account calls a method on the newly deployed contract to transfer the funds to the liquidity provider. This step is crucial for bridging the liquidity to our L3 network.
Final Credit to the Smart Account: Finally, the funds are deposited to our L3 network Eventum and to the user's Smart Account accordingly. At this point, the user can begin trading on the exchange seamlessly.
Withdrawals from EVEDEX
Withdrawing funds from our network is just as simple and secure as depositing them:
User-Initiated Withdrawal: To withdraw funds, the user specifies the amount in USDT and selects the desired target network.
*Liquidity Verification: Our system then checks liquidity across our network of liquidity providers to speed up the withdrawal process and avoid 1 hour withdrawal period.
Efficient Transfer: Based on the liquidity check, the system transfers the specified amount in USDT to the user's target network. This ensures you receive your funds promptly and reliably, regardless of the network.
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