By Mike, Foresight Ventures
TL;DR
Since the release of Paradigm's "Intent-Based Architectures and Their Risks", Web3 has paid more and more attention to "intent-centric architecture". Many leaders in the capital market have expressed great interest in this, as it may greatly improve the efficiency and security of transactions.
The "intention" here is actually a method of conducting transactions and operations on the network through smart contracts. This is a new narrative with many possible applications, but it also makes people worry about how to protect privacy and assets and allow anyone to execute these intentions.
This shift from an imperative to a declarative approach could transform user experience and efficiency, as users can define the outcomes they want and then rely on third-party networks that excel at executing them.
In the current bear market, the blockchain industry hopes to recover. In the past, the widespread acceptance of Crypto has driven this recovery. However, current applications still have some challenges for traditional Web2 users. In order to attract more people to use and drive a bull market, we need to improve the user experience of dApps, which further highlights the importance of intent-centric protocols and account abstraction.
1. Introduction to the Intent
If necessity is the mother of invention, then laziness is the father.
You may agree that many technological advances are actually due to our laziness. Many technological innovations are aimed at reducing costs and increasing efficiency. For example, the invention of the bicycle reduced labor costs and increased speed. Trains, airplanes, and ships also achieved these goals in different occasions. AI is the same, in order to intelligently save costs and improve efficiency. In my opinion, intent-based applications provide digital users with a way to execute applications, reduce costs and improve efficiency. In other words, optimization: according to the user's wishes, the best processing method is selected and executed, the fastest and most economical, and automatically executed.
1.1 What is intent?
It sounds mysterious, but it's actually very simple. In essence, the intent-centric protocol is a tool or application that helps users realize their intent. For example, the electronic scale at the farmer's market. Traditional scales only show weight, but we mainly want to know the price at the market, not just the weight. With the electronic scale, farmers can enter the price of each unit, and the scale immediately calculates the total price. In this way, the intention of both the farmer and the buyer - knowing the price, is met.
Basically, intent can be seen as a digital matching mechanism. Its principle is to connect user needs with feasible solutions, simplify the complex process in the middle, and provide a concise end result.
Think about Web2 services: an obvious example is ride-sharing services like Uber. When a person needs transportation, they simply enter their current location and desired destination into the Uber app. The platform then uses a range of algorithms and data to match the user with a suitable driver. All the complexities of route optimization, driver availability, price fluctuations, etc. are handled in the background. The main interaction of users is based on intent: "I want to get from point A to point B."
In contrast, traditional approaches may require a person to hail a taxi on the street or check public transportation schedules, facing a lot of uncertainty and inconvenience. In this context, Uber is like an intent layer for transportation, simplifying the user experience by solving the core intent.
In fact, the most popular Web2 platforms, such as Amazon, Taobao, Airbnb, and Google Maps, can be classified as intent-centric applications. They meet user intent in specific areas. Amazon and Taobao are used for online shopping; Airbnb is used for accommodation; Google Maps is used for navigation. What they have in common is: plug and play.
1.2 Why does blockchain need intent-centric applications?
In the evolving blockchain industry, market dynamics play a key role in determining trends and adoption rates. Currently, we are experiencing a bear market, and there is a strong desire within the community to catalyze the next bull market. Historically, each bull market phase has corresponded with a growth in cryptocurrency acceptance, proving the industry’s growth potential.
However, there is still a significant barrier: the user experience (UX) gap between traditional Web2 applications and emerging Web3 platforms. The complexity of current crypto applications can be daunting for mainstream users accustomed to the intuitive interfaces of Web2. To fill this gap and drive mass adoption, we need more than incremental improvements. We need a paradigm shift in how dApps are designed and interacted with. Web3 has a lot of value for retail investors to discover, but the current market provides jagged shovels for users to dig on their own, but many times. Users don't want that hassle.
This is where intent-centric protocols and account abstraction are important:
For the average person, interacting with blockchain can be a very complex matter. Traditional transactions require an accurate understanding of how to operate, which can become a barrier to entry. The composability and versatility of blockchain applications increase the complexity of user interactions.
Intent simplifies this by focusing on the desired outcome rather than the process. Users only need to express their end goal (i.e. the “what”), making crypto trading more like an everyday task and therefore easier to adopt.
Imagine a day in the life of Degen Bob: He first unlocks Metamask, claims his staking rewards, and then converts his tokens to USDT. Next, he bridges these to an L2 network to get some hot NFTs. After buying, he is attracted to a DAO governance vote. An attractive yield farming scheme then catches his attention, and then he provides liquidity after the smart contract approves it. As he mints synthetic assets in another dApp, his dwindling ETH balance prompts him to quickly swap tokens. In the evening, he browses the information of airdrops on Discord. In the process, he realizes that his ETH gas fee is insufficient, so he must swap some tokens to get ETH while monitoring the gas price to ensure that his transactions are not stuck. At the end, he checks the portfolio and finds that there are several failed transactions that he needs to handle. Exhausted, Bob ends his day like this, muttering to himself: "This is the life of a Degen."
Bob is a cryptocurrency veteran who may have coded a bit, so he can tolerate the workload and complexity. But for a newbie coming from web2? He might be terrified. So, how do we achieve Mass Adoption?
Intent-centric architectures have emerged to simplify this process. They encapsulate the intermediate steps and optimize the cost of time and money. Basically, a sequence of operations represented by A-B-C-D-E can be effectively simplified to A-E. Technologies like ZK (zero-knowledge proofs) and Lightning Network also have this goal, which is to improve transaction efficiency and privacy. From a methodological point of view, whether in a custodial or non-custodial format, the main goal is always the same: to optimize the user experience (UX).
In the blockchain space, ‘intent’ mainly refers to the goal of using a portion of assets to achieve a specific goal. Traditionally, achieving this intention involves multiple procedural steps, from multi-signatures to paying high gas fees to MEV resistance and more.
Second, characteristics
The core idea of intent is actually very simple, just like making a wish. These applications essentially parse your needs and use the extensive resources of the market to meet them. A good example of this concept that you may be familiar with is the order book. It is a platform where the various intentions of buyers and sellers come together, everyone wants to buy or sell, and the transaction is facilitated based on mutual agreement on the price. A typical intent-centric protocol may have some of the following characteristics:
1) Features: Automation
The main advantage of the intent-centric model is its ability to automate complex processes. When a user expresses a simple intent, such as wanting to exchange one cryptocurrency for another, the underlying system can automatically handle all the complex steps required to fulfill that intent.
Impact: Through automation, users do not need to be experts in blockchain technology to participate. By abstracting technical details, intent-driven automation can greatly reduce the learning curve and make the crypto space more accessible to the general public.
2) Characteristics: Consistency
One challenge in the current crypto ecosystem is the variability of the user experience between different platforms and services. An intent-centric approach drives consistency. Regardless of changes in the backend or differences between platforms, the user's interaction is always consistent: express an intent and let the system handle the rest.
Impact: Consistency in user experience reduces confusion and increases user confidence. This also ensures that once users become familiar with one intent-driven platform, they can easily switch to other platforms, promoting a more cohesive and user-friendly crypto ecosystem.
3) Features: Optimization
By focusing on the end goal (i.e., intent) rather than the individual steps required to reach that goal, the system can continually seek out the most efficient way to achieve the intent. This may involve choosing the most cost-effective path for a transaction, optimizing speed, or choosing the method that maximizes user rewards.
Impact: Users not only save time but also resources. In the context of blockchain, where transaction costs (such as gas fees) can fluctuate, optimization can lead to significant cost savings. Furthermore, it ensures that users always get the best results without having to conduct research manually or adapt their behavior to changing conditions.
4) Features: Matching
The intent-centric model naturally introduces the concept of matching. Once a user’s intent is broadcast, various service providers or platforms can “bid” to fulfill that intent, whether it’s providing the best exchange rate, fastest transaction speed, or other value-added services.
Impact: Matching enhances user power by fostering competition among service providers. This competition can reduce costs, improve service quality, and lead to innovation in the way services are delivered. For users, this means more choice, better rates, and enhanced overall value.
5) Features: Aggregation
In an intent-centric model, aggregation becomes a prominent feature. This involves gathering various options, services, or data from multiple sources in response to a single intent. Rather than requiring users to manually search through different platforms or services to achieve their goals, the system curates and presents the most relevant solutions from numerous providers.
Impact: Aggregation enhances efficiency and convenience for users. They gain a comprehensive understanding of available options, allowing for informed decision making without the hassle of manual research. This not only saves time, but also ensures that users gain a comprehensive insight into the best possibilities in the market, promoting transparency and trust. Additionally, for a space like DeFi, aggregation means better yield opportunities, more liquidity options, and optimized trading routes.
3. Exploration and Application of Intent Layer
As blockchain and decentralized finance continue to develop, we are seeing new innovative technologies to simplify user experience and improve efficiency. Although many people are already familiar with well-known projects such as Anoma, SUAVE, solvers, UniswapX, and Cowswap, we still need to pay attention to pioneers who use "intention" to develop unique applications and compare them from different user needs. Next, we will take a brief look at some outstanding projects that make full use of matching functions to enhance user experience:
1) Unibot: Telegram trading robot
Unibot breaks through traditional platforms and brings DeFi trading tools directly to Telegram. As a robot, it supports a variety of commands, from simple token swaps to complex cross-chain asset swaps. Unibot is unique in that it allows users to trade instantly on Telegram, which is not only fast but also very intuitive. As a result, Unibot has won praise from a wide range of users and is leading in revenue.
2）Grindery：Web3 Zapier
Grindery is a no-code/low-code middleware designed to bridge Apps and dApps on various chains and protocols. As a decentralized system, it can interface with smart contracts and Web2 APIs. Grindery allows users to build workflows based on specific time, state, or event triggers that can initiate transactions with smart contracts and Web2 APIs. In short, Grindery is a fully integrated platform that runs on-chain, cross-chain, and off-chain.
This diagram shows the infrastructure of Grindery. Users will encounter two categories of dApps: custom dApps and Nexus dApps. The latter are the core of Grindery and use pre-built connectors to enable code-free integration, similar to the Zapier web application. Grindery's workflow engine divides operations into Web2 and Web3. Web2 operations involve HTTP calls to public or private APIs (called Web2 gateways), while Web3 operations conform to the typical pattern of smart contract automation, allowing smart contract transactions sponsored by user wallet funds. Each blockchain requires its specific connectivity, and these gateway descriptors are stored in the system as JSON.
3) DappOS: Redefining Dapp Interaction
Many dApps have usability challenges. Consider liquidity mining: newcomers often need to go through a long process of about five contract interactions, such as token A/B approval, liquidity addition, LP token approval, and deposit. When interacting with dApps on multiple chains, the complexity increases. For example, a BNB chain user interacting with Perpetual on Optimism may need to go through a workflow of more than ten steps. DappOS aims to solve this problem:
A user initiates an order and approves a complete workflow with a single signature. This includes interactions across potentially multiple chains, asset bridging, and dappOS network fees. DApps forward this order to the dappOS network via JSON-RPC. The dappOS network then assigns this order to a permissionless node, ensuring successful execution or compensating any user losses. Driven by the potential reward, the selected node completes the entire process, including asset bridging and on-chain transactions, from the user's virtual wallet to the appropriate dApp contract.
4) Hyper Oracle: Application of Zero-Knowledge Proof
Hyper Oracle has launched a programmable zkOracle protocol that enhances blockchain security and decentralization. It consists of three main components: zkPoS, zkGraph, and zkWASM. ZkAutomation and zkIndexing provide secure automation and indexing/querying of blockchain data for smart contracts. Compared to traditional oracle networks, Hyper Oracle provides a trustless, zk-powered infrastructure solution.
zkPoS verifies Ethereum’s consensus using a zk proof, which can be accessed from anywhere. This enables zkOracle to obtain a legitimate block header as the basis for subsequent operations.
zkWASM is depicted as zkVM in the figure, which serves as the operating environment of zkGraph and gives zk capabilities to every zkGraph in the Hyper Oracle Network. Its essence is similar to zkEVM in ZK Rollups.
The zkGraph executed within zkWASM describes flexible and codable off-chain computations related to the behavior of zkOracle nodes and their apps. It can be likened to the smart contract of the Hyper Oracle Network.
5) Caddi: Trading Optimization Tool
Caddi is a trading tool that optimizes trade execution by evaluating swaps on decentralized and centralized exchanges, ensuring users get the best exchange rate. It proactively compares and displays the most cost-effective exchange routes, including all fees and gas fee estimates. In addition to its core functionality, Caddi also prioritizes user security, providing strong phishing protection, and users will receive timely warnings when they encounter possible scam tokens or exchanges.
Caddi comprehensively evaluates the liquidity and fees of DEX and CEX to provide users with clear trading recommendations. With Caddi, users can rest assured that they are getting the best trade execution while also being fully protected.
6) 0xScope: On-chain data knowledge graph protocol
In the world of blockchain, data transparency is one of its core values. 0xScope fully recognizes this and provides a powerful on-chain analysis tool designed to enable users to dig deep into blockchain data.
The main features of 0xScope include:
Transaction history query: Users can quickly find relevant transaction information by simply entering an address or transaction hash.
Smart Contract Analysis: Being able to deeply study the behavior and interactions of smart contracts is crucial for developers and researchers. 0xScope provides detailed smart contract analysis capabilities to its users.
Token Tracking: With this feature, users can track the on-chain behavior of the tokens they care about in real time, such as transaction volume, number of holders, etc.
Liquidity and Trading Depth Charts: Understanding liquidity and market depth is extremely important for traders and market makers. 0xScope provides intuitive charts of this data to help them make more informed trading decisions.
0xScope not only provides its users with detailed data about the blockchain, but its interface design makes this data easy to understand and interpret, whether you are an experienced developer or a beginner.
4. Future: Blockchain brings unlimited possibilities for intent-centric applications
In the current digital ecosystem, the combination of blockchain and intent-centric applications heralds the arrival of a new era.
1) No permission required
Web2 has brought many innovations, but it is still restricted by permissions, which means that many applications cannot communicate with each other. For example, Apple's iOS and Google's Android are difficult to fetch data from each other, let alone execute. But the arrival of Web3 and blockchain is changing this situation.
Imagine a metaverse where your items in one game can be used in another game. Or a DeFi application can be seamlessly integrated with a game or music platform. You can do anything you want.
2) Smart Contract Automation
The potential of smart contracts is not limited to transactions.
Automatic execution: In the world of Web3, users no longer need to wait or operate manually, smart contracts will handle it automatically.
Dynamic Interaction: Smart contracts can adjust in real time based on market conditions.
Improved security: Smart contracts reduce the risk of errors and malicious intervention.
Cost savings: Smart contracts can optimize transactions based on network congestion, thereby saving costs for users.
3) Integrate with AI
AI can help systems better understand and respond to user intent.
Understanding user intent: AI can analyze user behavior and language to determine their true intent.
Dynamic response: Depending on the context and user behavior, AI can adjust its response.
Predictive behavior: AI can predict user behavior in advance and prepare accordingly.
Enhanced user experience: AI can continuously optimize the system based on user feedback.
Security and anomaly detection: AI can detect abnormal behavior and improve the security of the system.
5. A future scenario you can look forward to
In the future, intent-based technology will automate many manual tasks. Imagine that as an investor, you want to buy GLP using assets on BSC. You open DappOS and execute the transaction with just one click, skipping the complicated cross-chain process. In DappOS, you can also claim LP rewards from Kyberswap and plan to use them for a large order tracked in 0xscope. At the same time, Caddi helps you find the best trading path, ensuring you get the best price while guarding against possible phishing threats.
There are more tasks waiting for you. In the past two days, you have received a lot of investment proposals on Telegram. You don’t want to check them manually, so you tell the AI and execute it through Grindery: "Look at the transactions on Telegram in the past two days and filter for startups with a valuation of more than $10 million." The system automatically processes this information for you and provides a sorted Google Sheet with the most promising opportunities in a short time.
This heralds a future where you can focus on what’s really important, rather than on everyday mundane tasks. As these technologies develop further, our lives will become more efficient and convenient.
Index
https://www.paradigm.xyz/2023/06/intents
https://github.com/anoma/whitepaper/blob/main/whitepaper.pdf
https://www.notion.so/c1dacec540934a4a9787ff32eae40afb?pvs=21
https://www.notion.so/423cc91f7e3a4127856fb76ececd3f3a?pvs=21
https://dba.mirror.xyz/NTg5FSq1o_YiL_KJrKBOsOkyeiNUPobvZUrLBGceagg
https://www.notion.so/0b25b2838ab54f369440cc83fde77fb7?pvs=21
https://dappos.gitbook.io/docs/
https://learn.unibot.app/
https://www.grindery.io/
https://mirror.xyz/hyperoracleblog.eth/qbefsToFgFxBZBocwlkX-HXbpeUzZiv2UB5CmxcaFTM
