System Architecture

Ocean Finance implements a sophisticated multi-layered architecture designed for security, scalability, and cross-chain interoperability. The system is built around modular smart contracts with clear separation of concerns and comprehensive flow management.

High-Level Architecture

Core System Flows

1. Minting Flow

2. Staking & Yield Distribution Flow

3. Strategy Execution Flow

4. Redemption Flow

5. Cross-Chain Flow

Data Flow Architecture

1. Asset Flow

2. Information Flow

3. Access Control Flow

Security Architecture

1. Multi-Layer Security Model

2. Risk Mitigation Framework

Performance & Scalability

1. Gas Optimization

• Batch Operations: Multiple strategy operations in single transaction

• Efficient Storage: Packed structs and optimized storage slots

• Minimal External Calls: Reduced cross-contract communication

• Share Calculation: Optimized precision with 4-decimal offset

2. Scalability Features

• Modular Handlers: Easy addition of new strategies

• Cross-Chain Support: LayerZero integration for multi-chain scaling

• Upgradeable Components: UUPS pattern for AddressProvider

• Event-Driven Architecture: Comprehensive event logging for off-chain processing

3. Monitoring & Analytics

Deployment Architecture

1. Contract Deployment Order

2. Network Configuration

Each deployment network requires:

• Oracle Feeds: Chainlink and Pyth price feeds

• External Protocols: Handler integrations (Ethena, Sky, Nest)

• LayerZero: Cross-chain messaging configuration

• Access Control: Initial admin and service role assignments

3. Upgrade Strategy

• AddressProvider: UUPS upgradeable for address management

• Core Contracts: Immutable for security and trust

• Handler Contracts: Replaceable through StrategyAllocator

• Configuration: Adjustable parameters through governance

This comprehensive architecture ensures Ocean Finance can operate securely and efficiently while maintaining flexibility for future enhancements and integrations.