CrossLink

Welcome to the CrossLink! This repository contains the implementation of two innovative hooks designed to enhance liquidity management and trading efficiency on Uniswap v4. Our project takes full advantage of Uniswap v4’s advanced features, including custom hooks, concentrated liquidity, and dynamic fee structures.

Features

1. Nezlobin Dynamic Fee Hook

Inspired by Alex Nezlobin’s dynamic fee concept, this hook dynamically adjusts swap fees based on real-time market conditions.

• Dynamic Fee Adjustment: The hook evaluates the price impact and direction before each swap.
• Reduced Impermanent Loss: Higher fees are applied to arbitrageurs, while lower fees attract uninformed traders, reducing impermanent loss for liquidity providers.
• Real-Time Market Response: Fees are adjusted dynamically to ensure that liquidity providers are better protected during volatile market conditions.

Cross-Chain Limit Order Hook

The Cross-Chain Limit Order Hook enables users to place limit orders that can be executed across multiple blockchains, leveraging Chainlink's CCIP (Cross-Chain Interoperability Protocol). This innovative approach expands the possibilities for decentralized trading, allowing for greater flexibility and improved execution.

Key Features:

1. Cross-Chain Execution:

   • Users can place a limit order on one blockchain and have it executed , increasing the likelihood of achieving the desired trade price across different chains.

2. Redeem on Any Chain:

   • Once the limit order is successfully executed, users can redeem their tokens on any supported blockchain, offering more flexibility in managing assets across multiple ecosystems.

3. Chainlink CCIP Integration:

   • The hook integrates with Chainlink’s CCIP to securely handle the cross-chain communication, ensuring smooth and trustless transactions between different blockchains.

4. Limit Order Logic:

   • The basic limit order logic remains intact, ensuring that orders are only executed when the market price matches the user's specified price, guaranteeing control over trade execution.

5. Future Enhancements:

   • We are planning to automate the redeem process using Chainlink Automation for an even smoother cross-chain trading experience.

How It Works:

1. Place an Order:

   • A user sets a limit order on Chain A, specifying the price they want to trade at.

2. Cross-Chain Execution:

   • When the conditions are met on Chain B, the order is executed using CCIP to relay the transaction between chains.

3. Redeem on Any Chain:

   • Once the order is executed, the user can redeem the tokens on the chain of their choice, as long as the order has been fulfilled.

This hook brings a new level of interoperability to decentralized finance, allowing users to manage their trades across different blockchains while benefiting from the security and flexibility offered by Chainlink CCIP.

Setup and Simulation with Foundry

To get started with the local simulation of the Nezlobin hook using Foundry, follow the steps below:

1. Navigate to the backend directory:

   cd backend

2. Install dependencies using Foundry:

   forge install

3. Run Anvil in a separate terminal:

   anvil

4. Execute the simulation scripts:

   • Step 1: Deploy the pool manager, router, and hooks:

     forge script script/Test/Nezlobin_Simulation/01_Deploy.s.sol --rpc-url 127.0.0.1:8545 --broadcast -vvv

     After running the deploy script, a console will display the addresses of the deployed contracts. Make sure to update these addresses in the subsequent scripts before proceeding.

   • Step 2: Initialize the pool:

     forge script script/Test/Nezlobin_Simulation/02_Initialize.s.sol --rpc-url 127.0.0.1:8545 --broadcast -vvv

   • Step 3: Add liquidity (you can modify the values as needed):

     forge script script/Test/Nezlobin_Simulation/03_AddLiq.s.sol --rpc-url 127.0.0.1:8545 --broadcast -vvv

   • Step 4: Perform a swap:

     forge script script/Test/Nezlobin_Simulation/04_Swap.s.sol --rpc-url 127.0.0.1:8545 --broadcast -vvv

   • Step 5: Check values like swap fee and current tick:

     forge script script/Test/Nezlobin_Simulation/05_Check.s.sol --rpc-url 127.0.0.1:8545 --broadcast -vvv

Deployed Contracts

Arbitrum Sepolia

• PoolManager: 0x5F49Cf21273563a628F31cd08C1D4Ada7722aB58
• PoolModifyLiquidityTest: 0xc66f440Ee31e3aE0b026972Ad0C6D62DfD27596B
• PoolSwapTest: 0x540bFc2FB3B040761559519f9F44690812f3514e
• Reader: 0x86a6cE6DE9d2A6D4CDafcFfdD24C6B69676acF3E
• LimitOrder: 0x735F883b29561463ec096670974670EC5Ff5D040
• Nezlobin: 0xCB755c1c639517EE731Aa577cdb8308aBFEB2080

Sepolia

• PoolManager: 0xbb46AB4ecC82166Be4d34f5a79992e582d14206a
• PoolModifyLiquidityTest: 0x0E67d44a512Bcf556FA8ef0e957Fbe843f67b53f
• LimitOrder: 0x1dB4DF1583a546d74E7C3C303c37AC75204cD040
• Nezlobin: 0x5886047EcfE4465CeF451C72B74C93c337F42080

Acknowledgments

• Alex Nezlobin: For the dynamic fee concept that inspired the Nezlobin Dynamic Fee Hook.

We hope you find this project as exciting as we do! Thank you for your interest.