FAQ
1. What problem does xDFi actually solve?
Each blockchain today operates in isolation — its liquidity, data, and smart contracts remain siloed.
This prevents capital, pricing, and state information from flowing freely across DeFi.
xDFi introduces a root-based synchronization layer that allows any on-chain data — liquidity, balances, vault states, oracle feeds, or contract metadata — to be mirrored and verified across multiple chains in real time.
It transforms disconnected ecosystems into a single synchronized liquidity and data fabric.
2. How is xDFi different from bridges or messaging layers?
Bridges move tokens.
xDFi synchronizes state.
Messaging protocols like LayerZero transport messages but leave interpretation and consistency to each app.
xDFi adds a deterministic, verifiable state consensus layer on top — ensuring all chains share the same synchronized snapshot of liquidity and data.
No bridge lockups, no manual reconciliation, and no asynchronous risk.
3. What are the main benefits for smaller or emerging chains?
xDFi allows smaller ecosystems to instantly inherit Ethereum-level liquidity depth and data visibility.
Integrating xDFi enables:
Shared global liquidity without bridge dependencies.
Real-time synchronization of oracles, vaults, and risk parameters.
Immediate cross-chain composability without emissions or liquidity mining.
In short: xDFi lets emerging chains function like major ecosystems from day one.
4. Does xDFi introduce new trust assumptions?
No.
xDFi inherits LayerZero’s decentralized verification model (DVN + Relayer).
All root updates are verified cryptographically on-chain — no additional validators, sequencers, or committees.
Every root is transparent, immutable, and fully verifiable.
5. How to mint an ERC20xD?
Minting happens once.
When a user locks a base asset on any supported chain, xDFi issues its omnichain representation — e.g.:
USDC → USDCxD
ETH → ETHxD
From that moment, your ERC20xD balance exists on every chain simultaneously, kept in sync through xDFi’s LiquidityRoot.
No bridges, no waiting times, no slippage — your token becomes omnichain-native and usable anywhere instantly.
6. What kind of data can be synchronized?
Not just token balances — any on-chain or external data can be synchronized via xDFi.
Examples include:
Liquidity positions and vault balances
Lending and collateral parameters
Oracle prices and volatility data
Governance state and vote weights
NFT ownership, metadata, or proofs
External or off-chain data via oracle adapters
xDFi is data-agnostic — capable of synchronizing any verifiable state across chains.
7. How does xDFi ensure accuracy of synchronized data?
Each chain periodically publishes two Merkle roots:
LiquidityRoot – represents balance and capital state.
DataRoot – represents arbitrary data or metadata.
These roots are hashed, verified, and distributed across all integrated chains each epoch.
Smart contracts call lzRead() to verify the global snapshot before execution, ensuring deterministic consistency and preventing double-spending or stale reads.
8. How often is data synchronized?
By default, every ~4 seconds per epoch, configurable by governance or per chain.
This achieves near-real-time synchronization while optimizing for gas efficiency.
Applications requiring tighter resolution (e.g., perps or on-chain order books) can operate at higher frequencies.
9. What happens if one chain halts or goes offline?
xDFi’s synchronization process is fault-tolerant.
If a chain halts, its most recent valid root remains active until it resumes operation.
All other chains continue to synchronize normally, and once the halted chain restarts, it automatically reconciles with the next epoch update.
10. What are Settlers and what do they do?
Settlers are the backbone of the xDFi network — a set of 33 independent nodes responsible for maintaining cross-chain state consistency.
Their roles include:
Collecting and validating liquidity and data snapshots from all supported chains.
Generating and signing global LiquidityRoot and DataRoot each epoch.
Broadcasting verified roots across the xDFi network for on-chain finalization.
This structure functions similarly to a delegated proof-of-stake (dPoS) consensus model, where Settlers stake reputation and participate in coordinated root production.
Settlers:
Do not hold user funds.
Cannot modify or reorder state.
Operate under full cryptographic and economic accountability.
Through the Settler network, xDFi ensures deterministic synchronization, fault tolerance, and trustless validationwithout introducing new centralized actors.
11. How does xDFi affect MEV and cross-domain arbitrage?
Because every chain references the same synchronized state, cross-domain MEV windows disappear structurally.
There’s no asynchronous state gap to exploit.
Executions across chains reference one unified snapshot of liquidity and data, ensuring fair, atomic execution.
12. What are the gas and latency implications?
xDFi’s design is highly gas-efficient.
Since it references synchronized roots instead of performing cross-chain transfers, gas usage is similar to a single-chain transaction.
State queries via lzRead() are instant, and synchronization latency is measured in seconds, not minutes.
13. How can protocols integrate xDFi?
Integration is lightweight and permissionless:
Deploy xDFi’s LiquidityRoot and DataRoot contracts on your chain.
Connect to LayerZero’s endpoint for verified messaging.
Register the assets or data schemas you wish to synchronize.
From that point, your protocol participates in the shared omnichain liquidity and data layer — no custom bridges or relayers required.
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