Understanding the Buffer System
The Buffer System refers to the way Spool aggregates withdrawals and deposits. Let us make a comparison to understand the difference between regular protocols:
- Regular Protocol:
- Every user deposits for themselves
- Every user withdraws for themselves
- If deposits and withdrawals happen at the same time they don not "match" with each other, instead they act separately
- Deposits/withdrawals are expensive
- Spool with the Buffer System:
- Every user deposits to the buffer
- Every user withdraws from the buffer
- If deposits and withdrawals happen at the same time they are matched with each other
- Deposits and withdrawals to the protocol happen when the "DoHardWork()" function is called. Meaning: No user pays for the complexity of their deposit/withdrawal, so costs are split
The Spool Buffer System allows cheaper interactions with the Spool Protocol while ensuring no capital inefficiencies are suffered.
Last modified 1yr ago