Cosmos Mesh: Symmetric Settlement Infrastructure via Cosmos Zones and IBC

Motivation The benefits of bringing equity markets on chain are many and obvious: • Trades are settlements • Always on trading • No counterparty risk Much is made of the regulatory hurdles to such an arrangement, but those are (finally) coming down, revealing the very real technical challenges involved in creating the requisite infrastructure. No single chain can handle the volume generated by a major equities market. Further, Solana, which comes close, suffers from reliability issues that make it a non starter. Architecture The proposed infrastructure consists of two zone types along with relayers • Asset zones: Simple, authoritative ledgers of who owns how much of a single asset. • Accepts settlement instructions and executes atomically • Pair zones: Implement an AMM for a single trading pair. • Connected via IBC to two asset chains, posts atomic settlement instructions to both on withdrawal. • Pair zones maintain large caches of both assets on their respective zones. Settlement happens on the pair zones and IBC is used for withdrawals only. • Pair zones act as settlement chains if a traditional order book is desired. This…

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