Technical Architecture

Overview

The DNFT Protocol network is based on the Polkadot network developed through the substrate framework. It’s a smart contract service network built to connect EVM blockchains. The technical architecture of DNFT Protocol Network can be divided into three layers, which is the chain layer, protocol layer and application layer.

Chain Layer

The chain layer contains the networks supported by DNFT Protocol. Initially, DNFT Protocol will support the EVM blockchains, such as Ethereum network, BSC network and Heco network. DNFT network will be developed based on thesubstrate framework. With

the progress of the DNFT Protocol development and the requirement of the community, other blockchains might besupported in the later process.

Protocol Layer

It contains the core protocols of DNFT Protocol, including DAO Governance Protocol, NFT Management Protocol, NFTCross-chain Protocol, and NFT Swap Protocol.

DAO Governance Protocol

In the early stage of DNFT Protocol, the governance will be implemented by the DNFT team and core community contributors. With the product development turning in a certain direction, the governance will be gradually implemented by the DNFT community which is formed by the DNF token holders. The partial proposal of DNFT development will bedetermined by DAO votes.

NFT Management Protocol

NFT Management Protocol will maintain the NFT transactions (Cross-chain and non- Cross-chain) and integrate the original interfaces of the existing NFT standard. It includes NFT management tax protocol and NFT standard compatibility protocol (ERC721, ERC1155, and ERC2006). The NFT management tax protocol will ensure the tax charging through each NFTtrading transaction and each NFT cross-chain transaction.

As for the NFT standard compatibility protocol, it will make DNFT support the mint, trade, and auction for ERC721,ERC1155 and ERC2006.

Periodic NFT Management Tax (Experimental)

Except for the common tax charging system mentioned above, there will be an experimental tax system for the cross-chaintransaction to increase the liquidity of NFT

assets and decrease the redundancy of the NFT metadata storage. It’s different from the traditional one-time charge fee when storing, which the storage tax will be continuously charged when the NFT holder keeps their NFT assets. When the NFT holder didn’t pay the tax in time, the NFT asset will be collected by the protocol and auctioned. Anyone who wins the auction needs to continuously pay the tax. The experimental tax system will be tentatively implemented in the DNFT testnet to demonstrate its feasibility to the community.

ERC2006 (An AI Model Friendly NFT Standard)

ERC2006 is an experimental crypto-asset standard for AI models. There are several issues in the application of mint and trade AI/ML models in the existing NFT standard. First, AI models are much more complex compared to the traditional content of NFT, such as images and videos. Based on this, the existing single NFT mechanism cannot perfectly fit with AI/ML models. Second, some publicly owned data or models are owned by many individuals. However, multi-signed solutions are too clumsy to solve a large number of multi-party authorization. Third, the existing NFT standard could not protect the metadata of the assets in the process of assets circulation, which means any unauthorized individuals can access the metadata of the assets. It will cause security risks in the circulation of data-related assets, especially personaldata.

To deal with these issues and realise the integration of AI model and NFT, DNFT team present the AI data-friendly ERC2006 standard. It offers three more core functionalities compared with the ERC721 standard.

First, it allows individuals to gather multiple NFTs and pack them into one NFT. It is friendly for packing multiple personal data into a large set of data. It is convenient for the creation and transfer of a large set of data. Second, it allows the NFT asset owner to fragmentize their asset to an ERC20 token. It will be a potential solution to deal with the ownership of huge data sets, especially public data. Third, it contains a copyright protection mechanism by using ZKP, MPC and other cryptographic techniques to control authorized viewing.

NFT Cross-chain Protocol

The NFT cross-chain protocols mainly includes homogeneous cross-chain module based on Polkadot XCMP andheterogeneous cross-chain module based on the relay chain.

Homogeneous (isomorphic) cross-chain based on Polkadot XCMP

DNFT's Polkadot main-chain network is developed based on substrate. Due to the characteristics of substrate framework, DNFT's Polkadot network will synchronously achieve the Polkadot XCMP cross-chain mechanism since the network goes alive. In this way, the NFT cross-chain feature of DNFT will seamlessly support the blockchains developed by substrate framework. By accessing the Polkadot network in the form of slot auction, DNFT's Polkadot network will become a parachain of the Polkadot network and establish a connection with the parallel chain networks of the Polkadot.

Heterogeneous cross-chain based on relay chain

The heterogeneous cross-chain protocol will be the core of DNFT cross-chain protocol. Based on the approach of relay, DNFT's Polkadot network will become the centre of the relay and handle the requirements of heterogeneous cross-chain. It will also establish connections with other blockchain networks.

NFT Swap Protocol

DNFT Protocol will support multiple NFT swap methods through NFT swap protocol. It will support NFT auction system, mystery box system, NFT fragmentation, NFT AMM, NFT orderbook, and NFT Harberger tax. According to the various features of NFT swap protocol, it will enrich NFT transaction approaches and highly increase the liquidity of NFT assets.

Application Layer

There are 5 modules in the application of DNFT Protocol. They are crypto art, AI, gaming, metaverse, and NFT +Defi.

AI Module

DNFT Protocol will present an AI data-friendly standard ERC2006, and a decentralized AI model marketplace. It’s combined with ERC2006, AI model Oracle, decentralized API, and decentralized task distribution AI hackathon (the Kaggleof the crypto world).

Crypto Art Module

DNFT Protocol's innovation and practice in copyright and privacy protection, NFT transaction approaches enriching, and NFT assets liquidity increase will be the strength of crypto art module in the application of DNFT Protocol. This makes the crypto art module of DNFT a revolutionary application in the crypto art industry.

Game Module

According to the characteristics of DNFT Protocol's NFT management tax system and mystery box feature, various NFT game applications can be easily constructed based on DNFT Protocol.

Metaverse Module

Based on the unique copyright and privacy protection features and NFT management tax system of DNFT Protocol, it is helpful for the exploration to data privacy, asset security and data redundancy avoiding in the construction of Metaverse.

NFT + Defi Module

Based on the innovation of ERC2006 standard, NFT could be fragmented into ERC20 tokens which can be mapped into any stocklization assets. It can realize a seamless connection from NFT to the Defi world.