ColorTrace Safety

Safety in ColorTrace is guaranteed by several invariants shown below. For more details and a formal analysis of safety, please read the whitepaper.

Asset-Circulation Equivalence

The global supply of USDV is never increased or decreased other than by the Vault.

Delta-Zero Invariant

Delta-Zero: sum of delta of all colors on any chain or combination of chains is zero. The entire ColorTrace deployment is delta-zero, which guarantees vault share calculation is fair, precise, and accurate.

Eventual Finality

Every operation in ColorTrace will eventually be reflected in the state of the system. However, some operations may have some latency for crosschain communication.

Mint-holding preservation

A minter that has minted their TVL at the vault will never have their vault shares reduced below their TVL.