Intent-Centric Systems in DeFi: Why Their Design is Fundamentally Flawed

Introduction: From Decentralized Promise to a Dangerous Trap

The world of DeFi (Decentralized Finance) was designed to offer users free, open access to financial markets without the need for traditional intermediaries, such as banks. While DeFi’s principles of transparency and accessibility offer a significant advantage, they also reveal a critical weakness: the potential for exploitation. This vulnerability, known as MEV (Maximum Extractable Value), occurs when parties with privileged access to transaction information profit at the expense of regular users.

Intent-centric systems were developed to mitigate the MEV problem by allowing users to define their general transaction intentions rather than revealing complete details. However, instead of solving the problem, these systems exacerbate it by concentrating power and knowledge in the hands of a select few solvers (entities who execute the transactions). Solvers gain exclusive access to sensitive information and can leverage this to their advantage, ultimately creating a system that is inherently flawed. Intentable proposes a new approach, bringing control back into the hands of users and ensuring that every transaction is conducted fairly and securely.

The Problem with Traditional Intent-Centric Systems: Monopoly of Information and Know-How

To understand the limitations of traditional intent-centric systems, we need to examine how solvers are positioned to exploit the knowledge and expertise they exclusively hold.

1. Monopoly on Information:

• In traditional intent-based systems, only a small number of solvers gain access to the full transaction details, granting them a near monopoly on user information. This centralized knowledge enables solvers to manipulate transactions to their advantage without facing competition.

1. Monopoly on Know-How:

• Solvers don’t just hold exclusive information – they also possess the unique know-how to maximize profit from this knowledge. They understand exactly how to utilize their exclusive access to manipulate transactions and extract the highest possible gains, leaving users with the worst possible deal.

For example, if a user sets an intent to buy an asset at up to $3,000, a solver might find that asset available at $2,920. Instead of fulfilling the user’s intent at the lowest available price, the solver might pocket the difference by charging the user $3,000. This ability to monopolize information and execution strategies leaves users vulnerable to manipulation and ensures that profits are skewed in favor of the solvers.

Intentable – Bringing Power and Flexibility Back to the User

Intentable introduces a solution that returns control to the users, giving them full authority to set transaction terms, verify them on the blockchain, and seamlessly integrate between CeFi (Centralized Finance) and DeFi (Decentralized Finance). Here’s how Intentable’s unique approach addresses the flaws of traditional intent-centric systems:

1. Complete User Control Over Terms and Blockchain Validation ???

• In Intentable, users have the power to define and lock in the exact transaction conditions. For instance, if a user specifies that the transaction should proceed only if the price does not drop below $3,000, Intentable enforces this requirement through automatic on-chain validation. If the condition isn’t met, the transaction fails atomically, ensuring that the user’s exact terms are respected.

2. Rapid and Flexible Transaction Creation Without Traditional Audits ??

• Unlike traditional smart contracts, which can take months to develop and audit, Intentable allows users to build and customize complex transactions in minutes. Since Intentable leverages protocols that have already been audited, there’s no need for lengthy audit processes.
• Intentable also allows for real-time simulations so users can test their conditions and see precisely how the transaction would behave before committing.

3. API Integration for Seamless Execution Across CeFi and DeFi ??

• Intentable’s advanced capabilities allow users to integrate directly with CeFi platforms, such as Binance, through APIs. This feature enables users to create complex transactions that execute simultaneously in both CeFi and DeFi environments, with conditions in one platform triggering or depending on conditions in the other.
• For example, a user might set an intent to buy an asset in DeFi only if a corresponding sale in CeFi is confirmed. Intentable enforces this dependency, ensuring that if one transaction fails, the other is automatically canceled.
• In traditional intent-based systems, only solvers have the power to link and execute complex multi-platform strategies like these. Intentable, however, empowers users directly, eliminating the need for solver intermediation and the inherent risks of exploitation.

4. Dynamic Conditions and Off-Chain Triggers ??

• With Intentable, users can enhance transaction customization through dynamic off-chain triggers. For instance, a user may pre-sign a SWAP transaction between two assets but delay finalizing key variables like amount, time, or price. By adding off-chain triggers, users can send specific conditions to solvers only when ready, ensuring that only the exact, real-time data needed to execute the transaction is disclosed.
• Once the conditions are met, solvers compete to execute the transaction as quickly as possible, resulting in faster and more efficient transactions without unnecessary risk exposure.

5. Fair Compensation Model for Solvers ??

Unlike traditional systems, where solvers can exploit transaction size to increase their profits, Intentable adopts a fixed fee model. This approach removes any incentive for solvers to manipulate transaction parameters for higher profits. Solvers compete only to execute the transaction first, and their reward is based solely on a consistent fee, regardless of transaction size.

Intentable – Autonomy, Security, and Real-Time Flexibility

Intentable empowers users to combine CeFi and DeFi transaction execution with dynamic, real-time conditions in a way that ensures maximum security and fairness. By putting the power back in the user’s hands, Intentable creates a DeFi environment where users have complete control, and solvers are incentivized solely by fair competition rather than exploitation.

Summary: Intentable – Fair Competition, Full User Control, and Optimal Security ??

Intentable is a game-changer in DeFi and intent-based systems. The platform empowers users with:

• Full Control Over Conditions: Users define and enforce transaction terms directly on the blockchain, ensuring their intent is honored.
• Speed and Flexibility: Transactions are built in minutes without complex audits, and users can simulate transaction conditions in real-time.
• Fair and Transparent Competition Among Solvers: Solvers are compensated with a fixed fee and compete solely on execution speed, without incentives to manipulate transaction size.

With Intentable, users in the DeFi space enjoy a secure, transparent, and decentralized environment where they set the terms, and solvers focus purely on efficient execution. This system brings DeFi closer to its promise of user autonomy, empowering participants with the tools for safer, smarter, and fairer transactions.