System Framework

The overall system framework for the Sulli Protocol, a generic decentralised arithmetic token protocol that enables changes to circulation, trading, lending and mining objectives, is shown below:

At the top layer are various PoW mining projects such as traditional Bitcoin and Ether, as well as innovative mining architectures represented by Filecoin, and these Powminers will be connected via the Sulli Protocol protocol. The multi-coloured area in the middle is the core of the Sulli Protocol and consists of the Sulli Tokenisation Protocol, which is the built-in foundation for the latter, and the Sulli Protocol Incentive Layer, which provides for the operation of the various protocols. Among these protocols, Sulli Protocol utilises multi-signature, smart contract and cross-chain technologies to implement arithmetic-valued NFT (e.g. bitcoin and ethereum hashes, Filecoin's sequestration capacity and efficient storage capacity); Sulli Protocol enables decentralised transactions for the aforementioned arithmetic-valued NFT, protecting the rights of both buyers and sellers: arithmetic-valued based The NFT lending protocol implements a lending model based on arithmetic-valued collateral.

The arithmetic-based lending protocol implements an arithmetic-based lending model and guarantees the security of both lenders' funds and arithmetic values; the arithmetic-based switching protocol enables free switching between different PoW projects. Through a set of financial incentives (protocol fungible tokens), the Sulli Protocol ensures that all stakeholders involved in the protocol work together to keep it up and running.

The protocol interacts with the underlying public blockchain through smart connections, with the help of a secure decentralised infrastructure of existing public chains, the circulation of arithmetic NFTs (such as Ethereum and Polkadot) is issued and the incentive of the protocol is achieved, while arithmetic and proof of transactions can be preserved. The protocol can also be deployed at layer 2, for example using Rollup technology to enable off-chain arithmetic value transactions and keep a record of the transactions on the blockchain, thus saving transaction costs while ensuring decentralisation and security.