Network Coordination & Security Layer

In Cygnus, a network refers to any protocol that relies on a decentralized infrastructure network to offer services within the crypto economy. These services could include enabling developers to launch decentralized applications, providing off-chain data to applications, or guaranteeing cross-network interactions.

Decentralized Infrastructure Networks:

1. Flexible Security Sourcing: Networks can utilize the Cygnus protocol to source security in the form of operators and economic backing, adapting to their specific requirements.

2. Modular Design: The Cygnus protocol allows developers to define the rules of engagement for these networks, including the ability to manage multiple sub-networks with distinct roles.

Technical Components of a Network in Cygnus:

1. Network Address: Each network is represented by a unique address, which could be either on Ethereum or TON.

2. Middleware Contract: This contract is crucial as it incorporates custom logic, including slashing logic, which is a fundamental feature of Cygnus. It is responsible for enforcing rules, managing the operator set, and distributing rewards.

Epoch:

1. Network Epoch: The NETWORK_EPOCH is the operational period during which a set of operators, based on the captured stake, work for the network's benefit. This epoch must align with the vault's veto and execute phases to ensure that withdrawals do not negatively impact the captured stake.

Staking Process:

1. Stake Allocation: The vault allocates stakes by setting limits for both networks and operators. This is done through the delegator module (D) and the slasher module (S). The actual stake is captured based on the active balance of the vault and predefined limits.

2. Staking Lifecycle:

   1. The network registers using NetworkRegistry.registerNetwork().

   2. Operators register via OperatorRegistry.registerOperator().

   3. Operators opt into both the vault and the network.

   4. Stakers deposit funds into the vault.

   5. The network sets a maximum stake limit through D.setMaxNetworkLimit().

Slashing:

1. Networks can slash operators if they are opted into the vault and the network. The slashing process involves validating guarantees and calculating cumulative slashings. Networks initiate slashing by calling the appropriate function in the slasher module.

Rewards:

1. Staker Rewards: Distributed based on the staked amount and the network's reward distribution logic.

2. Operator Rewards: Distributed by the network based on predefined or calculated rules, which could involve off-chain calculations, Merkle trees, or on-chain middleware processes.

Summary:

Cygnus's network concept allows for a highly customizable and secure infrastructure that is flexible enough to accommodate various protocols within the crypto economy. The modular nature of the protocol ensures that networks can manage their operators, handle slashing events, and distribute rewards efficiently.