🌑 Shade

MEV-Resistant Intent-Based Agentic Swaps

Trade based on intent, not transactions..

✨ Overview

Shade is a privacy-first execution layer for DeFi that lets users submit encrypted trading intents instead of publicly visible transactions.

Instead of broadcasting swaps to the mempool, users define conditions like:

“Buy ETH below $1900” “Sell my position when value exceeds $80k”

These intents are encrypted and stored on-chain, where they are evaluated using Fully Homomorphic Encryption (FHE). Trades are only executed when conditions are met — without revealing strategy, timing, or thresholds beforehand.

🚨 The Problem

DeFi today is fundamentally leaky.

Every transaction:

is publicly visible before execution exposes user intent can be front-run, sandwiched, or exploited

This leads to MEV (Maximal Extractable Value):

users lose value on trades large orders get targeted strategies cannot remain private

Even sophisticated users cannot avoid this — it’s a structural issue.

🛡️ The Solution

Shade removes pre-trade information leakage by introducing encrypted intent execution.

User intent is hidden until execution Conditions are evaluated privately on-chain Execution is validated and constrained Orders are batched and netted to reduce exposure Trades use existing liquidity like Uniswap

🧠 How It Works

Intent Creation User describes trade in natural language Local agent converts it into structured intent Encryption Sensitive fields (like price thresholds) are encrypted using Fhenix On-Chain Storage Encrypted intent is submitted to the Shade contract No strategy or trigger is publicly visible Private Condition Evaluation Contract checks conditions (e.g. price ≤ threshold) using FHE No decryption required Execution When conditions are met: Executor batches and nets orders Final trade is executed via Uniswap Settlement Users receive their fills Execution is verified on-chain

🔐 What’s Private

Entry/exit conditions Strategy logic Timing of execution Trigger thresholds

🌐 What’s Public

Final executed trade Token pairs Settlement results

⚡ Key Features

🧠 Intent-based trading (not tx-based) 🔐 Encrypted conditions using FHE 🛡️ Reduced MEV exposure 🔄 Batching + netting engine 🧱 Composable with existing DeFi ⚖️ Deterministic, verifiable execution

🧩 Architecture

Client / Agent Layer

Parses user intent Encrypts sensitive fields

Fhenix Smart Contract

Stores encrypted data Validates execution conditions

Executor

Monitors valid orders Batches & nets them Triggers execution Liquidity Layer Trades executed via Uniswap

🚀 Quick Start

Prerequisites

• Node.js 18+ or pnpm 8+
• Hardhat for smart contract development
• Testnet funds (Base Sepolia)

Installation

1. Clone the repository

   git clone https://github.com/yourusername/shade.git
   cd shade

2. Install dependencies

   pnpm install

Compile Contracts

Compile the Solidity contracts to generate TypeChain types:

npx hardhat compile

This generates artifacts in /artifacts and types in /typechain-types.

Run Tests

Run the test suite locally using Hardhat's test environment with Cofhe mocks:

npx hardhat test

What the tests verify:

• ✅ Creating encrypted intents with FHE
• ✅ Evaluating execution conditions privately
• ✅ Verifying contract state after evaluation

Local Development

Start a local Hardhat network node:

npx hardhat node

In another terminal, deploy to localhost:

npx hardhat run scripts/deploy.ts --network localhost

Deployment

Deploy to Base Sepolia Testnet

Ensure your .env file has:

BASE_SEPOLIA_RPC_URL=your_rpc_url
PRIVATE_KEY=your_private_key

Then deploy:

npx hardhat run scripts/deploy.ts --network baseSepolia

Verify Deployed Contract

Check the status of a deployed contract:

node check_contract.js

Frontend Development

Run the Next.js frontend locally:

cd shade-frontend
pnpm install
pnpm dev

Visit http://localhost:3000 in your browser.

📚 Project Structure

shade/
├── contracts/          # Solidity smart contracts
│   └── ShadeIntent.sol # Main contract with FHE logic
├── scripts/            # Deployment scripts
│   └── deploy.ts       # Deploy to networks
├── test/               # Test suite
│   └── ShadeIntent.test.ts
├── shade-frontend/     # Next.js frontend
├── artifacts/          # Compiled contract ABI & bytecode
└── typechain-types/    # TypeScript contract types

🔧 Available Commands

Command	Description
pnpm install	Install all dependencies
npx hardhat compile	Compile Solidity contracts
npx hardhat test	Run test suite
npx hardhat node	Start local Hardhat network
npx hardhat run scripts/deploy.ts --network localhost	Deploy to local network
npx hardhat run scripts/deploy.ts --network baseSepolia	Deploy to Base Sepolia
node check_contract.js	Check deployed contract state
cd shade-frontend && pnpm dev	Start frontend dev server

📝 Environment Variables

Create a .env file in the root directory:

BASE_SEPOLIA_RPC_URL=https://sepolia.infura.io/v3/your-infura-key
PRIVATE_KEY=0xyour_wallet_private_key

⚠️ Never commit .env to version control!

📖 Learn More

• Hardhat Documentation
• Cofhe SDK
• Fhenix Protocol
• Fully Homomorphic Encryption (FHE)