Zero-G Protocol

Whitepaper v1.0

Last Updated: December 2025

The Philosophy

Optimistic UI and Zero-Latency Trading

Traditional decentralized exchanges suffer from a critical flaw: the perception gap between user action and blockchain confirmation. This latency creates friction, uncertainty, and a poor user experience that drives traders back to centralized platforms.

Zero-G Protocol solves this through optimistic UI rendering. When you initiate a swap, the interface immediately reflects your intended state while the transaction processes on-chain. This creates a feeling of weightlessness—trades feel instant, even though they maintain full decentralization and security.

Our protocol leverages Cardano's deterministic transaction model. Unlike account-based chains where state changes unpredictably, Cardano's EUTXO architecture allows us to predict transaction outcomes with certainty. This enables true optimistic rendering without sacrificing accuracy.

The result is a trading experience that feels centralized but remains fully decentralized. Users experience zero perceived latency while maintaining complete custody of their assets.

The Tokenomics

Automatic Liquidity Mining

ZERO tokens are the native governance and utility token of the Zero-G Protocol. Unlike traditional liquidity mining programs that require staking or claiming, ZERO tokens are minted automatically and proportionally when users provide liquidity to the protocol.

When you deposit ADA or native Cardano tokens into a liquidity pool, you receive LP tokens representing your share of the pool. Simultaneously, ZERO tokens are minted directly to your wallet based on the USD value of your liquidity contribution and the duration of your position.

This mechanism creates several advantages: liquidity providers earn trading fees plus ZERO tokens without additional steps, there is no inflationary pre-mine or team allocation, and token distribution is purely merit-based and transparent.

ZERO tokens grant holders governance rights over protocol parameters, including fee adjustments, supported token pairs, and treasury allocation. As the protocol grows, ZERO becomes a claim on the protocol's success and a voice in its evolution.

Total supply is uncapped but emission rate decreases logarithmically over time, ensuring early liquidity providers are rewarded while maintaining long-term sustainability.

The Protocol Fee

Transparent and Sustainable

Zero-G Protocol charges a flat 0.05% fee on every swap. This fee is significantly lower than most decentralized exchanges while remaining sustainable for long-term protocol development and security.

Fee breakdown: 100% of the 0.05% protocol fee flows directly into the Zero-G Treasury, a multi-signature smart contract controlled by ZERO token holders through governance proposals.

The treasury funds three critical operations: ongoing smart contract audits and security reviews, protocol development and feature enhancements, and liquidity incentives and ecosystem growth initiatives.

This fee structure is intentionally transparent. Unlike protocols with hidden fees, slippage manipulation, or extractive tokenomics, every Zero-G user knows exactly what they pay and where it goes.

As the protocol matures and total volume increases, governance may vote to reduce the fee further or redirect portions to liquidity providers. All changes require community approval through on-chain voting.

Legal Notice

This whitepaper is for informational purposes only and does not constitute financial, investment, legal, or tax advice. Zero-G Protocol is a decentralized, non-custodial interface. Users maintain full control and responsibility for their assets. Trading cryptocurrencies involves substantial risk of loss. ZERO tokens do not represent equity, ownership, or profit-sharing rights. Regulatory frameworks for digital assets vary by jurisdiction. Always consult qualified professionals before making financial decisions.