ASP Layer

At Cypher, we harness the advanced technology of PrivacyPools, integrating the Association Set Provider (ASP) as a vital compliance layer that governs which deposits can be privately withdrawn from our pools. This system maintains a curated set of approved labels and supplies the essential data for cryptographic proofs of label inclusion, seamlessly bridging privacy with regulatory demands.Core Responsibilities

• We manage a dynamic list of approved deposit labels to ensure compliance.

• We provide inclusion proofs to facilitate secure withdrawals.

• We enable label revocation when necessary to adapt to changing requirements.

• We uphold compliance standards without sacrificing user privacy.

Integration Points

• Our ASP interacts with the Entrypoint contract through authorized postmen for seamless coordination.

• We deliver roots to validate withdrawal requests effectively.

• We determine eligibility for withdrawals based on compliance criteria.

• We enforce protocol rules to maintain a secure ecosystem.

Operation - Label ManagementRoot Updates

• Only our authorized postmen can update roots to ensure controlled access.

• Each update includes:solidity

  struct AssociationSetData {
    uint256 root;        // Merkle root of approved labels
    bytes32 ipfsHash;    // Reference to off-chain data
    uint256 timestamp;   // Update timestamp
  }

• We maintain a historical record for proof verification.

• A circular buffer stores recent roots for efficient tracking.

Set Validation

• Withdrawals require a valid ASP root from our system.

• We ensure proofs demonstrate label inclusion for authenticity.

• The latest root is used to validate each transaction.

• Failed validations trigger a ragequit option for affected users.

Wind Down Process

• We allow labels to be removed from the ASP set when needed.

• Removal initiates withdrawal restrictions to maintain integrity.

• Original depositors can utilize the ragequit mechanism.

• This process provides a compliant exit pathway for users.

Through our adoption of PrivacyPools’ ASP technology, Cypher ensures that compliance requirements are met while preserving the protocol’s core privacy features, leveraging cryptographic proofs and meticulous label management.