Analyzing the Technical Architecture and components of Plutos Network

3 min readSep 23, 2021

Technical Architecture of Plutos Network

Sub-parachain Component

On Polkadot, a Sub-parachain will be developed as the basic module for communicating with parachains.

Plutos will authorize rapid connections through the module with various parachains such as Rococo, thanks to the exceptional characteristics of Plutos Sub-parachain.

The component will represent a significant advancement in terms of scalability, interoperability, and transaction speed.

Plutos Marketplace for Derivative Issuance and Trading

Key components of Plutos Network’s derivative and trading workflow

1. Plutos Network’s derivative issuance and trading workflow consist of several key components:

2. Plutos Market, a synthetic issuance and trading marketplace;

3. Plutos Multi-chain Asset Collateral Pool, which aggregates all assets on Plutos Network

4. Integration with leading liquidity and swap protocols such as Uniswap, 1inch, Pancake, and others for infinite liquidity.

Plutos Market is a DEX that is both synthetic and derivative and does not have an order book. Both leveraged and non-leveraged products are available through the dApp.

Because the debt pool smart contract is financed by staked collateral, which serves as a liquidity provider, users may convert one PLUT to another without having to worry about liquidity or slippage. Taking leveraged short or long bets can also be beneficial to users.

Technical components of Plutos Network

The 3 basic technical components of Plutos Network include the following.

1. Interoperability Layer

2. Derivative Issuance and Trading

3. Decentralized Multi-asset Collateral Pool

Interoperability Layer

Plutos allows the issue of synthetic assets based on several assets as well as decentralized multi-asset collateral.

Plutos Network will become a full-scale solution to the limits of interoperability for derivative platforms by utilizing Substrate and Polkadot under-layer technologies.

Plutos also combines Solana and BSC to improve the user experience and boost user engagement by accelerating security, flexibility, and scalability.

Decentralized Multi-asset Collateral Pool

Plutos provides permission-less and decentralized support to multi-asset collateral services.

Users can deposit supported assets like DAI and ETH in order to issue synthetic assets like bonds and receive the highest interest rates on deposits and borrowed assets.

Plutos is also known to have the lowest Collateral Ratio (C-ratio), owing to its full-scale security measures and DAO Governance mode.

Derivative Issuance and Trading

Plutos facilitates the issuance, administration, and trading of synthetic assets using supporting assets as collateral.

Users can decentrally produce bespoke derivative products such as bonds to trade or raise cash.

After the project is completed, users will be able to access their User Dashboard, which will allow them to see their trade history.

About Plutos Network

Plutos Network is a multi-chain synthetic issuance and derivatives trading platform that pays users for mining and staking. Plutos Network will offer users synthetic issuance and trading services for a wide range of synthetic products that are sustainable, profitable, and disruptive to the traditional derivative market by integrating blockchains such as Polkadot, Solana, and BSC, which enable on-chain and cross-chain liquidity and trading.