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Gas Sponsorship via Relayer

Intro

We want to sponsor gas for as many transfers as we can to incentivise store of value in our token. We will take fees for every other token that uses our privacy system.

But there's a risk with this approach — broad gas sponsorship is cheap to exploit. An attacker can flood the relayer with low-value sponsored transfers, burning through the sponsorship pool at minimal cost to themselves. Because users pay nothing for gas, the attacker only bears the cost of creating accounts or initiating transfers, which may be far lower than the gas we pay. The goal is typically denial of service: exhausting sponsorship funds so genuine users can no longer transact. Even with per-transfer caps, high throughput can drain the pool quickly. Any permissionless sponsorship model needs tight limits or rate controls to stay viable.

Overview

Relayer submits transactions on behalf of users so they can transact without holding the chain's native token.

Default: Fee-Based Relayer

Relayer takes fees from transfers to pay for gas. User transfers include a fee that covers the relayer's gas cost. The relayer is self-sustaining and not exposed to drain attacks.

Gas Sponsorship

Gas sponsorship is a dedicated mechanism, configured separately:

  • Per partner — Each partner (app, protocol, integration) has its own sponsorship config
  • Global relayer — We operate gas sponsorship program, that can vary the methods of sponshorship over time, set daily and account limits etc.

This allows fine-grained control and different economics per use case.

Configurable Rules (Examples)

Rule typeDescription
Daily limitCap on total value/volume of transfers sponsored per day per partner
Relayer creditsPartners buy credits; sponsorship draws from their balance
Minimum amountSponsor only transfers above a certain amount (avoids micro-tx spam)
Whitelist / scopeLimit which operations or addresses qualify for sponsorship

Relevance to Use Cases

Use caseRelevance
PermissionlessUsers may have no native token; relayer fee sponsorship enable gasless UX
On-rampFirst transaction after fiat→crypto; partner-sponsored onboarding
Crypto-sandwitchCustodial flows; platform sponsors within partner rules

Open Questions

#QuestionContextAnswer
TBD