> ## Documentation Index
> Fetch the complete documentation index at: https://docs.inkwell.finance/llms.txt
> Use this file to discover all available pages before exploring further.
# Introduction
> A confidential matching venue on Solana. Orders stay encrypted through matching; identity is split across two independent parties; flow is legible by design.
> **CONFIDENTIAL & PROPRIETARY © 2026 Inkwell Finance, Inc. All Rights Reserved.**
>
> This document is for informational purposes only and does not constitute legal, tax, or investment advice, nor an offer to sell or a solicitation to buy any security or other financial instrument. Any examples, structures, or flows described here are design intent only and may change.
**Pre-alpha vs production.** Pages that describe "the operator holds the session-to-ephemeral-key mapping" describe today's single-operator implementation. Production Dagon will distribute this custody across an [Ika 2PC-MPC dWallet network](https://ika.xyz) — no single "operator" entity will hold the mapping, and no unilateral disclosure (lawful or otherwise) will be possible without the network agreeing. The two-party composition described here is strengthened, not weakened, by the migration. See [Design Philosophy](/inkwell/design-philosophy) for the full decentralization roadmap.
## What Dagon is
> *An institutional dark pool that structurally cannot see its own orders.*
Dagon is a **confidential matching venue** on Solana. Size, side, curves,
and crossings stay encrypted through matching. The operator is
cryptographically blind to order flow. The clearing price emerges from
ciphertext. Settlement is atomic.
Under compelled process, a specific user's activity can be resolved —
but only through a [**two-party composition**](/dagon/concepts/two-party-composition):
the venue operator (holding `session ↔ ephemeral-key`) and a separate
credential issuer (holding `credential ↔ PII`). Neither party alone can
de-anonymize; neither can do it in real time; neither can see activity
they haven't been lawfully compelled to surface.
Flow of funds is **legible by design**. Within a session, money in
equals money out. There is no pooled anonymity set, no severed
deposit↔withdrawal link. Session-level flow transparency is the reason
the MiCA / Reg ATS / MiFID II posture is available at all — and the
reason Dagon [is not a mixer](/dagon/faq/is-this-a-mixer).
Follow one order from submit to (hypothetical) subpoena. Six beats.
Lit CEX vs. OTC desk vs. Dagon. What each surrenders under court order.
Mixers sever deposit↔withdrawal. Dagon preserves it. The compliance surface is in the two-party composition, not in pooled anonymity.
How identity is split across the operator and a credential issuer so that neither alone can de-anonymize a user.
## Who it's for
Institutional flow. Market makers with curve-based inventory, OTC desks,
prop shops, and crypto-native funds whose edge depends on not
broadcasting intent before a fill clears.
Schedule floor is \$0.01, ceiling \~\$42.9M per schedule.
Sophisticated individuals with seven-figure+ portfolios are welcome;
mass retail should use an AMM.
If you're already slicing TWAP over twenty minutes to avoid impact, a
Dagon batch window is free. Dagon clears the part of your flow where
impact dominates latency. Your hedge leg runs wherever you run it.
## Who holds what
| | Operator | Credential issuer | User |
| ------------------------------- | ------------------------------------------ | --------------------- | --------------------- |
| User's real-world identity | Never | Yes (KYC at issuance) | Own it |
| Session ↔ ephemeral-key mapping | Yes (minimum-necessary) | Never | — |
| Order contents during matching | Ciphertext only; cannot decrypt | Never (not told) | Plaintext client-side |
| Funds | Never (non-custodial) | Never | Solana self-custody |
| Decrypt authority on fills | Never (in production: threshold committee) | Never | Yes, client-side |
Depositing and withdrawing are entirely user-controlled. The operator
cannot move user funds; the issuer cannot move user funds; matching
never decrypts.
## What Dagon is not
* **Not a mixer.** No pooled anonymity set. No severed
deposit↔withdrawal link. No flow obfuscation as a service.
* **Not an AMM.** No bonding curve, no LP tokens, no constant-product
invariant. Market makers publish encrypted six-parameter schedules.
* **Not a CLOB.** Inside a batch, no order is "first." One clearing
price serves every fill on both sides.
* **Not HFT infrastructure.** Batch cadence is seconds, not
microseconds. Latency-based edges are structurally absent.
* **Not a cross-chain story.** Solana-first. Cross-chain composition
is Ika's surface, not Dagon's.
* **Not TradFi Canton.** Canton wins today at institutional
TradFi scale. Dagon's wedge is crypto-native institutions whose
compliance model is "respond to lawful process" rather than "prevent
all disclosure."
Read the full boundary at [What Dagon is not](/dagon/what-dagon-is-not).
## Pre-alpha status
Dagon is **pre-alpha**. The current devnet build runs a mock Encrypt
executor (plaintext ingress, single-operator decryption). The
integration contract matches the production API exactly — every primitive
is a swap-in — but the cryptographic invariants described in these docs
will only be *enforced* on the wire once:
* The threshold-FHE committee ships (5-of-7 at launch, growth path to
7-of-11).
* The threshold-PRE federation ships for reveal liveness.
* The real BBS+ / Coconut credential gate replaces the current stub.
We do not market devnet as delivering FHE privacy today.