Hashflow

Hashflow is a San Francisco-based startup focused on developing a layer 2 protocol to build and operate centralized and decentralized finance (CeFi and De-Fi) hybrid exchanges, enabling non-custodial asset management and automated settlement.

Hashflow is an integration that can be used with preexisting applications through the use of "hubs." Businesses can maintain most of their preexisting functionality using Hashflow after converting to hubs to carry out standard operations with decentralization. The hub operators are responsible for the off-chain order matching and executions. Hashflow smart contracts handle post-trade settlement and custody, allowing businesses to scale without retaining personal private information from users.

Hashflow uses a hub-and-spoke model where each hub represents a business (exchanges, banks, OTC desks, etc.), and the spokes are representative of the users of those businesses. According to Hashflow, by incorporating this model, exchanges and other organizations can develop a "central" hub where users can be onboarded and begin listing their assets.

Businesses use hubs to develop an automated process for operations that are generally handled manually by the back-end engineers, front-facing customer service agents, or the users. This includes:

• Registration for an address and map it to a unique account name
• Discovery of users and other businesses by account name
• Listing and de-listing assets available on their hub
• Onboarding users directly to their hub and accepting deposits
• Performance of automated settlements and withdrawals
• Charging commissions and withdraw profits from their hub

Additionally, hubs provide DeFi operations for businesses that are difficult or not possible to perform in manual formats, such as:

• pooling funds automatically from many liquidity providers
• issuing a signed OTC quote to DeFi users, using any pricing strategy
• lending funds on-chain for flash loans with no risk

After a hub is created, it can be registered with Hashflow using smart contracts running on Ethereum. That hub then becomes visible to all users in the Hashflow network. Hashflow describes this as a "registry" for users and businesses to interact and come to settlements with one another, similar to a standard bank transaction, but with liquidity and on DeFi enabled by hubs.