Intent
An intent refers to a user’s desired endstate or goal within an ecosystem.
What Are Intents?
Intents are a fundamental concept reshaping how users interact with decentralized finance (
DeFi) systems. At their core, intents are high-level, user-defined objectives that outline what a user wants to achieve on the blockchain. Unlike traditional transactions, which involve the direct execution of specific instructions, intents enable users to define their goals in more abstract terms. For instance, instead of specifying every step in a cross-chain token swap, a user could simply state their intent to swap one asset for another at the best possible rate. The system then works to fulfill that intent efficiently, optimizing for cost, time, and other preferences.
The formalization of intents has been codified through standards like ERC-7683: Cross Chain Intents Standard. This
Ethereum Improvement Proposal (
EIP) introduces a standardized framework for expressing and verifying intents on-chain. ERC-7683 defines how intents can be securely encoded, validated, and executed by decentralized agents. By leveraging cryptographic proofs and decentralized verification mechanisms, the standard ensures that intents are carried out transparently and reliably. This approach not only simplifies user interactions with DeFi protocols but also lays the groundwork for a more seamless and interoperable ecosystem, enabling autonomous agents and smart contracts to process intents without ambiguity or risk of misinterpretation.
Intents and DeFi
Intents bring transformative improvements to the DeFi landscape, addressing several critical challenges. One of the most significant benefits is their ability to mitigate the impact of
Maximal Extractable Value (
MEV) attacks. MEV occurs when malicious actors exploit blockchain transactions by front-running, sandwiching, or otherwise manipulating user activities to extract profit. By abstracting high-level user objectives through intents, sensitive details about the user’s transactions are concealed from the
mempool. This prevents malicious actors from targeting specific transactions, significantly reducing MEV-related vulnerabilities. Moreover, intents enable private order flow, where users can interact directly with verifiable agents or private pools without exposing transaction data to the public mempool, further enhancing security and fairness.
Another key improvement that intents bring to DeFi is chain and gas abstraction. In traditional blockchain interactions, users must manage complex operations, such as paying gas fees in native tokens and ensuring compatibility with specific chain requirements. Intents simplify this process by allowing users to define their desired outcomes without worrying about the underlying mechanics. For example, users can express their intent to provide liquidity or execute a trade without specifying which chain to use or how to pay for gas. Autonomous agents and execution layers take on the responsibility of optimizing and fulfilling these intents, abstracting away the complexities of multi-chain interactions and gas fee management. This streamlined approach reduces friction and makes DeFi more accessible to both novice and experienced users, lowering barriers to entry and enabling more efficient cross-chain operations.
The Future of Intents
As the concept of intents continues to evolve, their potential to revolutionize DeFi becomes even more apparent. In the future, intents will not only handle straightforward tasks like token swaps or liquidity provision but will also take on increasingly complex and sophisticated operations. Imagine a user setting an intent to maximize their portfolio yield over a given period while maintaining a specific risk tolerance. The system could dynamically allocate assets across multiple protocols, adjust strategies in real-time based on market conditions, and even reinvest rewards—all without requiring active user intervention. This kind of advanced functionality will empower users to achieve their financial goals with minimal effort while maximizing efficiency and returns.
The adoption of intents will also drive the proliferation of autonomous agents and decentralized networks that specialize in intent fulfillment. These agents will compete in open markets, leveraging advanced algorithms and machine learning to optimize execution strategies. This competitive environment will not only drive innovation but also ensure that users benefit from the best possible outcomes. Furthermore, as standards like ERC-7683 gain traction, interoperability between protocols will improve, creating a more cohesive and user-friendly DeFi ecosystem. Over time, intents could even expand beyond financial applications, enabling decentralized systems to handle tasks such as e-commerce, governance, resource allocation, and supply chain optimization.
Ultimately, intents represent a paradigm shift in how users interact with blockchain technology and perhaps the internet. By abstracting complexity and enabling seamless, goal-driven interactions, intents have the potential to make DeFi more inclusive, efficient, and powerful. As the infrastructure supporting intents matures, they will undoubtedly become a cornerstone of the decentralized web, driving innovation and unlocking new possibilities for users and developers alike.
About Author:
Axal is a network for verifiable autonomous agents. Any action of importance in web3 requires users to discover, specify, and maintain a series of transactions across a fragmented modular stack, a process that wastes resources and limits development possibilities. Axal outsources generalized intents to competitive solver auctions. From complex DeFi strategies to security procedures, users need only state their intent while Axal finds optimal solutions. Axal’s first product, Autopilot, is an agent-powered trading platform that automates yield generation, asset rebalancing, and cash outs catered to specific risk profiles. Founded by a Harvard computer scientist and backed by CMT Digital, a16z Crypto Startup School, Escape Velocity and other top investors, Axal is already working with prominent web3 organizations like Movement Labs and Gitcoin to automate core systems.