🔥 #radFi Answer questions In last night's Tencent conference chat, a friend mentioned why to use a dedicated transaction address instead of directly using your own address for transactions, and here is a unified answer 📌 In summary, radFi cannot be traded directly on the mainnet address, but needs to generate a dedicated transaction address, mainly due to privacy protection, automated management, and protocol mechanism design. 1⃣ Privacy & Security Generating a new receiving address can prevent external tracking of all asset movements and improve user privacy. Mainstream wallets and protocols, including AMMs, typically employ a "unique address per transaction" mechanism, isolating the on-chain history of each transaction and preventing the entire asset pool from being publicly associated. 2⃣ The demand for automated market-making mechanisms The AMM protocol itself needs to manage the assets of the liquidity pool separately, so it usually generates a dedicated address for each pool or user to achieve independent and automated management of the pool. The newly generated dedicated transaction address can automatically track users' deposits, withdrawals, and transaction records, facilitating asset ownership and repayment settlement, and improving protocol security and scalability. 3⃣ Technical architecture reasons The Bitcoin mainnet address belongs to the "individual user", and the AMM protocol must ensure that the funds are under the control of the protocol contract or management, avoid arbitrary control, and ensure liquidity management, pricing, and fairness. The dedicated address can accurately record every liquidity change, LP share, and asset change, facilitating the ledger management of the protocol layer. 💯 In summary, radFi generates dedicated transaction addresses to align with the automated management needs of AMM protocols, improve privacy and security, and ensure accurate recording and settlement of various asset flows on the blockchain. #radFi #Bitcoin