# Web3 Service Automation Report ## 1. Introduction This report aims to evaluate and compare leading solutions for Web3 service automation, focusing on their ability to handle on-chain actions, manage private keys, execute transactions securely, and integrate with existing systems. ### 1.1 Background ### 1.2 Problem Statement The primary challenges this report addresses include: - Automating complex on-chain operations in response to both Web3 and Web2 events - Secure management of private keys and transactions - Handling gas price fluctuations and transaction retries - Maintaining security in automated blockchain interactions ### 1.3 Scope This report evaluates five leading solutions in the Web3 automation space: 1. ZettaBlock 2. Tenderly Web3 Actions 3. thirdweb Engine 4. OpenZeppelin Defender 5. Gelato Web3 Functions Each solution will be analyzed based on a set of criteria designed to assess their suitability for various Web3 automation needs. ## 2. Requirements and Evaluation Criteria ### 2.1 Core Functionality - Automation of on-chain actions - Support for multiple trigger types (time-based, event-based, etc.) - Ability to execute complex on-chain operations ### 2.2 Wallet Management and Security - Secure private key management - Transaction handling and nonce management - Gas optimization and retry mechanisms - Compliance with security standards ### 2.3 Hosting and Infrastructure - Availability of hosted solutions - Self-hosting capabilities - Infrastructure scalability ### 2.4 Integration and Flexibility - Ease of integration with existing systems - Support for various event types and data sources - API flexibility and customization options ### 2.5 Cost Structure - Pricing models (subscription, pay-per-use, etc.) - Cost scalability with usage ### 2.6 Additional Features - Data access and analytics capabilities - Monitoring and alerting systems - Multi-chain support ### 2.7 Decentralization - Level of decentralization in infrastructure - Reliance on centralized components - Alignment with Web3 principles of trustlessness and censorship resistance ## 3. Solution Analysis ### 3.1 ZettaBlock #### Overview ZettaBlock offers a full-stack data platform for building real-time GraphQL APIs via SQL, with comprehensive data indexing and analytics for on-chain and off-chain data. #### Key Features - Real-time data access and indexing - Comprehensive Web3 data coverage - Prebuilt and custom APIs - Real-time triggers and webhooks - Historical data analysis #### Hosting Options - Hosted solution available - Self-hosting capabilities unclear #### Cost Structure *TODO* #### Integration and Flexibility High level of integration flexibility with support for various events and data types. GraphQL API allows for customized data queries. #### Wallet Management Not explicitly mentioned in available documentation. #### Use Case Example A DeFi protocol using ZettaBlock to create real-time APIs for tracking liquidity pool changes across multiple chains, triggering automated rebalancing actions when certain thresholds are met. #### Pros - Comprehensive data coverage and real-time access - Flexible API building capabilities - Strong support for data analysis and indexing #### Cons - Lack of explicit wallet management features - Unclear self-hosting capabilities - Undefined cost structure ### 3.2 Tenderly Web3 Actions #### Overview Tenderly Web3 Actions provide programmable hooks for smart contract and chain events, acting as serverless backends for dApps. #### Key Features - Multiple trigger types for diverse automation scenarios - Key-value storage and secrets management - Real-time notifications - Error reporting and monitoring #### Hosting Options Hosted solution only #### Cost Structure Pricing information not publicly available. Likely requires contacting sales for custom pricing based on usage. #### Integration and Flexibility High level of integration with support for various event types. Can be easily integrated with existing Tenderly services. #### Wallet Management Not explicitly mentioned in available documentation. #### Use Case Example An NFT marketplace using Tenderly Web3 Actions to automate royalty distributions to creators immediately after each sale, triggered by on-chain transfer events. #### Pros - Multiple trigger types for diverse automation scenarios - Managed infrastructure reducing operational overhead - Flexible integration with existing systems #### Cons - Lack of explicit wallet management features - No self-hosting option - Undefined cost structure ### 3.3 thirdweb Engine #### Overview thirdweb Engine offers scalable smart contract APIs backed by secure wallets, with features like automatic nonce queuing and gas-optimized retries. #### Key Features - High transaction throughput - Secure backend wallets - Multichain support - Event webhooks and contract subscriptions - Comprehensive wallet management #### Hosting Options - Hosted solution available - Self-hosting option provided #### Cost Structure - Standard: $99/month - Premium: $299/month - Enterprise: Custom pricing #### Integration and Flexibility High level of integration flexibility with support for various events and customizable webhooks. #### Wallet Management Comprehensive wallet management features, including gas optimization and nonce handling. #### Use Case Example A gaming company using thirdweb Engine to manage in-game asset minting and transfers across multiple blockchain networks, handling high volumes of transactions during peak gaming hours. #### Pros - Comprehensive wallet management features - High transaction throughput for scalable operations - Flexible hosting options (hosted and self-hosted) - Transparent pricing structure #### Cons - Pricing might be high for small projects or startups - Requires technical expertise for self-hosting setup ### 3.4 OpenZeppelin Defender #### Overview OpenZeppelin Defender is a developer security platform for coding, auditing, deploying, monitoring, and operating blockchain applications. #### Key Features - Automated actions for on-chain and off-chain operations - Secure wallet management with relayers - Comprehensive monitoring and alerting system - Access control and admin management #### Hosting Options Hosted solution only #### Cost Structure Pricing information not publicly available. Likely requires contacting sales for custom pricing based on usage and features. #### Integration and Flexibility High level of integration with multiple triggers and event types. Can be easily integrated with existing OpenZeppelin tools and libraries. #### Wallet Management Comprehensive wallet management features, including secure relayers and gas management. #### Use Case Example A decentralized exchange using OpenZeppelin Defender to automate security checks on new token listings, monitor for suspicious activities, and manage multi-sig operations for protocol upgrades. #### Pros - Comprehensive security and monitoring features - Automated actions for both on-chain and off-chain operations - Secure wallet management with relayers - Strong focus on security best practices #### Cons - No self-hosting option - Focused more on security than general-purpose automation - will have to do the heavy lifting setting up the events ### 3.5 Gelato Web3 Functions #### Overview Gelato Web3 Functions provide a decentralized smart contract automation platform, supporting both on-chain and off-chain logic, aligning closely with Pattern Flow's prioritization of decentralization. #### Key Features - On-chain and off-chain functions - Secure storage and secrets management - Multichain support - Advanced monitoring and debugging - Decentralized execution network #### Hosting Options Fully decentralized solution leveraging a network of independent executors #### Cost Structure Pay-per-execution model, with costs varying based on computational complexity and gas prices #### Integration and Flexibility High level of integration with support for various triggers and automation tasks. Can work with multiple blockchain networks, enhancing its decentralized nature. #### Wallet Management Comprehensive wallet management features, including automatic nonce management and gas-optimized retries, all handled in a decentralized manner. #### Decentralization Gelato operates on a network of independent executors, ensuring a high degree of decentralization. This aligns strongly with Pattern Flow's priorities. #### Pros - Fully decentralized infrastructure aligning with Pattern Flow's priorities - Comprehensive support for on-chain and off-chain automation - Secure wallet management with advanced features - Potential for lower costs due to decentralized execution - Strong alignment with Web3 principles of trustlessness and censorship resistance #### Cons - Potential learning curve due to decentralized architecture - Performance might vary depending on network conditions - Ecosystem still maturing compared to some centralized alternatives ## 4. Comparison Table | Criteria | ZettaBlock | Tenderly Web3 Actions | thirdweb Engine | OpenZeppelin Defender | Gelato Web3 Functions | |--------------------------|------------|----------------------|-----------------|----------------------|------------------------| | Real-time Data Access | Yes | Yes | Yes | Yes | Yes | | Custom API Building | Yes | No | Yes | No | No | | Prebuilt APIs | Yes | No | No | No | No | | Historical Data Analysis | Yes | No | Yes | No | No | | Real-time Triggers | Yes | Yes | Yes | Yes | Yes | | Wallet Management | No | No | Yes | Yes | Yes | | Hosting Options | Hosted* | Hosted only | Hosted & Self | Hosted only | Decentralized | | Cost Structure | Undefined | Undefined | Defined | Undefined | Pay-per-execution | | Multi-chain Support | Yes | Yes | Yes | Yes | Yes | | Security Features | Limited | Moderate | Strong | Very Strong | Strong | | Ease of Integration | High | High | High | High | High | | Level of Decentralization| Low | Low | Moderate | Low | High | *Unclear on self-hosting capabilities ## 5. Recommendations Given Pattern Flow's strong emphasis on decentralization, our recommendations have been adjusted accordingly. ### 5.1 Primary Recommendation: Gelato Web3 Functions Justification: - Fully decentralized infrastructure aligning perfectly with Pattern Flow's priorities - Comprehensive support for on-chain and off-chain automation - Secure wallet management with advanced features - Pay-per-execution model potentially offering cost efficiencies - Strong alignment with Web3 principles of trustlessness and censorship resistance ### 5.2 Alternative Recommendation: thirdweb Engine Justification: - While not fully decentralized, offers a self-hosting option for increased control - Comprehensive wallet management features - Transparent pricing structure - High transaction throughput for scalable operations - Could serve as a stepping stone towards full decentralization ### 5.3 Alternative Recommendation: OpenZeppelin Defender & ZettaBlock The most robust solution be to use Defender for the wallet management features and ZettaBlock event sourcing. However, given the limited scope for this project, its probably overkill ### 5.3 Next Steps Develop a proof-of-concept implementation using Gelato Web3 Functions for the flows outlined in the miro board. ## 6. Conclusion For Pattern Flow, with its strong emphasis on decentralization, Gelato Web3 Functions emerges as the most suitable solution among those analyzed. Its decentralized infrastructure and alignment with Web3 principles make it an ideal fit for Pattern Flow's vision and priorities. Gelato's decentralized execution network not only meets Pattern Flow's immediate needs for Web3 service automation but also positions the project at the forefront of truly decentralized operations. This aligns perfectly with the broader ethos of Web3 and could potentially give Pattern Flow a competitive edge in the decentralized application ecosystem. thirdweb Engine, while not fully decentralized, could serve as a viable alternative or interim solution if Pattern Flow needs to balance immediate operational needs with its long-term decentralization goals. As the Web3 ecosystem continues to evolve, Pattern Flow's commitment to decentralization positions it well for the future. Regular reassessment of the chosen automation strategy will be crucial to ensure ongoing alignment with both project goals and technological advancements in the decentralized space. ## 7. References and Further Reading 1. ZettaBlock Documentation: [https://docs.zettablock.com](https://docs.zettablock.com) 2. Tenderly Web3 Actions Documentation: [https://docs.tenderly.co/web3-actions](https://docs.tenderly.co/web3-actions) 3. thirdweb Engine Documentation: [https://portal.thirdweb.com/engine](https://portal.thirdweb.com/engine) 4. OpenZeppelin Defender Documentation: [https://docs.openzeppelin.com/defender](https://docs.openzeppelin.com/defender) 5. Gelato Web3 Functions Documentation: [https://docs.gelato.network/developer-services/web3-functions](https://docs.gelato.network/developer-services/web3-functions) 6. "The Web3 Stack" by Packy McCormick: [https://www.notboring.co/p/the-web3-stack](https://www.notboring.co/p/the-web3-stack) 7. "Blockchain Oracles for Hybrid Smart Contracts" by Chainlink: [https://chain.link/whitepaper](https://chain.link/whitepaper) 8. "The Web3 Security Landscape" by ConsenSys Diligence: [https://consensys.net/diligence/blog/2021/03/the-web3-security-landscape/](https://consensys.net/diligence/blog/2021/03/the-web3-security-landscape/)