# Architecture Overview

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### **Client & Wallet Layer**

The **client and wallet layer** is responsible for **wallet creation, import, and connection flows**. It supports **both locally managed wallets and externally delegated signing** through compatible Stellar wallets.

This layer handles **transaction construction and user confirmation prior to signing**. **Private keys remain under user control at all times** and are **never transmitted to Lumexo infrastructure**.

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### **Application Logic**

The **application coordination layer** manages interaction flows for **asset management, trading, liquidity participation, lending, and payments**. It **standardizes how decentralized financial operations are prepared and executed**, ensuring **consistent behavior across supported use cases**.

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### **Stellar Network Layer**

The **Stellar network functions as the execution and settlement layer** for all transactions. **Lumexo leverages native Stellar primitives**, including **decentralized exchange functionality**, **automated market makers**, and **Soroban-based smart contracts**.

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### **Data & Indexing**

**Data and indexing services** aggregate and cache on-chain information required for **portfolio views, market data, liquidity metrics, and historical activity**. These services **do not participate in transaction execution or custody**.

The **Stellar network remains the authoritative source of truth** for all balances and transaction state.

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### **External dApp Interaction**

**Lumexo supports interoperability with external decentralized applications** by acting as a **signing surface rather than an execution intermediary**. In this model, **third-party applications generate transaction requests**, which are **presented to the user within Lumexo for review and approval prior to signing**.

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#### **Architectural Scope**

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This section provides a **high-level overview of the Lumexo system architecture**. **Detailed implementation specifics**, transaction flows, signing mechanisms, and integration details are **documented separately in the technical documentation**.

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