Boolean Circuit

A Boolean Circuit is a mathematical model of computation consisting of logic gates like AND, OR, and NOT connected by wires. In cryptography, these circuits are used to represent complex functions that need to be evaluated privately.

By breaking down financial algorithms into simple boolean operations, developers can apply secure computation techniques to execute these functions securely. This structure is the basis for how complex financial derivatives logic is mapped into a format that can be processed through garbled circuits.

It allows for the precise definition of trading rules and settlement conditions within a private computation environment. Understanding these circuits is fundamental for optimizing the performance of privacy-preserving financial protocols.