# What Is a Proxy Pattern in the Context of Smart Contract Mutability? ⎊ Path

**Published:** 2025-12-04
**Author:** Greeks.live
**Categories:** Path

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## What Is a Proxy Pattern in the Context of Smart Contract Mutability?

A proxy pattern separates the contract's storage (data) from its logic (code). Users interact with a simple, immutable proxy contract, which delegates all function calls to a separate, upgradeable logic contract.

To upgrade, the developer simply points the proxy to a new logic contract address, preserving the contract's state and address.

- [Why Does a Transparent Proxy Need to Check the Caller’s Address?](https://learn.greeks.live/path/why-does-a-transparent-proxy-need-to-check-the-callers-address/)

- [How Can a ‘Proxy Contract’ Allow for an Apparent Code Change without Breaking Immutability?](https://learn.greeks.live/path/how-can-a-proxy-contract-allow-for-an-apparent-code-change-without-breaking-immutability/)

- [Does Mutability Affect the Decentralization of a DeFi Protocol?](https://learn.greeks.live/path/does-mutability-affect-the-decentralization-of-a-defi-protocol/)

- [What Is an “Oracle Update” and How Does It Relate to Contract Mutability?](https://learn.greeks.live/path/what-is-an-oracle-update-and-how-does-it-relate-to-contract-mutability/)

- [What Is the Role of a Proxy Contract in Maintaining Upgradability?](https://learn.greeks.live/path/what-is-the-role-of-a-proxy-contract-in-maintaining-upgradability/)

- [How Can Mutability Help a Derivatives Platform Adapt to Extreme Market Volatility?](https://learn.greeks.live/path/how-can-mutability-help-a-derivatives-platform-adapt-to-extreme-market-volatility/)

- [What Is the Difference between a Transparent Proxy and a UUPS Proxy?](https://learn.greeks.live/path/what-is-the-difference-between-a-transparent-proxy-and-a-uups-proxy/)

- [Does the Proxy Pattern Affect the Cost of Contract Deployment?](https://learn.greeks.live/path/does-the-proxy-pattern-affect-the-cost-of-contract-deployment/)

## Glossar

### [Transparent Proxy](https://learn.greeks.live/area/transparent-proxy/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Proxy ⎊ A transparent proxy is an architectural pattern where the proxy contract explicitly stores the address of the implementation contract, and every external call is routed through the proxy, which then calls the implementation using a standard external call.

### [Proxy Pattern](https://learn.greeks.live/area/proxy-pattern/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Mechanism ⎊ A proxy pattern within cryptocurrency derivatives functions as an intermediary executing trades on behalf of another party, often to circumvent restrictions or enhance privacy, particularly relevant in decentralized exchanges and perpetual swap markets.

## Discover More

### [How Does the Limitation on Smart Contract Complexity Affect the Data Storage Capabilities on a Non-Turing-Complete Blockchain?](https://learn.greeks.live/path/how-does-the-limitation-on-smart-contract-complexity-affect-the-data-storage-capabilities-on-a-non-turing-complete-blockchain/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Does the Limitation on Smart Contract Complexity Affect the Data Storage Capabilities on a Non-Turing-Complete Blockchain?](https://learn.greeks.live/wp-content/uploads/2025/10/Tokenized-Asset-Encapsulation-Through-Blue-Glass-Cabochon-on-Material-Substrate.webp)

Non-Turing-complete blockchains are poor for data storage as they are built for transactions, not complex contract states.

### [What Is 'Gas' in the Context of Smart Contract Execution?](https://learn.greeks.live/path/what-is-gas-in-the-context-of-smart-contract-execution-2/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![What Is 'Gas' in the Context of Smart Contract Execution?](https://learn.greeks.live/wp-content/uploads/2025/10/Macro-Photography-of-Hard-Disk-Platter-Spindle-Assembly-Symbolizing-On-Chain-Settlement-Latency.webp)

Gas is a unit measuring computational effort for blockchain operations, paid to validators to process transactions and prevent spam.

### [How Much Does a Typical Smart Contract Audit Cost?](https://learn.greeks.live/path/how-much-does-a-typical-smart-contract-audit-cost/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Much Does a Typical Smart Contract Audit Cost?](https://learn.greeks.live/wp-content/uploads/2025/10/Layered-Obscuration-of-Digital-Asset-Collateral-Structures-Simulating-Synthetic-Option-Payoffs.webp)

The cost of an audit varies from a few thousand to hundreds of thousands of dollars, depending on complexity and scope.

### [How Can a Protocol's Total Value Locked (TVL) Be Used as a Proxy for Financial Performance?](https://learn.greeks.live/path/how-can-a-protocols-total-value-locked-tvl-be-used-as-a-proxy-for-financial-performance/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Can a Protocol's Total Value Locked (TVL) Be Used as a Proxy for Financial Performance?](https://learn.greeks.live/wp-content/uploads/2025/10/Abstract-Convergence-Points-Visualizing-Impermanent-Loss-in-Decentralized-Exchange-Liquidity-Pools.webp)

TVL is a proxy for usage and market share, correlating with fees, but the Price-to-TVL ratio must be used cautiously.

### [Does Proxy Hedging Fully Eliminate the Need for Delta Hedging on the Underlying Asset?](https://learn.greeks.live/path/does-proxy-hedging-fully-eliminate-the-need-for-delta-hedging-on-the-underlying-asset/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![Does Proxy Hedging Fully Eliminate the Need for Delta Hedging on the Underlying Asset?](https://learn.greeks.live/wp-content/uploads/2025/10/Futuristic-Binary-Interface-Display-Visualizing-Decentralized-Finance-Hedging-Instrument-Settlement-Mechanisms.webp)

No, it only mitigates directional risk based on correlation; the residual basis risk still requires some underlying delta hedging.

### [What Is the Primary Function of an Oracle in a Smart Contract System?](https://learn.greeks.live/path/what-is-the-primary-function-of-an-oracle-in-a-smart-contract-system/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![What Is the Primary Function of an Oracle in a Smart Contract System?](https://learn.greeks.live/wp-content/uploads/2025/10/Symmetrical-Obscured-Digital-Asset-Lens-Array-Reflecting-Illiquidity-Premium-Structures.webp)

Oracles feed off-chain data (like price feeds) to on-chain smart contracts to trigger automated execution.

### [Can a Smart Contract Be Designed with a Mechanism to Update Its Logic despite Immutability?](https://learn.greeks.live/path/can-a-smart-contract-be-designed-with-a-mechanism-to-update-its-logic-despite-immutability/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![Can a Smart Contract Be Designed with a Mechanism to Update Its Logic despite Immutability?](https://learn.greeks.live/wp-content/uploads/2025/10/Symmetrical-Bifurcation-of-Digital-Asset-Volatility-Surface-Hedging-Mechanism-Abstraction.webp)

Upgradeability is achieved via proxy patterns, allowing logic changes by delegating to a new implementation contract while keeping the address and state.

### [What Is the Difference between an American and European Option in a Smart Contract Context?](https://learn.greeks.live/path/what-is-the-difference-between-an-american-and-european-option-in-a-smart-contract-context/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![What Is the Difference between an American and European Option in a Smart Contract Context?](https://learn.greeks.live/wp-content/uploads/2025/10/Symmetrical-Bifurcation-Visualization-of-Decentralized-Finance-Collateralized-Derivatives-Execution.webp)

European options are coded for exercise only at expiration; American options are coded for exercise at any time up to expiration.

### [In a Tokenized Options Protocol, How Is the Collateral or Margin for the Contract Managed by the NFT's Smart Contract?](https://learn.greeks.live/path/in-a-tokenized-options-protocol-how-is-the-collateral-or-margin-for-the-contract-managed-by-the-nfts-smart-contract/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![In a Tokenized Options Protocol, How Is the Collateral or Margin for the Contract Managed by the NFT's Smart Contract?](https://learn.greeks.live/wp-content/uploads/2025/10/Macro-Cosmovision-of-a-Cyan-Hydrophilic-Arbiter-Balancing-Speculative-Hedging-Mechanisms.webp)

The smart contract locks the collateral as a neutral custodian, releasing it automatically upon contract expiry or exercise.

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**Original URL:** https://learn.greeks.live/learn/what-is-a-proxy-pattern-in-the-context-of-smart-contract-mutability/
