CU (Capital Unit)

Sets semantic currency properties.

Overview

The ¤ (CU, or Capital Unit) is the primary and singular currency used on Vex. It operates on a fully decentralized, market-driven system and exists purely as a digital entry on the Consolidated Asset Grid (CAG). The CU has no physical form and is not subject to government control. It is a perfect, fungible, and universally recognized currency on the planet, with all transactions being logged and traced in the CAG.

Features

CU Characteristics

Feature	Details
Ownership	Absolute. CU is the property of the holder. Not revocable, not leased. If you have it, it is legally and structurally yours.
Physical Form	None. CU exists purely as ledger-encoded, Tier-indexed digital entries. No offline storage, no tokens, no hardware wallets.
Fungibility	Perfect. 1 CU = 1 CU anywhere on Vex. All units are equivalent regardless of transaction history, region, or origin.
Anonymity	None. Every CU unit is hard-linked to identity strata, behavioral profile, and transaction lineage. No transaction is untraceable.
Liquidity	Universal and instant. Anyone, anywhere, can use CU. There are no friction zones, no conversion barriers.
Decay Rate	None. CU never expires. Hoarding is not punished. In fact, hoarding is culturally respected—capital accumulation is the highest form of prestige.
Transfer Risk Profile	None. All transactions are valid by design. The system does not enforce ethics, only records behavior.
Sovereign Override Hooks	Impossible. No government exists. CU is structurally incorruptible, by ideological design.
Reclamation Protocol	None. Upon death, CU is transferred according to contract. In absence of a contract, it defaults to market seizure.
Recognition	Universal.
Inflation	There is no issuer authority. The ledger expands only as value is proven and finalized (contract resolution).
Issuers	No centralized issuers. CU can be minted by recognized entities completing ledger-validated value generation.
Divisibility	Infinite within reason. CU is decimalized to 18 places. Micropayments are common and tied to consumption units (data seconds, air minutes, etc).
Valuation	Fully market-determined. Prices are set by pure supply and demand. No ceilings or enforcement.

Capital Issuance

Capital issuance must emerge from the market itself—not from authority.

Vex relies on a system of protocolized, contract-triggered issuance, monitored by a non-governing infrastructural ledger, called the **CAG (Consolidated Asset Grid)**.

Issuance Process

1. Entities (individuals, corporations, syndicates, AI clusters) register work or value-creation contracts into the CAG.
2. The contract specifies:

 * What will be delivered
 * When
 * To whom
 * At what agreed CU valuation

1. Upon verification of delivery, the CAG automatically triggers CU issuance to counterparties based on terms.

Who Can Register Contracts?

Anyone. However, the contract's creditworthiness determines how much CU the market will agree to lock against it (prepaid) or release upon completion (settlement).

Contract Registration Classifications

Class	Description
**Primary Entities**	Megacorps, planetary infrastructure firms, orbital logistics networks — highly trusted, mint in large volumes.
**Secondary Entities**	High-Tier individuals, AI collectives, niche coalitions with proven delivery records.
**Open Market Entities**	Anyone with a wallet and a ledger-recognized identity — can mint CU upon proven completion of contract-based value.

Stabilizing CU Without a Central Bank

Vex's CU system is stabilized without the need for a central authority. The system relies on:

• Market trust in contract enforcement
• CAG’s absolute neutrality
• Perfect ledger history
• No state-level manipulation
• No lender of last resort — bankruptcy is terminal
• Every transaction has a timestamp and immutable context

> [!Principles] > If you fail to deliver value, you do not receive CU. > If you destroy value, you cannot retrieve CU. > If you manipulate value, the market remembers.

There is no lender, no money printer, no inflation lever, no bailouts, no bond-buying programs.

The “central bank” has been replaced by an autonomous marketplace that mints capital in direct response to delivered reality.

Debt

Debt on Vex operates within the boundaries of a contract, and is issued based on CU already held within the system. Debt cannot be created without collateral. The process is irreversible, and all transactions are logged in the CAG.

Debt Principles

• Debt is a voluntary contract for future CU exchange.
• CU must exist somewhere in the system to collateralize the debt.
• Debt does not expire; it concludes through one of the following means:

 * Fulfillment
 * Absorption
 * Enforcement
 * Conversion into property forfeiture, Tier degradation, or contract slavery

• There is no “default” on Vex—failure to meet a contract triggers a contract mutation, where the lender's rights convert into direct access to your asset base or personhood.

Debt Issuance

Debt is issued by CU holders (individuals, collectives, corporations). There are no consumer protections or regulations, and borrowers must fully understand the terms of the agreement.

> [!quote] > On Vex, debt is never forgiven. It is resolved—by contract, by claw, or by collapse.

Lending

Any CU holder can issue a Debt Offer Contract to any counterparty. All Debt Offers are logged in the CAG.

Lending Principles

• There are no restrictions on lending.
• Lending is simply logged, with no regulators or licenses.
• Lenders are ranked by the Credit Source Matrix (CSM), which reflects their transaction history and reputation.

Credit Source Matrix (CSM) Factors

Factor	Description
**Ledger Transaction History**	Total CU issued as loans; repayment success rates; contract term precision; historical performance.
**Tier**	Higher-tier lenders receive better loan demand, not by rule, but by perception of stability and enforcement muscle.
**Enforcement Capability**	Lenders with robust collection mechanisms (milcorp affiliations, Tier-3 contract claws, data leverage) are more trusted.
**Market Reach**	How broad is their counterparty network? Do their offers show up in public contract pools across multiple zones?
**Settlement Velocity**	Do they pay out fast? Do they delay issuance? Speed creates trust.
**Reputation Nodes**	Lenders may have “trust anchors” (other powerful entities vouching for them). Endorsements from known names (e.g., Korm) skyrocket demand.
**Conversion Record**	How many debts they’ve _resolved_ via liquidation versus mutual payoff. Too aggressive? They become feared. Too passive? Undervalued.

Taxes

Vex operates on a unique taxation system, focusing on territory, contracts, and access.

Tax Types

Type	Description
**Territorial Extraction**	Operating on someone else's property, whether physical (Velv, a data pipe, an orbital corridor) or digital (a comms grid, AI framework). You pay a **cut of your CU** to the owner.
**Contractual Commissioning**	Executing a contract using a megacorp's infrastructure. You owe **commission fees**, encoded into the ledger contract automatically.
**Access Fees**	Operating within a Tier or district controlled by a corporation, paying for CU-based residency, water, air, compute cycles, or physical protection.

See Also

• Consolidated Asset Grid (CAG)