Interactive Protocol Demo

Dynamic Credit Gauge & Headroom Calculator

Interactive radial gauge simulator visualizing mutual credit limits, real-time trade capacity, multi-tier risk boundaries, and 3-hop sponsor damping liability containment.

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Zero-Sum Ledger Invariant

Conservation of Value: In NodeHash mutual credit, all trade obligations satisfy the zero-sum invariant:

∑ Balancesi = 0

Positive surplus accounts are always exactly offset by negative credit line drawdowns across the peer graph. No central banking liquidity or external fiat backing is required.

3-Hop Sponsor Damping

Geometric Loss Containment: Default risk is absorbed strictly along the participant's endorsement hierarchy:

Liability Factor(d) = 0.5d - 1

Direct sponsors absorb 100% (depth 1), secondary sponsors absorb 50% (depth 2), and tertiary sponsors absorb 25% (depth 3). The finite series ∑ 0.5d-1 = 1.75 bounds contagion strictly to 3 hops.

Trade Headroom & Limits

Dynamic Trade Capacity: Available trade headroom is dynamically computed as:

Headroom = Limit + Balance − Escrow

Accounts operate seamlessly through Safe (0% - 50%) and Elevated (50% - 80%) tiers. Crossing 80% triggers high-utilization notices, while exceeding 100% halts outgoing capacity.

Explore the NodeHash Protocol Architecture

Discover how cyclical clearing algorithms, atomic state machines, and mutual credit risk containment combine into an autonomous multi-party trade engine.