Protocol Lifecycle

Contract Deployment

Sets nonce, epoch duration (5 days), domain separator, and derives super admin pk.

Admin Setup

• Admin_addIssuer → registers DeFi protocol as approved issuer, returns issuerPk
• Utils_initializeContractConfigurations → sets token metadata, tier thresholds, score weights

User Registration

• User generates Veil ID off-chain from secret key
• Scoring_createScoreEntry(veilId) → creates empty score + accumulator in private state, commits both on-chain

Behavior Accumulation

Repeated over time as user interacts with DeFi protocols:

• Scoring_submitRepaymentEvent → updates accumulator: onTimeCount / lateCount / weightedRepaymentVolume
• Scoring_submitLiquidationEvent → updates accumulator: liquidationCount / liquidationPenaltyPoints
• Scoring_submitProtocolUsageEvent → updates accumulator: distinctProtocols (counted once per unique protocol)
• Scoring_submitDebtStateEvent → updates accumulator: activeDebtFlag / riskBand

PoT NFT Minting

NFT_mintPoTNFT() executes the following sequence:

1. Triggers lazy epoch update (computeCurrentEpoch)
2. Recomputes score from accumulators + config (recomputeAndPersistScore)
3. Validates score commitment against on-chain Merkle tree
4. Determines trust tier from repayment ratio
5. Mints shielded token, stores NFT metadata in nftRegistry

NFT Verification

NFT_verifyPoTNFT(issuerPk, veilId, challenge, expiresAt, ownershipSecret) called by issuer:

1. Checks issuer is registered and approved
2. Confirms NFT exists in nftRegistry
3. Validates replay-protection challenge
4. Verifies ownership commitment
5. Auto-revokes if NFT has expired
6. Returns Boolean — true = valid and not expired

NFT Renewal

NFT_renewPoTNFT(token) executes the following sequence:

1. Burns old PoT token
2. Recomputes score and determines new tier
3. Issues new PoT token with updated metadata and extended expiry