Regulatory Compliance & Governance

Summary: Under Proof of Verification (PoV), every public claim maps to immutable lineage on Ethereum (L1): evidence → attestations → proof mint → settlement or retirement. Governance is timelocked and transparent; revocations are first-class; regulators can verify without access to private data.

What regulators and auditors get

• Immutable lineage anchored on L1; no dependence on PDFs or email trails

• Machine-readable trail: evidence hashes, attestation UIDs, claimId finalizations, PoVPassed / PoVFlagged / PoVRectified events (queryable via subgraph, visible in Explorer)

• One-Claim Law enforced in code across routes and registries

• Selective disclosure: hashes and IDs on-chain; artifacts off-chain (S3/IPFS/partner vaults) under access control; optional ZK or controlled viewers for sensitive fields

Standards mapping

• Energy: schemas map to REC/GO; hourly and 24×7 matching supported via windowed batches

• Carbon: project, methodology, vintage, and monitoring metadata carried in Carbon Credit NFTs

• Mirroring: where required, watchers reconcile external retirements or issuances while preserving One-Claim exclusivity

Governance model

Bodies

• PoV Council: sets roles, quorum defaults, allowed methods; approves schema versions

• Technical Steering: maintains contracts and SDKs; runs audits; proposes upgrades behind a timelocked multisig

• Risk & Revocation Committee: executes emergency disables, flags, and recalls; publishes incident reports and SLAs

Mechanics

• Timelocked upgrades: Registry, Gate, and Fee contracts upgradeable only via timelock; public change logs

• Attestor Program: published onboarding criteria (independence, accreditation, coverage, conflicts), KPIs, rotation; fast de-list or ban on breach

• Parameters on-chain: quorum, roles, fee schedule, anchoring policy (for example, L1 anchoring for large tranches) are versioned on-chain

Community and tokenholder input

• EDM governance (advisory): tokenholders signal parameter ranges (fees within bounds, quorum tightening, SLA tiers)

• Binding execution: performed by timelocked governance after public RFC and risk review

• Note: EDM is not a consensus token; Ethereum PoS secures the chain.

Compliance toolset

• Explorer: search by claimId, batch or device, attestor; see quorum state, flags, and lineage

• Subgraph: query PoV, EAS, and One-Claim events for reporting pipelines

• Exports: CSV or JSON snapshots for audits with stable IDs and schema versions

• PoV-Verified Badge: embeddable status plus sub-scores (Quorum Strength, Evidence Quality, Revocation SLA, Double-Claim Risk)

Access and privacy

• On-chain: only hashes, IDs, and links; no PII

• Off-chain: evidence via signed URLs, expiring tokens, or regulator viewers; access is logged

• Optional ZK: prove eligibility (for example, region, age) without revealing raw values

Revocation and incident handling

• Flag within SLA: PoV Feed flags affected claimIds on-chain within less than 24 hours of revocation, role disable, or expiry

• Asset behavior: affected items become flagged, frozen, or burned per policy; transfers and settlements are blocked

• Rectification: append-only; fresh verifications can restore quorum; contracts emit PoVRectified; history is never rewritten

• Emergency pause: circuit breakers can pause mint and settle paths; resume via timelocked governance

Fee and policy transparency

• Fee contract on-chain

  • Energy and Carbon: 4% total (2% buyer + 2% seller), 50% burned

  • Commodity milestones: 0.5% per tranche with caps (5k USD ≤ 1M, 12.5k USD 1–5M, 25k USD > 5M), 50% burned

  • Rebates, if any, apply only to the treasury half; burn is immutable

• Anchoring policy on-chain: documents when L1 anchoring or a challenge window is required (for example, high-value tranches)

Conformance checklist (integrators)

• Call PoV Gate in the same transaction that mints or settles; store attestation UIDs

• Enforce QuorumSpec (at least 2 verifications, auditor required, at least 2 distinct roles)

• Verify equality (evidenceHash and window) and exclusivity (One-Claim) atomically

• Subscribe to PoV Feed; implement flagRevoked, PoVFlagged, and PoVRectified

• Keep proof mints and conversions gas-only on Base; charge EDM only at settlement

• Anchor final lineage to Ethereum (L1); use versioned schemas (.v1, .v2)

Minimal interfaces

// SPDX-License-Identifier: MIT
pragma solidity ^0.8.24;

interface IFeeSchedule {
    // bps: 400 = 4.00%, 50 = 0.50%
    function energyCarbonBps() external view returns (uint16);        // default 400
    function tradeMilestoneBps() external view returns (uint16);      // default 50
    function caps() external view returns (uint256 cap1M, uint256 cap5M, uint256 capOver);
    event FeeUpdated(uint16 energyCarbonBps, uint16 tradeBps);
    event CapsUpdated(uint256 cap1M, uint256 cap5M, uint256 capOver);
}

interface IPolicyRegistry {
    // Anchoring and finality policy (for example, require L1 anchor for tranches >= threshold)
    function l1RequiredThreshold() external view returns (uint256);
    function challengeWindowSecs() external view returns (uint256);
    event PolicyChanged(bytes32 key, bytes data);
}

Why this satisfies regulators

• Deterministic rules: admissibility is enforced in code (quorum, equality, exclusivity)

• Transparency: fee schedules, policies, and upgrades are on-chain with timelocks

• Auditability: a single, immutable trail replaces manual reconciliation

• Safety valves: revocation is cheap and visible; emergency pause exists; rectification is append-only

Bottom line: Compliance is built-in. PoV turns evidence into a settlement rule, governance makes changes slow and visible, and regulators can verify claims directly from the chain.