The Proof-of-Action Protocol Specification
A formal architectural reference for decentralized smart covenants, sub-second escrow settlements, mathematical custody, and sceptical AI oracles on the Nimiq blockchain.
NQ86 845N NUJ3 88U4 2V9E DEDF XV8Y CFES 8RKT·Fee: 0.0011 NIM·Inference: Qwen 3.6 (Hetzner)lib/vault.ts§ 1. Protocol Doctrine & Foundations
§ 1.1 The Doctrine of Proof-of-Action
lib/contract.ts"Traditional distributed ledgers excel at recording the transfer of digital abstractions within their closed state machines. Acta connects blockchain consensus directly with reality: money moves when physical deeds or verified digital deliverables occur."
On traditional blockchains, escrows are hampered by high transaction gas ($2–$15 per state update on EVM chains), slow block times (12–15 seconds), and opaque dispute systems. Acta leverages the Nimiq Proof-of-Stake (Albatross) consensus engine to achieve sub-second micro-blocks and deterministic finality with micro-fees of 0.0001 NIM.
Because transaction costs on Nimiq are negligible, micro-covenants become viable: lending a power tool for two hours, sponsoring a neighborhood park cleanup, placing an unforgeable cryptographic proximity token at a secret location, or commissioning a global open-source bug fix.
§ 1.2 Traditional Escrow Failure Modes vs. Acta
- Extract 15% to 30% commission from participants.
- Arbitrary account freezes and custodial censorship.
- Weeks of bureaucratic dispute arbitration.
- User reputation is locked inside closed corporate silos.
- Flat 0.001 NIM protocol fee retained by treasury.
- Non-custodial vault holding funds autonomously on-chain.
- Instant settlement upon cryptographic or AI oracle verdict.
- Algorithmic trust score compounds into direct borrowing power.
§ 1.3 Local Proximity vs. Global Remote Deeds
A common misconception is that Acta only supports physical, in-person hardware handoffs between neighbors. This is only one subset of its capability. The protocol spans two complementary vectors:
Vector I: Physical Proximity & Regional Deeds
Equipment custody loans (cameras, e-bikes, tools), physical scavenger hunts (ScanQuest tokens), and geofenced real-world environmental tasks. Protected by Ed25519 single-use cryptographic QR handshakes and GPS bounds.
Vector II: Global Remote & Digital Deeds
Online venture deliverables, open-source software contributions, graphic design tasks, translation bounties, and decentralized challenges worldwide. Anyone anywhere across the globe can accept, execute, and settle covenants with zero physical meeting required.
§ 1.4 Guarantees, Tradeoffs & Constraints
Acta does not compromise on architectural honesty. We disclose the real-world engineering constraints:
§ 1.5 Network Economy & Fee Schedule
lib/escrow-math.ts| Operation | Protocol Fee | Nimiq Gas | Recipient |
|---|---|---|---|
| Available Listing Creation | 0.0000 NIM | 0.0000 NIM | Off-chain Radar listing |
| Bounty / Rent Creation | 0.0000 NIM | 0.0001 NIM | Nimiq Validators |
| Covenant Acceptance (Lock) | 0.0000 NIM | 0.0001 NIM | Nimiq Validators |
| Vault Payout Settlement | 0.0010 NIM | 0.0001 NIM | Community Treasury & Validators |
| Cancellation / Refund | 0.0000 NIM | 0.0001 NIM | Full Principal Returned |
§ 2. The Nimiq Ledger & Micro-Consensus
§ 2.1 The Nimiq PoS Albatross Engine
Acta runs atop Nimiq's second-generation consensus mechanism: Albatross. Albatross is a state-of-the-art, optimistic Proof-of-Stake algorithm capable of achieving thousands of transactions per second with sub-second micro-blocks.
§ 2.2 Embedded Nimiq Pay Mini-App Sandbox
Acta detects when executed inside the official Nimiq Pay mobile application via the injected global bridge (window.nimiq).
Inside Nimiq Pay, transactions are signed natively inside the secure hardware enclave of the phone without redirecting to an external browser tab. If loaded in Chrome, Safari, or desktop browsers, Acta smoothly falls back to the standard Nimiq Hub pop-up and local key storage.
§ 2.3 Autonomous Vault & Hot Reserve
lib/vault.tsAll covenant collateral and bounty funds are held by the autonomous protocol address:
The vault operates non-custodially: funds can only be disbursed when cryptographic proof (signed QR, geofence coordinate, AI verdict, or sponsor signature) is verified by the backend engine.
§ 2.4 Zero-Cron Settlement Architecture
Most Web3 apps rely on background crons (e.g. cron-job.org or daily server crons) to detect timeouts. Acta is 100% zero-cron.
State transitions occur lazily: when a user loads Radar (GET /api/listings), any expired task (expires_at < NOW()) is dynamically marked inactive in the query, instantly vanishing from the active radar container with zero background scheduler dependency.
§ 3. The 6 Smart Covenant Archetypes
§ 3.1 Equipment Loan / Borrowing Covenants
app/api/listings/route.tsBorrow high-value physical hardware (camera gear, power tools, drones, measurement instruments) with zero centralized paperwork. Collateral is locked securely into the autonomous vault and returned instantly upon scanning the owner's cryptographic return QR code.
The sponsor owns the item and offers it to the community. No transaction is broadcast upon listing; no funds are deducted from the sponsor. Only when a borrower accepts is collateral locked into the vault.
The sponsor is seeking to borrow equipment and puts up rental reward/collateral. An on-chain transaction is broadcast upon listing to lock the reward into the vault escrow upfront.
§ 3.2 Vision Oracle Verification (Qwen 3.6 on Hetzner)
lib/vision.tsPhoto bounties are judged by an autonomous multi-modal AI vision model: Qwen 3.6 35B FP8 running on dedicated Hetzner cloud inference (https://inference.hetzner.com/api/v1).
The vision oracle prompt instructs the model: "You are a sceptical verification oracle for an escrow payment system. If you are in doubt, pass must be false." It checks scene lighting, required components, absence of screen mockups, and adherence to sponsor criteria.
§ 3.3 ScanQuest Cryptographic Handshake (Ed25519 QR)
lib/qr.tsPhysical proximity transfers and return receipts rely on ephemeral Ed25519-signed payloads.
- Single-use cryptographic nonce burned in database upon redemption to guarantee zero replay attacks.
- 10-minute expiry window (
exp = Date.now() + 600000). - Full WebRTC camera scanner with automatic fallback to native file upload.
§ 3.4 Geolocation Geofence Attestation (GPS)
app/api/bounty/geo/route.tsFor regional bounties (street cleanups, physical checkpoints, event attendance), Acta verifies physical presence using the Haversine Great-Circle formula:
§ 3.5 In-Person / Creator Attestation
app/api/bounty/manual_approve/route.tsCustom commissions where an algorithmic or AI oracle cannot evaluate subjective nuance. The challenger submits proof in Inbox, and the sponsor clicks "Approve & Release Vault Funds", broadcasting the release transaction sub-second.
§ 3.6 Online Ventures & Digital Bounties (100% Global)
Acta is global-first. A sponsor in Tokyo can deploy a 500 NIM bounty for resolving a GitHub issue, auditing a smart contract, designing a 3D icon, or writing technical documentation.
A developer in Buenos Aires or Berlin can accept the covenant, submit deliverables (PR URL, design link, or SHA256 checksum), and trigger autonomous payout upon sponsor signature or AI prescreen verdict.
§ 4. Contract Lifecycle & State Machine
§ 4.1 The 4 Contract Toggles
In the active dashboard, covenants are partitioned into 4 distinct views:
txHashOut), verified oracle stamp, and Nimiq explorer links.§ 4.2 Dynamic Attention Badges & Auto-Dismissal
app/app/page.tsxTo eliminate notification noise, every toggle displays a dynamic numerical badge (1, 2) indicating how many items require user attention. The badge automatically dismisses as soon as the user opens that tab, tracking view state locally in memory.
§ 4.3 Covenant State Machine Transitions
Inspect Interactive Diagram in § 7.2 ↓Every covenant transitions deterministically through 6 formal stages: open → locked → settling → released (or disputed / refunded).
§ 4.4 Unreturned Item Claims & 48-Hour Grace Period
If an equipment loan deadline elapses without return, the covenant enters a dispute window. The borrower is granted a 48-hour grace window (LENDER_CLAIM_GRACE_MS) to return the item.
If the borrower still fails to return the item after the 48-hour grace period, the lender's "Claim Collateral" button unlocks. Invoking POST /api/claim seizes 100% of the vaulted collateral and transfers it directly to the lender's wallet.
§ 5. Reputation & Sovereign Privileges
§ 5.1 The Algorithmic Trust Score Formula (0–100)
lib/auth.tsActa does not rely on subjective star ratings or easily gamed reviews. Trust is derived algorithmically from mathematical facts etched in the acts ledger:
Trust Score = min(100, round(
(settledActs / totalActs) * 35 // Completion Rate (35 pts)
+ min(25, (log10(volumeNIM + 1)/5) * 25) // Volume Weight (25 pts)
+ min(20, (tenureDays / 90) * 20) // Account Tenure (20 pts)
+ min(10, (distinctOracles / 5) * 10) // Oracle Diversity (10 pts)
+ min(10, (communityActs / 10) * 10) // Sponsored Peer Acts (10 pts)
))
§ 5.2 Reputation as Buying Power (Collateral Discount)
Simulate Discount Calculator in § 7.1 ↓Trust score directly lowers required collateral locks for equipment borrowing:
§ 5.3 The 5 Sovereign Privileges / Rites
§ 5.4 Instant Dual-Reward Referral System (10 NIM Each)
lib/referral.tsUnlike traditional web apps that delay referral incentives for weeks, Acta rewards both the Referrer AND the Referee with 10 NIM immediately from the treasury when the referral is claimed or upon joining.
- Inviter earns 10 NIM credited directly to their wallet.
- Invited peer earns 10 NIM welcome bonus credited directly to their wallet.
- Can be claimed via unique URL (
/?ref=CODE) or by entering the 6-character code in the Passport dashboard.
§ 5.5 Career Milestones & Recurring Drips
The protocol fee treasury continuously redistributes accumulated fees through autonomous performance grants:
§ 6. Developer Reference & REST API
§ 6.1 Cryptographic Authentication & Bearer Tokens
app/api/auth/verify/route.tsClients authenticate by signing a single-use nonce challenge with their Nimiq Ed25519 keypair.
§ 6.2 Listings API Endpoints
app/api/listings/route.tsDeploys a new covenant listing to Radar.
Fetches active listings from Radar. Filter with query params: ?filter=borrow|bounty|mine. Excludes expired listings automatically.
§ 6.3 Escrows & Custody API
app/api/escrows/route.tsLocks funds into the autonomous vault when accepting an open covenant.
§ 6.4 Oracle Verification Endpoints
lib/vision.tsStreams base64 image buffer to Qwen 3.6 on Hetzner inference. On pass, triggers sub-second vault payout.
Verifies Ed25519 signature over single-use 10-minute token and consumes nonce to prevent replay.
Verifies Haversine distance (≤50m) and GPS accuracy radius for location check-ins.
Sponsor signs approval in Inbox to disburse vaulted reward for custom commissions.
§ 6.5 Referral Claim API (POST /api/referral/claim)
app/api/referral/claim/route.tsClaims a peer referral code and immediately disburses 10 NIM to the referrer and 10 NIM to the referee directly from the treasury.
§ 6.6 Core TypeScript Interfaces & Schemas
lib/contract.ts§ 7. Interactive Sandboxes & Tooling
Inspect the live algorithmic and state models of Acta. Use these interactive testbeds to simulate collateral savings, audit state transitions, and test vision verdicts.
§ 7.1 Reputation & Collateral Discount Calculator
lib/escrow-math.tsReputation & Collateral Discount Calculator
Simulate how your historical on-chain integrity lowers required vault collateral across equipment covenants.
Every trust point earns 0.3% discount up to the 30% ceiling:
§ 7.2 Covenant State Machine Flow Navigator
lib/escrow.tsCovenant Lifecycle & Transitions
Select any lifecycle state below to inspect the deterministic cryptographic, database, and vault actions.
2. Accepted & Locked
Shows in 'In Progress' toggle. Lender keys primed. For Borrow: Return QR ready for generation.
Shows in 'In Progress' toggle. Active custody countdown or bounty challenge window begins.
§ 7.3 Autonomous Oracle Test Playground
lib/vision.tsAutonomous Oracle Verification Playground
Test how Acta's deterministic and AI oracles judge real-world evidence and trigger smart settlements.
{
"pass": true,
"reason": "Pavement cleared with green bag tied beside curb as requested."
}Sceptical AI instruction: "When in doubt, pass=false". Rejects stock photos, screenshots, and ambiguous angles.
Ready to participate in the Proof-of-Action protocol?
Connect your Nimiq wallet, inspect open covenants on Radar, or mint your referral covenant.