XCRMS

The problem: Critical minerals move through long supply chains: mines, recyclers, refiners, warehouses and manufacturers. Payment and proof travel separately. A buyer pays on paperwork it cannot verify, a supplier waits weeks to be paid, and nobody can show on one record that every party was screened, that the collateral was audited, and that money moved only when the delivery was proven.

What we are building: XCRMS token is a part of the XRP Ledger settlement layer of CRMS Protocol. CRMS Protocol is designed to turn certified mineral reserves and audited recycled RWA feedstock streams into XCRMS, a token over-collateralized at 130 percent or more. In this demo XCRMS is a Testnet token with no value: no real assets, no real money, no offer of any kind, and no regulatory approval claimed.

The demo runs one settlement end to end on XRPL Testnet, using only native ledger features: no smart contracts, no Hooks, no sidechains.

How it works:

1. Every party is screened on the ledger. The issuer gives each participant XLS-70 Credentials: KYC and FEOC (foreign entity of concern screening) for everyone, AUDIT for a miner with a certified reserve, YAUDIT for a recycler with a yield audit. A Permissioned Domain checks them at intake, and deposit authorization makes the ledger itself refuse a payer who has not been screened.

2. Two collateral baskets, two mints. A reserve basket from a miner and a recycled basket from a recycler each back their own mint, and each mint is refused if its basket falls below 130 percent.

3. No single key can mint. The issuer carries a weighted multisign list of six governance seats. Every mint needs the Auditor, the Custodian and the Protocol Operator, plus the supplier whose collateral backs it: the miner for the reserve, the recycler for the recycled stream. Three seats alone are refused by the ledger.

4. The buyer's funds are locked, not promised. The buyer locks XCRMS in a token escrow (XLS-85) to the supplier under a crypto-condition. Nobody can move it, the issuer included, until the condition is met or the escrow expires.

5. Payment follows proof. When the delivery reaches the receiving warehouse, its evidence counts only if the warehouse holds a CUSTAUDIT credential, read live from the ledger. Revoke the credential and the release stops. Three independent holders each keep a share of the escrow secret; any two release it, so no single party can pay out early or block payment.

6. Sanctions and disputes are handled on the ledger. If a party is sanctioned mid-lock, its credential is revoked and its line frozen; the escrow cannot be raided, and on expiry the funds return to a frozen line that can only redeem to the issuer. Deep Freeze stops a frozen beneficiary from receiving at all.

Every step is a real Testnet transaction with a verifiable hash, listed in the repository's transaction record.

Who it serves: Miners and recyclers who want to be paid on proof instead of on paper. Manufacturers who need to show where their critical minerals came from and that every counterparty was screened. Auditors and custodians who sign off on what backs the token, and regulators who can check all of it on one public record.

What is real and what is mocked: Live on XRPL Testnet: issuance, credentials, the permissioned domain, deposit authorization, weighted multisign, token escrow, tickets, freeze and deep freeze. Mocked and labelled: the permissioned audit layer, the oracle pricing and the public attestation chain of the wider protocol, and the audit proof itself. No asset is held in custody.

Built at the event: The protocol design predates the event, and the repository declares what was prepared in advance. The settlement rail, its scripts and the live dashboard are built during the hackathon window; the commit history and changelog are the record.

XCRMS: mined or recycled, screened, then paid only on proof.

Built by Edward Manoukian, founder, CryptoGnosis LLC. CRMS Protocol and XCRMS are trademarks of CryptoGnosis LLC. Patent pending.