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May 21, 20264 citationsOpen Access

Deterministic Governance for Autonomous Financial Transactions on Distributed Ledgers: A Structural Enforcement Architecture with Cryptographic Attestation and Protocol-Native Multi-Signature Co-Signing

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JBJames D. Benton

Key Points

  • The research seeks to establish a governance framework for autonomous financial actors on distributed ledgers to prevent transactions without oversight.
  • Developed SovereignGate, an enforcement system utilizing protocol-native multi-signature co-signing.
  • Created a Rust enforcement kernel with a deterministic policy evaluation engine for governance rules.
  • Implemented a cryptographic receipt chain with Ed25519-signed Merkle-anchored attestation.
  • Introduced a governance system that prevents unauthorized transaction execution at the consensus layer.
  • Demonstrated that no existing systems blend deterministic policy enforcement and cryptographic attestation effectively.
  • Showed that the architecture is chain-agnostic, integrating with the XRP Ledger.

Abstract

Autonomous actors, including AI agents, decentralized autonomous organizations, decentralized unincorporated nonprofit associations, algorithmically managed funds, and individuals operating through programmatic interfaces, are increasingly executing financial transactions on distributed ledger networks without governance oversight. Existing approaches rely on application-level middleware operating within the same trust boundary as the actors being governed, post-transaction monitoring that detects violations after irreversible execution, or multi-party computation systems that provide distributed key management without policy evaluation. This paper presents SovereignGate, a deterministic governance enforcement system that achieves structural enforcement through protocol-native multi-signature co-signing with disabled master keys. The system comprises a Rust enforcement kernel with layered crate dependencies, a deterministic policy evaluation engine with deny dominance and independent fact inference, a bylaws-as-code domain-specific language for encoding entity governance rules as content-addressed policy bundles, a cryptographic receipt chain with Ed25519-signed Merkle-anchored attestation, and a structural co-signing mechanism making transaction execution without governance approval structurally impossible at the consensus layer. The preferred embodiment integrates with the XRP Ledger. The architecture is chain-agnostic. No existing system combines deterministic policy enforcement, Merkle-chained cryptographic attestation, and structural protocol-level co-signing for autonomous financial actors.

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Cite This Study

James D. Benton (2026) studied this question.

synapsesocial.com/papers/6a0ea17cbe05d6e3efb603c9https://doi.org/10.5281/zenodo.20280613
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