State Model

The Local Blockchain maintains a single, globally authoritative ledger state defined by the ordered application of finalized State Diff Lists (SDLs) committed by consensus.

State Diff Lists (SDLs)

An SDL is a compact, verifiable description of ledger mutations produced by execution. It may include:

• creation or update of transaction relationships
• balance changes
• proofs
• graph delta payloads (edge/attribute updates)
• optional diffusion-derived claim payloads (bounded, challengeable)

Commitment references (snapshot roots)

SDLs can reference canonical epoch snapshot roots:

• epoch: t
• graphRoot: GraphRoot_t
• seedRoot: SeedRoot_t (a root-of-roots that binds per-market seed tables)
• snapshotId: SnapshotId_t
• paramsHash: H(alpha, δ_tx, δ_epoch_user, δ_epoch_market, δ_epoch_global, k, …)

Optional diffusion claim payload (sketch)

When included, a claim can carry:

• claimValue: uint128 (≤ δ_tx)
• transcriptRoot: bytes32
• marketContext: Address (the executed MarketContext that produced the interaction record)
• marketId: uint32
• commitHash: bytes32 (= H(ParamsHash || SnapshotId_t || marketId || txid || TranscriptRoot))
• bond: uint128
• challengeWindow: uint32

Execution environments maintain local execution state used to process transactions and produce proposed state transitions. This local state may be partial, transient, or stale; the authoritative ledger state comes from finalized SDLs.

The canonical ledger state is obtained by applying accepted SDLs in consensus order. Execution environments derive local views from this canonical state for performance and parallelism; finality and reconciliation come from consensus ordering.

This separation allows execution to scale horizontally while preserving a single, consistent global ledger.

Related

• Execution Architecture (where execution happens)
• Settlement (how SDLs are produced and finalized)
• Consensus (how accepted SDLs are ordered)
• Optimistic Diffusion Claims