State systems

XityCoin, reserve-backed 1:1

XityCoin is the official currency of Xity, established by the Constitution (Article 161). It is fully reserve-backed at a one-to-one ratio against the active anchoring currency. Every XityCoin is minted only against a deposited reserve and burned only against a withdrawal, both recorded on the public ledger.

Read the risk disclosures About the reserve

Backing

1:1

Reserve to coin

Attestations

None

No attestation performed

Peg mechanism

Mint & burn

No algorithmic peg

What XityCoin is not. XityCoin is not an algorithmic currency. The 1:1 relationship holds because each unit is created only against a deposited reserve and destroyed only against a withdrawal. The Constitution provides for a dynamic peg: the anchoring currency may be switched by the Xity Financial Currency Board if the primary anchor faces systemic devaluation.

How parity holds

Mint against deposit. Burn against withdrawal

There is no algorithmic defence of a peg. The parity holds because each coin is created only against a deposited reserve and destroyed only against a withdrawal.

Mint

Reserve in → coin out.

External currency is converted into the active anchoring currency. The value is recorded in the system at the 1:1 rate. XityCoin is minted and issued to the person. The mint is atomic: if the deposit record is not valid, no coins are minted.

Burn

Coin in → reserve out.

A holder returns XityCoin for redemption. The coins are permanently burned and removed from circulation. The equivalent value of the anchoring currency is released from the reserves at the 1:1 ratio. The burn is atomic: if the release fails, the burn is rolled back.

Controls

Lawful, logged, never silent

The Constitution (Part XD) establishes a framework for capital controls, including escalating conversion fees and tiered withdrawal limits during periods of systemic stress. The chain implements address whitelists and blacklists, wallet freeze and unfreeze, and three independent circuit breakers that can pause minting, transfers, or redemption. Any use of these controls is recorded on-chain. The financial boards that administer this framework (XFCB, XFBA) are established by the Constitution but not yet constituted.

Freeze

Wallets may be frozen and unfrozen on-chain.

Capital controls

Address whitelists and blacklists may be applied. Any use is recorded on-chain.

Circuit breakers

Minting, transfers, and redemption can each be independently paused. Any pause is recorded on-chain.

Live supply. The current XityCoin supply is published live from the chain. See the explorer for the real-time figure.

Open the explorer

Read the risk disclosures before you use XityCoin

No design eliminates all risk. The honest thing to do is publish the risks in full.

Risk disclosures About the reserve