Every mined block allocates 25% of issuance to an on-chain Gold Funding Vault by consensus. Purchased precious-metal tokens are deposited into a Heritage Reserve Vault on Ethereum mainnet — sealed by default, perpetual by design.
The Funding Vault needs operational flexibility (sell SOST, buy gold tokens). The Reserve Vault needs maximum immutability (Heritage sealed). Splitting them achieves both without mixing “hot” and “cold” functions.
Hardcoded destination in genesis consensus rules. Receives exactly 25% of each
block subsidy (q = reward // 4). Any block without the correct vault
output is invalid. Accumulated SOST is periodically converted to
tokenized gold exposure via the TWAP execution pipeline.
| Allocation | 25% of every block reward // q = reward // 4 |
| Enforcement | Consensus validation // invalid block if missing |
| Year 1 accumulation | 103,160 SOST |
| 30-year total | 1,167,300 SOST |
| Default split | 50/50 XAUt / PAXG // adjustable for future purchases |
| Staging assets | USDC + USDT // ≤72 hours temporary only |
TWAP (Time-Weighted Average Price) executes a daily sell budget as many small, evenly spaced limit orders over time, so the realized price approximates the market’s average and minimizes impact. No discretionary “sell whenever we want” behavior.
| Clips per day | 48–96 micro-orders // every 15–30 min |
| Max slippage | 0.5%–1.0% per clip |
| Cooldown trigger | −8% intraday drawdown // pause or halve |
| Purchase start | ≥8 months after public launch // + market readiness |
| Audit trail | Mandatory per-batch report // public, verifiable |
The Reserve Vault is an Ethereum mainnet smart contract holding allowlisted precious-metal tokens (XAUt and PAXG). Default state is Heritage: sealed, perpetual, untouched while SOST exists. No outbound transfers in normal operation. “Decades of collective work — converted to gold exposure — preserved.”
| Location | Ethereum mainnet smart contract |
| Default state | HERITAGE — sealed, perpetual |
| Allowed assets | XAUt, PAXG // allowlisted precious-metal tokens |
| Outbound transfers | NONE in normal operation |
| Movement authority | Emergency Catastrophe dual-gate only |
Reserve movements require both gates to pass — neither alone is sufficient. This prevents unilateral Foundation action and ensures miner consensus backs any reserve operation.
If the chain dies and no Emergency Catastrophe was authorized before blocks stopped, the reserve remains in Heritage state. The absence of consensus activity cannot authorize reserve movements. Heritage is the default — always.
| Day 0 | Last block mined |
| Day 30 — Watch | Liveness Alert · recovery begins // no liquidation |
| Day 60 — Critical | Full incident report // no liquidation |
| Day 90 — Dissolution | Public notice starts // 60-day window begins |
| Day 150 — Execution | Wind-down execution // network lifecycle shutdown |
| G1 | Every valid block MUST pay Gold Vault exactly q = reward // 4 |
| G2 | Two-vault separation: Funding (operational) + Reserve (cold) |
| G3 | Reserve Vault is Heritage sealed; no outbound in normal operation |
| G4 | Purchases begin ≥8 months after public launch + market readiness |
| G5 | TWAP batch execution only — no discretionary market-timing |
| G6 | Allowlisted assets only: XAUt, PAXG; USDC/USDT staging ≤72h |
| G7 | Default 50/50 split; adjustable for future purchases only |
| G8 | Issuer risk: redirect future purchases without consensus |
| G9 | Emergency dual-gate: ≥60% miner signaling + Foundation Execution Order |
| G10 | All vaults, batches, and proofs publicly published |