VeritasChain Certified (VC-Certified)

Frequently Asked Questions (FAQ)

Encoding Trust in the Algorithmic Age

This FAQ section addresses key technical, legal, and ethical questions about the VC-Certified certification program operated by VeritasChain Standards Organization (VSO).

Purpose: To proactively address common questions and enhance trust by clarifying what VC-Certified does—and doesn't—guarantee.

Scope 1. Certification Scope & Limitations

A. No, this certification does NOT guarantee financial health or solvency.

VC-Certified certifies only that a system technically complies with the VeritasChain Protocol (VCP) international standard.

Specifically, we verify that the following are mathematically and cryptographically correct:

  • Trading data is immutable (tamper-proof)
  • Algorithm decision-making processes are recorded
  • Time synchronization and numerical precision meet specified Tier requirements

Important: VSO does NOT guarantee or endorse any company's:

  • • Solvency or ability to meet financial obligations
  • • Business continuity or long-term viability
  • • Investment product profitability or returns

A. No, VSO maintains a strict "Non-Endorsement Policy."

VSO is a neutral international standards organization. Issuing a certification badge indicates only that a system meets transparency standards—it is NOT an endorsement of that company's products or services.

VSO maintains a vendor-neutral stance and aims to improve the health of the entire market ecosystem.

Privacy 2. Data Privacy & Security

A. No, personal information is protected by the VCP-PRIVACY module.

VCP's design philosophy balances "public truth (Veritas)" with "privacy protection."

Hashing

What's recorded on blockchain or audit logs are hash values (fingerprints) of data—not the original personal information.

Crypto-shredding

Personal Identifiable Information (PII) is encrypted with unique per-user keys. For GDPR's "Right to be Forgotten," destroying the decryption key makes the data mathematically unrecoverable.

Therefore, it is technically impossible for VSO or third parties to extract customer names or addresses from audit logs.

A. Only "data necessary for verification" is made transparent.

In VCP-compliant systems, transaction hash values and Merkle Roots are anchored to public chains.

This allows users to verify "whether my trades were tampered with" using Explorer tools.

Protected Information: The specific logic of algorithms (intellectual property) and detailed trading information of others are NOT exposed.

VCP provides "verifiable transparency" that sits between "black box (opaque)" and "glass house (fully exposed)."

Tiers 3. Certification Tiers & Technical Value

A. Yes, it provides extremely strong "proof value."

While Silver Tier doesn't require atomic-clock precision (PTPv2), it guarantees "Irreversibility of Fraud."

UUID v7 Ordering

All events are assigned time-ordered IDs.

Retroactive Tampering Prevention

Data is anchored to blockchain every 24 hours.

Fraud Types Prevented:

  • • "Deleting unfavorable trades after the fact"
  • • "Inserting fake data with past timestamps"

These typical frauds become impossible even for database administrators.

Silver Tier is a powerful tool to resolve trust disputes ("he said, she said") while keeping costs low.

A. No, "sidecar" deployment is possible.

VCP provides adapters (SDKs and bridges) that run alongside existing FIX engines and trading servers (MT4/MT5, etc.) to generate audit logs without modifying the existing infrastructure.

For Retail Brokers & Prop Firms:

We provide vcp-mql-bridge, which minimizes impact on existing environments while enabling certification.

A. Yes. Silver Tier is designed for retail/prop environments where best-effort synchronization is acceptable.

Silver Tier provides all the core benefits of VCP compliance:

  • Immutable audit trails with cryptographic integrity
  • UUID v7 time-ordered event logging
  • 24-hour blockchain anchoring
  • Protection against retroactive data manipulation

For prop firms where millisecond-level timing is sufficient (not microsecond/nanosecond HFT), Silver Tier offers an excellent balance of compliance value and implementation cost.

A. Not strictly required, but recommended for high-frequency trading environments.

Platinum Tier is recommended for environments requiring:

PTP v2 Synchronization

Microsecond/nanosecond precision

SBE Encoding

Simple Binary Encoding for speed

FIX Engine Integration

Native protocol support

HSM Key Management

Hardware security modules

Organizations can choose the tier that matches their operational requirements.

Governance 4. Governance & Future-Proofing

A. VCP is equipped with "Crypto Agility" and is already prepared.

Currently, we default to the fast Ed25519 signature algorithm, but the specification defines a migration path to Post-Quantum Cryptography (PQC).

Future Migration Path

When quantum computing threats become real, we will seamlessly upgrade to NIST-standard algorithms like Dilithium, ensuring the authenticity of records for the future.

A. Yes, support is built into the protocol.

The VCP-GOV extension module includes fields for storing:

  • AI algorithm decision factors
  • Risk classification
  • Human oversight records

Compliance Support:

This strongly supports compliance with high-risk AI system requirements for transparency and record-keeping.

Process 5. Certification Process & Compliance

A. No. VC-Certified is optional and is not required to implement the VeritasChain Protocol (VCP).

Organizations may deploy VCP freely under the open standard license, with or without certification.

Open Standard:

VCP is designed as an open international standard. Certification provides third-party verification but is not a prerequisite for implementation.

A. No. VC-Certified evaluates only technical compliance with VCP.

It does NOT replace:

  • Statutory financial audits
  • Licensing requirements
  • Regulatory examinations
  • Legal compliance reviews

Important Distinction:

VC-Certified is a technical compliance certification, not a regulatory license or financial audit. Organizations should maintain all required regulatory and financial compliance independently.

A. Most organizations complete the certification process within 2–6 weeks.

The timeline depends on several factors:

Integration Depth

Complexity of system integration

Log Volume

Amount of data to verify

Technical Readiness

Existing VCP implementation

Organizations with pre-existing VCP implementations typically complete certification faster.

A. VC-Certified focuses exclusively on technical VCP compliance.

VC-Certified does NOT evaluate:

Financial soundness
Trading strategy quality
Profitability or returns
Risk appetite appropriateness
Business performance
AML/KYC compliance
Customer funds handling or custody practices

What it DOES cover: Technical compliance with VCP specifications—ensuring data integrity, cryptographic correctness, and audit trail immutability.

A. Yes. Certification may be revoked under specific conditions.

Grounds for revocation include:

Log Manipulation

Tampering with or falsifying audit logs

Module Removal

Removing VCP-required modules after certification

AI Metadata Falsification

Falsifying AI governance metadata (VCP-GOV)

Verification Failure

Audit proofs that fail cryptographic verification

Policy Violations

Material violations of VSO non-endorsement policy

Integrity Assurance:

This revocation policy ensures that VC-Certified maintains its integrity as a mark of genuine technical compliance. Organizations must continuously uphold VCP standards.

A. VSO collaborates with global regulatory, academic, and technical bodies to promote interoperability.

VC-Certified is not a regulatory license but may support compliance documentation for various jurisdictions.

Regulatory Bodies

Engagement with financial regulators

Academic Partners

Research collaboration

Technical Standards

Industry interoperability

VCP is designed as an open international standard, facilitating adoption across different regulatory environments.

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"Verify, Don't Trust" — Encoding Trust in the Algorithmic Age