VCP v1.0 Fact Sheet

What is VCP?

VeritasChain Protocol (VCP) is an open cryptographic standard that creates tamper-evident, end-to-end verifiable audit trails for AI-driven and algorithmic trading systems. VCP replaces trust-based oversight with mathematically provable transparency, enabling independent verification without requiring access to proprietary systems.

Key Innovation: VCP uses cryptographic hash chains (SHA-256) and chronologically-ordered UUIDv7 timestamps to create immutable records that any third party can verify—from regulators to auditors to market participants—without trusting the record keeper.

Why This Matters Now

Trust Crisis in Algorithmic Trading: Recent scandals involving retail brokers, prop firms, and exchanges have eroded market confidence
Regulatory Pressure: MiFID II, SEC Rule 15c3-5, and FINRA 3110 demand stronger algorithmic oversight
AI Complexity: Black-box AI trading models make traditional audits insufficient
Global Market Need: No existing standard provides cryptographic-grade transparency for algorithmic systems

Technical Specifications

Hash Algorithm: SHA-256
Timestamp Format: UUIDv7 (RFC 9562)
Architecture: Merkle-tree hash chain
Verification: Independent third-party
Data Format: Structured JSON events
License: CC BY 4.0 (Open Standard)

Certification Tiers

Silver: Basic transparency (signal → execution)
Gold: Enhanced verification (+ risk management)
Platinum: Full auditability (+ model versioning)

Progressive compliance framework allows organizations to adopt VCP incrementally based on their needs.

Launch Date

December 15, 2025

Protocol Version

VCP v1.0

Standards Body

VeritasChain Standards Organization (VSO)

Target Markets

Brokers, Prop Firms, Exchanges, Hedge Funds

Use Cases

Retail Brokers: Prove fair execution and absence of stop-loss hunting
Prop Trading Firms: Demonstrate transparent evaluation and payout systems
Cryptocurrency Exchanges: Verify order matching and prevent front-running
Hedge Funds: Provide auditable compliance for algorithmic strategies
Regulators: Enable efficient oversight without system access

Regulatory Alignment

VCP aligns with existing financial regulations: MiFID II (EU algorithmic trading requirements), SEC Rule 15c3-5 (Market Access Rule), FINRA 3110 (Supervision requirements), and emerging AI governance frameworks. Currently engaging with ISO/TC 68 (Financial Services) for potential standardization pathway.

Availability

VCP Specification v1.0: Available as open standard under CC BY 4.0 license
Reference Implementation: Coming Q1 2026 (Open source)
VC-Certified Program: Organizations can apply for certification at veritaschain.org/certified
VCP Explorer: Public verification tool available at veritaschain.org/explorer