Control & Compliance Mechanics

System Governance

QUORUM enforces a rigorous governance model that ensures every decision is traceable, every rule is validated, and every override is authorized within a strictly defined hierarchy.

Pipeline Position: Rule Arbitration

Rule Lifecycle

01

Create & Stage

Rules are defined in a declarative schema and staged in a non-execution environment.

02

Shadow Evaluation

Every candidate rule runs in shadow mode against historical event streams before promotion — quantifying precision impact, false positive rate, and coverage before any live traffic is affected.

03

FROST Threshold Approval

Deployment requires a (t,n) cryptographic quorum from designated compliance officers via FROST(Ed25519). No single officer can unilaterally promote a rule. The approval record is an unforgeable threshold signature stored in the audit ledger.

04

Live Deployment

Atomic promotion to execution nodes with sub-second propagation. The promotion event is KZG-committed to the audit ledger.

Approval Thresholds

Technical Configuration LVL 1

Network parameters, IP reputation sensitivity, and caching TTLs. Single-engineer approval with full audit trail.

Logic & Thresholds LVL 2

Risk score weights, block/allow thresholds, and model sensitivity. Dual-compliance FROST co-signature required.

Institutional Overrides LVL 3

Global bypasses, network-wide isolation, and consensus resets. Institutional executive sign-off via full FROST threshold quorum.

Override Logic

Strict hierarchy ensures that manual overrides are recorded with full principal attribution, automatic expiration timers, and a counterfactual explanation certificate generated at override time.

Conflict Resolution

The Adaptive Rule Engine resolves rule-vs-model conflicts according to pre-configured precedence policies (Strict, Balanced, or Technical). All conflict resolutions are logged with their governing policy version.

Change Traceability

Every administrative action is hashed and KZG-committed in the append-only audit ledger. O(1) inclusion proofs allow any party to verify any historical change without traversing the full chain.

Counterfactual Certificates & Regulatory Explainability

For every adverse decision, QUORUM generates a causal counterfactual certificate: an HSM-signed explanation identifying which input features drove the outcome and what change would have produced a different result. This certificate is generated at decision time — it is not reconstructed after the fact — and is stored immutably in the audit ledger.

The certificate format satisfies EU AI Act Article 86 (right to explanation for automated decisions) and FINTRAC adverse-action notice obligations without requiring analysts to reconstruct decision state from raw logs.

EU AI Act Article 86 SATISFIED
FINTRAC Adverse-Action Notice SATISFIED
Certificate Signing HSM-SIGNED
Generation Point AT DECISION TIME
Storage WORM LEDGER (KZG-COMMITTED)