The deposits stay at the banks. Their ownership, represented by the token, moves. Deposit Coin deterministically maintains which deposits each resulting token position represents.
The blockchain records the token transfer. The common ledger maintains the resulting authoritative Deposit Coin system state, including the bank deposit interests represented by the resulting token positions. Illustrative result. The deposit composition associated with each resulting position is determined pursuant to Deposit Coin's proprietary ledger rules; the determination methodology is not shown. Amounts move only within a bank's column; no deposit moves between participating banks.
Mints, transfers and burns happen at the token level on supported networks, performed by the issuer, distribution / liquidity partners and market participants. Deposit Coin performs none of them; it records them and maintains the resulting ledger state.
The Regulated Issuer funds deposits at participating banks, mints DC to itself and sells it to a Distribution / Liquidity Partner, which sells it into the market.
The normal state. Holders transfer DC among themselves, or sell it to a Distribution / Liquidity Partner for fiat. The partner holds it as inventory and resells it to other customers. The DC stays outstanding.
A current holder presents DC to the Regulated Issuer for redemption, most commonly a Distribution / Liquidity Partner reducing excess inventory. The issuer redeems and burns it.
Deposit Coin records every event above. It does not buy, sell, hold inventory, provide fiat, redeem or burn.
Entry 00413 is the transfer shown above, a secondary transfer during circulation. Illustrative.
DC circulates. Redemption contracts supply.
The same DC can be sold, bought back and resold many times without being redeemed. Secondary transfers do not involve the issuer; redemption does.
Supply contracts only here. Not part of the worked state, which remains 250,000,000 DC.
A holder may also present DC directly to the Regulated Issuer for redemption, subject to the applicable redemption terms. In normal market activity, holders instead obtain fiat by transferring DC to a liquidity provider, so the DC remains in circulation.
Deposit Coin's independent, authoritative system of record that maintains token supply and ownership and the bank deposit interests represented by each token position across participating banks.
The ledger is independent of the chain and of every participant's own books; authoritative for the Deposit Coin system state it maintains; and deterministic, meaning positions and their represented deposit interests follow the system's rules, not discretionary attribution.
Common does not mean one shared database. Participating banks keep their own deposit records, the issuer keeps its own books, the blockchain records token activity and market participants keep their own records. The ledger is common because it is the system-level record connecting them.
The differentiating feature is not merely that Deposit Coin uses a common ledger. It is what the ledger records.
Token supply → Token ownership → Represented bank-deposit interests across multiple banks
One system-level record connects token supply, token ownership and represented deposit interests across participating banks. No deposit moves between banks when tokens transfer.
ReconciledEvery mint, transfer and burn carries a reference, a timestamp and the parties, in sequence.
Authorized participants, auditors and supervisors can review the record under the applicable arrangements. It supports participants' books and records; it does not replace them.