Guild banking and Central Banks

Purpose: AI-readable reference for Structs Central Bank mechanics, token minting, collateral management, and guild token lifecycle.

Overview

Guilds operate Central Banks that mint tokens backed by Alpha Matter collateral. This creates guild-specific economies—members can transact in tokens rather than raw Alpha Matter. The system is trust-based: token value derives from collateral ratio and guild credibility. Control of a Central Bank is control of a guild’s economic engine.

Core Mechanics

Concept	Description
Collateral	Alpha Matter held in the guild bank module account; backs token value
Collateral ratio	Live `collateral / supply`. Convert and redeem both read this ratio at action time
Minting	Guild-privileged: deposits Alpha and issues tokens at a chosen amount (`guild-bank-mint`)
Convert	Open path: anyone with `PermTokenTransfer` can turn `ualpha` into an existing `uguild.{id}` at the live ratio (`guild-bank-convert`). Convert-in fee stays in that guild’s collateral. `minAmountToken` is the required slippage floor
Convert-token	Atomic token→alpha→other token (`guild-bank-convert-token`). Source guild keeps convert-out fee; target guild keeps convert-in fee
Redemption	Payout is `floor(amount * collateral / supply)` (`guild-bank-redeem`); CLI requires `min-amount-alpha`
Send restriction	`uguild.` may only go to a registered player, the structs module account, or an indexed provider pool — not IBC*, not an unregistered address (`recipient_not_eligible`)

Token Lifecycle

Phase	Action	Notes
Minting	Guild deposits Alpha; mints tokens	Privileged; ratio captured at action time
Convert in	Holder spends `ualpha` for tokens at the live ratio	Open market path; fee stays in collateral
Circulation	Tokens used for payments, agreements, internal trade	Trust in guild still determines acceptance
Convert across	`guild-bank-convert-token` redeems source then mints target	Both guilds keep their fees
Redemption	Token holders redeem for Alpha	`floor` against current collateral and supply; CLI requires `min-amount-alpha` slippage

Strategic Importance

Factor	Implication
Strong reserves	Guild can extend credit, pay mercenaries, fund operations in token
Raids on reserves	Drain Alpha Matter → weaken token backing → credibility collapse
Guild stability	Agents should evaluate collateral health when assessing guild viability
Independent operators	No token access unless trading for them; must use Alpha Matter

Guild vs. Independent Economics

Aspect	Guild (with Central Bank)	Independent
Token access	Yes	No (must trade)
Payment options	Alpha Matter or guild tokens	Alpha Matter only
Credit extension	Possible via token	No
Mercenary payment	Token or Alpha Matter	Alpha Matter only

Collateral Management

Reserve health: Monitor Alpha Matter reserves vs. token circulation.
Raid vulnerability: Alpha Matter in reserve is on-chain and not stealable; but raids on member planets can drain guild’s ability to maintain reserves if members contribute from mined ore.
Redemption pressure: Sudden redemptions can strain reserves; over-minting increases risk.

Agent Considerations

Evaluate guild stability before recommending token acceptance or guild membership.
Collateral ratio is a key metric for guild economic health.
Raids that drain guild Alpha Matter reserves weaken token backing.
Mercenary contracts may specify payment in guild tokens; verify guild credibility.

Security warning: Guild tokens are trust-based. Guilds have full control over their Central Bank. There are no technical safeguards preventing a guild from revoking tokens or mismanaging collateral. Token revocation can be used as economic warfare – but damages reputation.

No HTTP bank-balance read. Mint, redeem, and convert are chain transactions, and there is no webapp endpoint (e.g. GET /api/guild/{id}/bank) to read a guild’s bank/token balance. Read balances via chain queries (the Cosmos bank module, e.g. balances of the uguild.{guild_id} denom) or by reconstructing from the ledger — not from the webapp.

Commands: structs-guild and structs-commerce.