Developer Guide — Compliance Enforcement Flow (Phase 0 — High-Level)

Document Version: 1.0 Date: August 8, 2025 Author: CrownThrive, LLC — [email protected] Project: CHLOM™ — Compliance Hybrid Licensing & Ownership Model

1. Objective

Provide an extremely high-level, developer-oriented guide for building, implementing, and maintaining the Compliance Enforcement Flow for the Decentralized Licensing Authority (DLA) under the TLAAS protocol.

This guide focuses on:

• Modular architecture.
• Secure smart contract design.
• AI-driven compliance automation.
• DAO governance integration.

2. Developer Priorities

• Interoperability — Must integrate seamlessly with DAL, LEX, CHLOM Ledger, and Compliance AI modules.
• Scalability — Capable of handling large transaction volumes with minimal latency.
• Security — End-to-end encryption, ZK-proof privacy, and immutable records.
• Upgradeability — Smart contracts must follow proxy or modular patterns for iterative updates.

3. Architecture Overview

Core Modules:

• Compliance Trigger Engine — Detects scheduled, real-time, and manual triggers.
• Validation Layer — Performs DID/Fingerprint verification and ZK-proof validation.
• Jurisdiction Rule Mapper — Resolves applicable laws/contracts.
• Risk Scoring Engine — Uses AI to evaluate compliance risk.
• Enforcement Executor — Changes license state and logs events.
• Notification Dispatcher — Sends alerts to license holders, DAL, and DAO.

Data Flow:

Trigger Event → Validation Layer → Risk Scoring → Enforcement Executor → Ledger Logging → Notifications

4. Development Workflow

Step 1 — Smart Contract Structure

• Create base LicenseData struct.
• Define enforcement functions with role-based modifiers.

Step 2 — Compliance Integration

• Connect to Compliance AI API.
• Implement ZK-proof validation hooks.

Step 3 — Event Logging

• Push every compliance decision to CHLOM Ledger.

Step 4 — Testing

• Unit test for every possible license state.
• Simulate jurisdiction-specific rules.

5. Example High-Level Pseudocode

function enforceCompliance(string memory _licenseId) public onlyComplianceOfficer {
    LicenseData memory lic = licenses[_licenseId];
    require(lic.status == "Active", "License not active");

    bool zkVerified = verifyZKProof(lic);
    uint riskScore = getRiskScore(lic);
    
    if(!zkVerified || riskScore > riskThreshold) {
        lic.status = "Suspended";
        logToLedger(_licenseId, "Suspended");
        notifyEntities(_licenseId);
    }
}

6. Security Considerations for Developers

• Enforce RBAC on all compliance calls.
• Never store raw biometric data — only hashed values.
• Use immutable events for audit trails.
• Integrate DAO approval for high-impact enforcement actions.

7. Phase Roadmap for Development

• Phase 0 — Define architecture, data flows, and integration points.
• Phase 1 — Build base smart contracts for compliance.
• Phase 2 — Integrate AI + ZK-proof verification.
• Phase 3 — Multi-jurisdiction testing.
• Phase 4 — DAO-controlled enforcement governance.
• Phase 5 — Cross-chain compliance streaming.

Next Developer Task: Proceed to Governance Integration for Compliance (Phase 0) — build DAO hooks for enforcement oversight, voting, and escalation protocols.