Settlement Layer
General-purpose chains enforce compliance at L4–L5 (bolted on). Stablechains enforce at L2–L3 (embedded). This page visualizes the difference.
Regulatory Architecture
Settlement chain architecture determines how deep compliance logic can be embedded into the consensus and settlement layers. Ethereum and TRON rely on optional middleware — compliance checks are bolted onto the application layer (L4–L5), executed conditionally, and enforced only if the transaction originates from a compliant gateway. Failure to comply incurs no consensus penalty.
Arc, Tempo, and Pharos are purpose-built stablechains. Compliance is encoded into the settlement layer itself (L2–L3). Every transaction must satisfy compliance predicates before consensus accepts it. Violators cannot settle at all — compliance is not optional, not deferrable, and not a post-hoc audit.
ACK-Pay is transport-agnostic and works on any settlement layer. However, the compliance *depth* — the OSI layer at which compliance enforcement occurs — varies dramatically by chain. Arc is Catena's settlement layer of choice because it encodes compliance at L2–L3, aligned with GENIUS Act requirements for "embedded" compliance in financial infrastructure.
Interactive Demo
Select any two chains and see side-by-side Stack Diagrams with compliance depth comparison. Purpose-built chains push compliance deeper into the architecture.
Compliance Depth
Measures how deeply compliance mechanisms are embedded in the chain's architecture. Higher scores indicate mechanisms woven into core consensus and validation rather than bolted-on at the edges.
Layer Stack
Each layer represents a different level of the chain, from base consensus (L1) through data availability (L2) to application rules (L5). Stability enforced at lower layers is more robust.
Enforcement Ratio
The proportion of stack layers that actively enforce compliance rules. Higher ratios mean stability mechanisms permeate the entire architecture.
Arc Network
Circle's Arc supports confidential transfers via TEE-shielded amounts. Regulatory view keys let auditors selectively disclose transaction details while keeping them encrypted for everyone else. This directly supports Catena's vision of privacy-preserving compliance.
Interoperability
ACK-Pay transactions can bridge between x402 (Base/HTTP) and MPP (Tempo), maintaining compliance metadata across settlement layers.
| Chain | Type | Compliance Depth | Confidential Transfers | Regulatory Keys |
|---|---|---|---|---|
| Arc | Stablechain | L2–L3 | Yes (TEE-shielded) | Yes (Selective Disclosure) |
| Tempo | Stablechain | L2–L3 | Yes | Yes |
| Base | L2 Rollup | L4–L5 | No | No |
| Ethereum | L1 General-Purpose | L4–L5 | No | No |
| TRON | L1 General-Purpose | L5 Only | No | No |