Credit clearing
Three-party novation
One protocol for payments and for clearing. If A owes B and B owes C, the obligation is rewritten so A owes C. Helix leaves the chain.
Step 1 / 5
Bilateral books
Routers accumulate debts by routing payments. Meridian owes Helix. Helix owes Atlas. Atlas already holds a smaller claim on Meridian.
Bilateral books
Meridian → Helix40 CLR
Helix → Atlas40 CLR
Meridian → Atlas10 CLR
After clearing, Helix is removed from 40 CLR of the cycle. Meridian’s remaining obligation to Atlas is 50 CLR.