AESP: A Human-Sovereign Economic Protocol for AI Agents with Privacy-Preserving Settlement
Organizations: Yeah LLC
Abstract
As AI agents increasingly perform economic tasks on behalf of humans, a fundamental tension arises between agent autonomy and human control over financial assets. We present the Agent Economic Sovereignty Protocol (AESP), a layered protocol in which agents transact autonomously at machine speed on crypto-native infrastructure while remaining cryptographically bound to human-defined governance boundaries. AESP enforces the invariant that agents are economically capable but never economically sovereign through five mechanisms: (1) a deterministic eight-check policy engine with tiered escalation; (2) human-in-the-loop review with automatic, explicit, and biometric tiers; (3) EIP-712 dual-signed commitments with escrow; (4) HKDF-based context-isolated privacy with batched consolidation; and (5) an ACE-GF-based cryptographic substrate. We formalize two testable hypotheses on security coverage and latency overhead, and specify a complete evaluation methodology with baselines and ablation design. The protocol is implemented as an open-source TypeScript SDK (208 tests, ten modules) with interoperability via MCP and A2A.
Figures & tables
| Delegation Dimension | Conceptual Requirement [ 28 ] | AESP Realization |
|---|---|---|
| Permission Handling (§4.7) | Tiered permission models with progressive trust | PolicyEngine: 8-check evaluation, 3 approval tiers (auto/review/biometric), 8 critical change types |
| Monitoring (§4.5) | Continuous monitoring and logging | ReviewManager: async review queue with priority, expiration deadlines, 6 event types, emergency freeze |
| Verifiable Completion (§4.8) | Verifiable task completion mechanisms | CommitmentBuilder: EIP-712 dual-signed commitments, 7-state lifecycle, SHA-256 commitment hashes |
| Trust & Reputation (§4.6) | Trust establishment and reputation models | Identity certificates with owner Ed25519 signatures, hierarchical delegation (depth ), DID-based identity |
| Security (§4.9) | Cryptographic security and key management | ACE-GF substrate (Section V ; WASM/C FFI/Dart FFI): Ed25519, secp256k1, X25519, ML-DSA-44, AES-256-GCM; keys never leave crypto boundary |
| Agent Communication | Standardized agent communication protocols | 8 MCP tools + A2A agent cards (implemented, tested) |
| Category | Primitive | Usage in AESP |
|---|---|---|
| Signatures | Ed25519 | Agent identity, Solana tx |
| ECDSA/secp256k1 | EVM tx, EIP-712 signing | |
| Schnorr/secp256k1 | Bitcoin Taproot tx | |
| Post-Quantum | ML-DSA-44 (FIPS 204) | Future-proof agent certs |
| Key Agreement | X25519 ECDH | E2EE negotiation msgs |
| Encryption | AES-256-GCM | Negotiation msg encryption |
| Condition | Type | Semantics |
|---|---|---|
| maxAmountPerTx | number | Max per-transaction spend |
| maxAmountPerDay | number | Rolling 24-hour limit |
| maxAmountPerWeek | number | Rolling 7-day limit |
| maxAmountPerMonth | number | Calendar-month limit |
| allowListAddresses | string[] | Permitted recipients |
| allowListChains | string[] | Permitted chains |
| Change Type | Condition | Approval |
|---|---|---|
| budget_increase | Any max* increased | biometric |
| scope_escalation | rank(new) rank(old) | biometric |
| addr_remove_all | Allowlist cleared | biometric |
| addr_add | New address added | review |
| time_window_remove | Time restriction removed | review |
| min_balance_lower | Min balance decreased | review |
| State | Name | Description |
|---|---|---|
| initial | Session created, no messages | |
| offer_sent | Initiator sent an offer | |
| offer_received | Responder received an offer | |
| countering | Active counter-offer exchange | |
| accepted | Both parties agree | |
| rejected | Negotiation terminated |
| Tier | Trigger | Required Action |
|---|---|---|
| Automatic | All policy checks pass | No human involvement |
| Review | Policy check fails | Human confirms via UI |
| Biometric | Critical policy change | Human biometric auth |
| Module | Primary Exports |
|---|---|
| types | All shared type definitions |
| crypto | Signing, encryption, hashing |
| identity | deriveAgentIdentity , certificates |
| policy | PolicyEngine , BudgetTracker |
| negotiation | NegotiationStateMachine , protocol |
| commitment | CommitmentBuilder |
| Tool | Description |
|---|---|
| yault_check_balance | Query agent account balance |
| yault_deposit | Deposit to ERC-4626 vault |
| yault_redeem | Redeem vault shares |
| yault_create_allowance | Create payment allowance |
| yault_cancel_allowance | Cancel an allowance |
| yault_file_dispute | File dispute with evidence hash |
Appendix figures & tables2 assets
Supplementary material from the paper’s appendix.
Appendix
| Constant | Value | Section |
|---|---|---|
| REV32 context namespace | ACEGF-REV32-V1-* + context labels | IV |
| Max hierarchy depth | 5 | IV |
| Policy scope ranks | 1, 2, 3, 10 | VI |
| Max negotiation rounds | 10 | VII |
| Negotiation TTL | 24 hours | VII |
| Review deadline | 30 minutes | IX |
| Export | Function |
|---|---|
| view_wallet_unified_with_context_wasm | Derive multi-chain wallet under context |
| evm_sign_typed_data_with_context | EIP-712 signing with context isolation |
| solana_sign_transaction_with_context | Solana transaction signing |
| acegf_encrypt_for_xidentity | Encrypt data for a recipient identity |
| acegf_compute_dh_key_wasm | X25519 ECDH key agreement |
| acegf_seal_passphrase_wasm | Argon2id passphrase sealing |
AI Agent Governance
AI agent governance studies how to authorize, constrain, monitor, and hold autonomous and multi-agent systems accountable.
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