UNIT and the Runes layer

Understand UNIT as one component of Ducat and trace how its token state relates to Bitcoin transactions and vault debt.

Follow these 9 lessons in order, or choose the topic you need. Each lesson combines an explanation, a worked example and practice inside the Guild.

1. What UNIT represents

   UNIT is Ducat's issued asset; its token movements and its relationship to bitcoin collateral must be distinguished from the BTC locked in vault outputs.

   35 minutes · Open lesson

2. Rune identity and issuance

   Rune identifiers and issuance rules establish which on-chain token is UNIT and how compatible indexers recognize its supply events.

   45 minutes · Open lesson

3. Runestones and edicts

   Rune-compatible transaction data describes token allocations between outputs while Bitcoin consensus continues to validate only the underlying transaction.

   55 minutes · Open lesson

4. UNIT transfer semantics

   A UNIT transfer assigns token balances to transaction outputs under Rune indexing rules without by itself changing a Ducat vault's collateral or debt.

   65 minutes · Open lesson

5. Cenotaphs and invalid messages

   Malformed or deliberately unrecognized Rune messages can burn affected token balances, making parser compatibility and transaction construction safety essential.

   35 minutes · Open lesson

6. Indexer reconstruction and reorgs

   Validators and Rune-compatible indexers deterministically replay confirmed transactions and must reverse and reapply derived token state during Bitcoin reorganizations.

   45 minutes · Open lesson

7. UNIT state versus vault state

   Rune token allocations, vault UTXOs, collateral values, and debt records are related protocol views but are not one interchangeable state object.

   55 minutes · Open lesson

8. Issue and burn reconciliation

   Borrow and repay flows connect UNIT issuance or burning to vault debt transitions so validators can reconcile the token change with the collateralized action.

   65 minutes · Open lesson

9. Compatibility and failure boundaries

   Wallet construction, indexer rules, network configuration, confirmation handling, and version compatibility determine whether every participant reconstructs the same UNIT state.

   35 minutes · Open lesson