> For the complete documentation index, see [llms.txt](https://docs.ur.app/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.ur.app/concepts/on-chain-ledger.md).

# On-chain ledger

Every UR transaction (deposits, withdrawals, FX conversions, card spending, transfers) is recorded on the Mantle Network. This on-chain ledger is UR's core infrastructure layer: it replaces the traditional bank ledger with a transparent, real-time, programmable record of all account activity.

## How it works

When a user performs any financial action in UR, the system executes it as an on-chain transaction:

* **Deposit**: fiat arrives via SEPA/SWIFT → UR mints the corresponding tokenized deposit (e.g., 100 EUR24) to the user's wallet
* **Withdrawal**: UR burns the tokens → fiat is sent out via SEPA/SWIFT
* **FX conversion**: burn one currency token, mint another in a single atomic transaction
* **Card spend**: burn tokens instantly at point of sale, settle with Mastercard later
* **Transfer**: move tokens between wallets on-chain

Each operation is a verifiable, immutable record on Mantle Network.

## Comparison to traditional bank ledgers

Traditional banks maintain internal databases that only they can read. Reconciliation between systems (bank, card processor, partner) takes hours or days, and discrepancies are common.

|                     | Traditional bank ledger   | UR on-chain ledger                  |
| ------------------- | ------------------------- | ----------------------------------- |
| **Visibility**      | Bank-internal only        | Public, auditable by anyone         |
| **Settlement**      | T+1 to T+3                | Instant (block confirmation)        |
| **Reconciliation**  | Manual, periodic batches  | Unnecessary; single source of truth |
| **Auditability**    | Requires bank cooperation | Read directly from chain            |
| **Programmability** | None                      | Smart contract composability        |

## Reading on-chain state

Partners can query the Mantle Network directly to:

| Action                   | What you can do                                                   |
| ------------------------ | ----------------------------------------------------------------- |
| **Verify balances**      | Read token balances for any UR wallet without calling the UR API  |
| **Monitor transactions** | Subscribe to on-chain events for real-time notifications          |
| **Build reports**        | Pull historical transaction data for compliance or reconciliation |
| **Audit**                | Independently verify that user balances match expected state      |

This works with any EVM-compatible tooling (ethers.js, viem, Foundry, block explorers).

## Why this matters

The on-chain ledger is UR's key differentiator:

| Benefit                     | Detail                                                                                                                                          |
| --------------------------- | ----------------------------------------------------------------------------------------------------------------------------------------------- |
| **No reconciliation lag**   | What the user sees, what the partner queries, and what the regulator audits is the same data, in real time                                      |
| **Partner independence**    | You don't need to trust UR's reporting; you can verify on-chain                                                                                 |
| **Composability**           | Balances are standard ERC-20 tokens. Partners can build programmable finance on top (automated sweeps, conditional payments, DeFi integrations) |
| **Regulatory transparency** | Regulators can audit the ledger directly, reducing compliance overhead for everyone in the chain                                                |


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