> ## Documentation Index
> Fetch the complete documentation index at: https://tonic-ai.mintlify.site/llms.txt
> Use this file to discover all available pages before exploring further.

# Trade Execution Guide

> Execute and settle trades with policy compliance

## Overview

The Trade Execution workflow allows you to execute trades, evaluate policies, and settle payments using the x402 protocol.

## Step-by-Step Process

### 1. Access Trade Blotter

Navigate to the **Trade Blotter** tab in the main application interface.

### 2. Create Trade Execution

Click "New Trade" and enter:

* **Borrower**: Select from parties
* **Amount**: Trade amount
* **Rate**: Interest rate
* **Currency**: Trade currency
* **Trade Date**: Execution date

### 3. Policy Evaluation

The system automatically evaluates:

* Regulatory compliance (MiCA, Basel III, FATF)
* Sanctioned party checking
* Risk assessment
* Policy rules application

**Policy Decisions:**

* **ALLOW**: Trade can proceed
* **FLAG**: Trade requires review
* **BLOCK**: Trade cannot proceed

### 4. Review Results

Review policy evaluation:

* Decision and reasoning
* Applied rules
* Risk factors
* Recommendations

### 5. Execute Trade

If approved:

* Confirm trade execution
* Create CDM TradeExecution event
* Update trade blotter
* Broadcast FDC3 context

### 6. Settle Payment

For trade settlement:

* Connect MetaMask wallet
* Process payment via x402 protocol
* Verify transaction
* Complete settlement

## Policy Evaluation

### Real-Time Enforcement

Policy evaluation happens in real-time:

* Automatic rule checking
* CDM-compliant event creation
* Audit trail generation

### Decision Types

* **ALLOW**: Trade proceeds normally
* **FLAG**: Requires manual review
* **BLOCK**: Trade cannot execute

## Payment Settlement

### x402 Protocol

CreditNexus uses x402 payment protocol:

* Blockchain-based payments
* Secure transaction verification
* CDM-compliant payment events

### MetaMask Integration

1. Connect MetaMask wallet
2. Approve transaction
3. Verify payment
4. Complete settlement

## Best Practices

1. **Pre-Review**: Review policy rules before execution
2. **Verify Parties**: Ensure party information is accurate
3. **Check Limits**: Verify trade amounts within limits
4. **Monitor Flags**: Address flagged trades promptly

## Troubleshooting

**Trade blocked by policy:**

* Review policy evaluation details
* Address compliance issues
* Consult compliance team

**Payment settlement fails:**

* Check wallet connection
* Verify sufficient balance
* Review transaction details

## Next Steps

After trade execution:

* View trade in blotter
* Access payment receipts
* Export trade data
* Generate reports