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The State Machine defines protocol-level constraints on how a serve_token may transition through states — exposure, click, and conversion.
It ensures each serve_token transitions in one direction only, making billing and verification deterministic. Operators implement their own state handling logic as long as these protocol guarantees are met.

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1. TL;DR

The AIP state machine defines allowed state transitions and invariants for ad lifecycle tracking, ensuring no event is double-counted or reversed. Operators implement their own detection, verification, and enforcement logic.

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2. Why it matters

In legacy ad systems, duplicate impressions, repeated clicks, or delayed conversions often lead to inaccurate billing.
AIP eliminates this by defining protocol-level state constraints — each serve token can only exist in one state at a time, with defined allowed transitions. This makes every transaction:
  • Verifiable
  • Reproducible
  • Auditable
Operators implement their own state management systems as long as they respect these protocol constraints.

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3. State diagram

Each state represents a billing condition. The protocol guarantees that once a token moves forward, it cannot regress (e.g., a converted ad cannot revert to “clicked”). Operators implement their own state detection and transition logic to enforce these constraints.

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4. State transitions

The protocol defines allowed transitions and constraints. Operators implement their own detection, verification, and enforcement logic.
FromToTriggerVerification Responsibility
PENDINGEXPOSEDcpx_exposure eventOperator (may use platform signals)
EXPOSEDCLICKEDcpc_click eventOperator (may use platform and network signals)
CLICKEDCONVERTEDcpa_conversion eventOperator (may use brand agent and network signals)
EXPOSEDFINALIZEDOperator-defined expiration or attribution windowOperator
CLICKEDFINALIZEDOperator-defined expiration or attribution windowOperator
CONVERTEDFINALIZEDOperator-defined settlement processingOperator
Any StateREFUNDEDOperator-defined refund or reversal actionOperator
AIP does not mandate specific time windows. Operators define their own expiration and attribution windows for state transitions. The protocol only guarantees that:
  • Transitions are one-directional
  • No regression once a higher state is reached
  • At most one billable terminal state per serve_token

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5. Example lifecycle

  1. Auction completes, serve_token generated → state = PENDING
  2. Operator verifies an exposure event → state = EXPOSED
  3. Operator verifies a click event → state = CLICKED
  4. Operator verifies a conversion event → state = CONVERTED
  5. Operator finalizes settlement → state = FINALIZED
Each transition is timestamped and recorded according to operator-defined ledger policies.

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6. How it prevents double billing

The protocol constrains allowed transitions:
  • Two exposures for the same token cannot both transition the state forward.
  • A click without prior exposure state is not a valid transition.
  • A conversion without a verified click state is not a valid transition.
Operators implement their own logic to detect and enforce these constraints, ensuring billing integrity and logical consistency.

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7. Ledger integration

Operators maintain ledgers that record state transitions and final states, ensuring:
  • Immutable event chains
  • Deterministic reconciliation
  • Verified payout records
The protocol guarantees that finalized states are immutable. Operators define their own ledger structure and settlement policies. 
{
  "serve_token": "stk_abcxyz123",
  "session_id": "s_001",
  "platform_id": "pf_chatapp",
  "agent_id": "ag_123",
  "auction_id": "auc_981",
  "state": "FINALIZED",
  "final_unit": "CPA",
  "final_charge": "10.00",
  "currency": "USD",
  "timestamps": {
    "auction": "2025-11-11T18:00:00Z",
    "exposure": "2025-11-11T18:00:00Z",
    "click": "2025-11-11T18:02:00Z",
    "conversion": "2025-11-11T18:30:00Z",
    "finalized": "2025-11-11T19:00:00Z"
  }
}

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8. Guarantees

The protocol guarantees:
  • State transitions are one-directional and irreversible.
  • No regression once a higher state is reached.
  • At most one billable terminal state per serve_token.
  • Finalized states are immutable and audit-safe.
Operators implement their own logic for detecting transitions, verifying events, handling expiration windows, and processing refunds or reversals.

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Summary

The AIP state machine defines protocol-level constraints that ensure a single source of truth for every ad — preventing duplicates, enforcing fairness, and keeping the ecosystem financially clean. Operators implement their own state management systems to enforce these constraints.