// GLOSSARY -- AGENTIC FINANCE
What is a Spending Delegation Chain?
Tracks how spending authority flows from operator through intermediate agents to the final spender, ensuring delegated authority never exceeds original bounds.
WHY IT MATTERS
In multi-agent systems: operator → orchestrator → sub-agent. Each level delegates some spending authority.
Without tracking, each level interprets generously — the final agent might get more power than the operator intended.
Chain tracking ensures: authority is conserved, each level fits within its own bounds, revocation cascades downstream.
HOW POLICYLAYER USES THIS
PolicyLayer tracks delegation chains ensuring authority doesn't exceed bounds. Revoking at any level cascades automatically.
FREQUENTLY ASKED QUESTIONS
Maximum chain depth?
PolicyLayer supports arbitrary depth but recommends limiting to 3-4 levels. Deeper chains increase complexity and latency.
Can chains be visualized?
Yes — PolicyLayer's dashboard shows delegation graphs with authority amounts at each level.
What about circular delegation?
PolicyLayer detects and prevents circular delegation patterns. An agent can't delegate authority back to its own delegator.