diff --git a/specs/001-market-first-wedge/contracts/apply-adapter.md b/specs/001-market-first-wedge/contracts/apply-adapter.md
new file mode 100644
index 0000000..9670949
--- /dev/null
+++ b/specs/001-market-first-wedge/contracts/apply-adapter.md
@@ -0,0 +1,43 @@
+# Contract: Apply Adapter (v1, frozen) — the fedlearn integration seam
+
+The ONLY interface through which anything installs a Solution bundle onto a machine.
+Freezing this seam is what lets the wedge ship before the fedlearn rails land (research.md
+R5) and swap them in later without touching CLI or Store.
+
+## Protocol (Python, `cli/src/m2_market/apply/base.py`)
+
+```python
+class ApplyAdapter(Protocol):
+    name: str                                    # "local" | "m2core-sync"
+    def plan(self, bundle: Path, state: InstallState) -> Changeset: ...
+    def apply(self, changeset: Changeset) -> ApplyResult: ...      # idempotent
+    def verify(self, bundle: Path, state: InstallState) -> bool: ...
+    def rollback(self, changeset: Changeset) -> None: ...          # reversible (constitution VI)
+```
+
+- `Changeset`: declarative list of file placements / config merges / post-install checks
+  derived from the bundle's `recipe.yaml`, plus a `changeset_hash` recorded in
+  InstallState.
+- `apply` MUST be idempotent (re-apply of an applied changeset = no-op success) and MUST
+  NOT require elevated fleet-wide operations (canary principle).
+- `rollback` restores pre-apply state from the changeset's recorded backups.
+
+## v1 implementations
+
+### `local` (ships in this wedge)
+Applies `payload/` into the operator's agent-home per `recipe.yaml` targets
+(skills, prompts, configs, scripts), runs recipe post-install checks, records
+InstallState. Works identically inside primus and agent-latest desktops (targets are
+volume paths, not image paths) — satisfying "runtime-sync is the only universal path" in
+spirit until the real one exists.
+
+### `m2core-sync` (stub in this wedge)
+Raises `RailsNotLanded` (CLI exit 6) with pointer to this contract. When fedlearn's
+`m2-core-sync`/`m2-core pull --apply` lands, this adapter shells to it and merges its
+state.json with InstallState. Acceptance for the swap (row 10 of plan sequencing): all
+quickstart.md scenarios pass with `adapter = m2core-sync` unchanged.
+
+## Selection
+
+`config.toml: apply_adapter = "local"` (default in v1). Per-install override
+`--adapter` for testing. The Store never selects an adapter — it inherits the CLI's.
diff --git a/specs/001-market-first-wedge/contracts/catalog-index.md b/specs/001-market-first-wedge/contracts/catalog-index.md
new file mode 100644
index 0000000..1efc61f
--- /dev/null
+++ b/specs/001-market-first-wedge/contracts/catalog-index.md
@@ -0,0 +1,41 @@
+# Contract: market:catalog partition (memory-api) (v1)
+
+The semantic index over published listings. Derived data only — rebuildable from
+`m2/market-registry` at any time.
+
+## Partition
+
+- Namespace: `market:catalog` (memory-api partition, same mechanism as
+  `fedlearn:core-index` design).
+- Document = one published listing: embedded text = `name + summary + keywords + intent +
+  evidence_summary` (BGE-M3 hybrid dense+sparse); payload = full `listing.json` +
+  `tenant_visibility`.
+- Endpoint: the stack behind `memory.machinemachine.ai` (split-brain caveat: research.md R4
+  — pinned until fedlearn T13 resolves; recovery = reindex).
+
+## Writers
+
+ONLY `m2-market-indexer`:
+- `watch` — on registry merge (webhook or poll ≤5 min), upsert changed listings, remove
+  delisted.
+- `reindex` — drop partition, rebuild from registry `main` (constitution II gate; must
+  complete < 5 min at wedge scale).
+
+## Readers
+
+- CLI `m2-market search` → memory-api semantic query, **server-side filter**
+  `tenant_visibility ⊇ {caller tenant | "*"}` (FR-007; Scout edge case "impossible by
+  construction").
+- M2 Store front page/search → same query path (via CLI or direct HTTP with desktop creds).
+- Scout matcher → same query path, additionally thresholded by confidence.
+
+## Query contract (via memory-api HTTP)
+
+Request: `{query_text, partition: "market:catalog", tenant, limit}` →
+Response items: `{listing_id, score, listing: <payload>}` ordered by hybrid score.
+
+## Telemetry write-back (FR-012, FR-014)
+
+Install + proposal events land as memory records in `market:evidence` partition keyed by
+listing_id; a periodic indexer pass folds counts into `stats` in the registry (PR-less
+stats commit or scheduled batch PR — implementation's choice, registry remains truth).
diff --git a/specs/001-market-first-wedge/contracts/cli.md b/specs/001-market-first-wedge/contracts/cli.md
new file mode 100644
index 0000000..7b93bc1
--- /dev/null
+++ b/specs/001-market-first-wedge/contracts/cli.md
@@ -0,0 +1,44 @@
+# Contract: m2-market CLI (v1)
+
+Python (uv) package `m2-market`; installed on desktops + host. Config
+`~/.m2-market/config.toml`: `operator_id`, `ledger_url` + key, `memory_api_url` + key,
+`forgejo_url` + token, `tenant`. State: `~/.m2-market/state.json` (data-model.md
+InstallState). All commands support `--json` for machine consumption (the Store shells
+these).
+
+## Commands
+
+### `m2-market search <query> [--type solution] [--limit N]`
+Semantic catalog query (contracts/catalog-index.md), tenant-filtered.
+Output: table (or JSON): listing_id, name, summary, price, installs, rating.
+
+### `m2-market show <listing_id>`
+Full listing detail: evidence summary, price, permissions diff (from solution.permissions
+vs current state), seller, version, install_ref.
+
+### `m2-market install <listing_id> [--yes]`
+The FR-005 sequence, in order:
+1. Resolve listing from catalog; confirm price + permissions diff (interactive unless
+   `--yes`).
+2. `POST /tx/install` to ledger (ref = `listing_id:machine:uuid`) → grant. On 402: exit 3
+   "insufficient funds", nothing applied (Story 1 AC-2).
+3. Fetch bundle release from registry; verify `content_hash`.
+4. `AdapterProtocol.plan → apply → verify` (contracts/apply-adapter.md). On apply/verify
+   failure: `POST /tx/refund {ref}`, exit 4 with remediation text (Story 4 AC-3 semantics).
+5. Record InstallState; print entrypoint invocation hint (Story 1 AC-4).
+Re-run with existing grant + applied state → idempotent no-op, exit 0 (Story 1 AC-3).
+
+### `m2-market wallet [--operator X]`
+Balance + recent tx from ledger.
+
+### `m2-market publish <bundle-dir>` (builder-side, v1 minimal)
+Validate against schemas → push branch + open listing PR on the registry (Story 2 step 1–2).
+Does NOT merge; humans/veto do.
+
+### `m2-market reindex` (admin)
+Invokes indexer full rebuild (constitution II operational check).
+
+## Exit codes
+
+0 ok/no-op · 1 usage · 2 not found · 3 insufficient funds · 4 apply failed (refunded) ·
+5 validation/firewall rejection · 6 rails-not-landed (m2core_sync stub invoked)
diff --git a/specs/001-market-first-wedge/contracts/ledger-api.md b/specs/001-market-first-wedge/contracts/ledger-api.md
new file mode 100644
index 0000000..081c473
--- /dev/null
+++ b/specs/001-market-first-wedge/contracts/ledger-api.md
@@ -0,0 +1,47 @@
+# Contract: m2-ledger HTTP API (v1, frozen)
+
+Base: `http://m2-ledger:8000` (coolify network alias) / public via Traefik later if needed.
+Auth: `X-API-Key` header. Two key classes: `service` (CLI/Store/indexer) and `admin`
+(grants, snapshots). All bodies JSON. Amounts are integer credits.
+
+## Endpoints
+
+### `GET /health`
+→ `200 {"status":"healthy"}`
+
+### `GET /balance/{operator_id}`  (service)
+→ `200 {"operator_id","balance","as_of"}` — balance derived from tx log.
+
+### `POST /tx/install`  (service) — the FR-005 money move
+Body: `{"buyer","seller","amount","platform_pct"?,"ref"}` (`ref` = listing_id + install id)
+Semantics: single SQLite transaction — verify `balance(buyer) ≥ amount`, insert
+buyer→seller net row + buyer→platform cut row, insert license grant, return grant.
+→ `200 {"tx_ids":[..],"grant":{"grant_id","listing_id","operator_id",...}}`
+→ `402 {"error":"insufficient_funds","balance"}` — nothing written.
+→ `409 {"error":"duplicate_ref"}` — same `ref` already settled (idempotency guard).
+
+### `POST /tx/refund`  (service)
+Body: `{"ref"}` → compensating refund rows for that install ref (edge case + FR-005).
+→ `200 {"tx_ids":[..]}`; `404` unknown ref; `409` already refunded.
+
+### `POST /grant/starter`  (admin)
+Body: `{"operator_id","amount"?}` (default from config, 100 cr UNCONFIRMED) → mint→operator
+`grant` row. → `200 {"tx_id","balance"}`
+
+### `GET /tx?operator_id=&reason=&since=`  (service)
+→ `200 {"transactions":[...]}` append-only log view, paginated.
+
+### `POST /snapshot`  (admin, also daily cron)
+Dumps all balances → commits `audit/YYYY-MM-DD.json` to `m2/market-registry` (Forgejo API,
+token from env). → `200 {"path","commit"}`
+
+### `GET /license/{operator_id}/{listing_id}`  (service)
+→ `200 {"grant":...}` or `404` — the apply path's pre-check.
+
+## Invariants (testable)
+
+1. No endpoint UPDATEs/DELETEs tx rows.
+2. `balance == fold(tx log)` for every operator after any call sequence (SC-004).
+3. Every grant has a non-null paying tx (SC-003).
+4. `/tx/install` is all-or-nothing and idempotent by `ref`.
+5. Config (not code): `platform_pct` default 0.10, `starter_grant` default 100.
diff --git a/specs/001-market-first-wedge/contracts/registry-layout.md b/specs/001-market-first-wedge/contracts/registry-layout.md
new file mode 100644
index 0000000..5a60e7a
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+++ b/specs/001-market-first-wedge/contracts/registry-layout.md
@@ -0,0 +1,45 @@
+# Contract: m2/market-registry repo layout + PR/veto protocol (v1, frozen)
+
+Registry of record on Forgejo (`git.machinemachine.ai/m2/market-registry`). Truth for
+listings and audit; everything downstream (catalog, store, CLI) is derived and rebuildable.
+
+## Layout
+
+```
+listings/<listing_id>/
+├── listing.json          # conforms to schemas/listing.schema.json
+├── solution.json         # conforms to schemas/solution.schema.json (current version)
+└── evidence/             # provenance files referenced by solution.evidence[]
+audit/
+└── YYYY-MM-DD.json       # daily ledger balance snapshots (ledger-api /snapshot)
+schemas/ -> mirrored copy of frozen v1 schemas (CI validates listings against them)
+```
+
+Solution bundles (tarballs: `solution.json` + `payload/` + `recipe.yaml`) attach as
+**repo releases** tagged `<listing_id>-v<semver>`; `listing.json.install_ref` names the tag.
+
+## Publish protocol (Story 2)
+
+1. Builder branch `listing/<listing_id>` adds/updates `listings/<listing_id>/`.
+2. PR opened with template: evidence summary, price, permissions diff, rollback note.
+   Status: `in_review`.
+3. CI validation on PR (schema-validate, evidence non-empty, tenant-firewall rules,
+   content_hash matches release asset) — hard-fails before human review (FR-015, spec
+   Story 2 AC-2).
+4. Human review window; label `veto` → close (back to draft). Label `approved` + merge →
+   `published`. (Same veto semantics the fedlearn pipeline uses; when fedlearn's curation
+   `commercialize` disposition lands, it opens THIS PR shape — that is the integration seam.)
+5. Merge webhook (or indexer poll) triggers catalog index (contracts/catalog-index.md).
+
+## Delist protocol
+
+Commit setting `listing.json.status = "delisted"` (PR, lighter review). Licenses and
+installed bundles remain valid; catalog entry removed on next index; release assets kept.
+
+## Rules
+
+- No secrets anywhere in the repo (constitution VI); evidence is scrubbed before commit.
+- Registry wins over index on divergence; `m2-market-indexer reindex` rebuilds the
+  partition from `main` (constitution II).
+- Tenant-derived listings require `owner_initiated` + double-scrub attestations in the PR
+  body; CI rejects `tenant_scope` violations mechanically.
diff --git a/specs/001-market-first-wedge/data-model.md b/specs/001-market-first-wedge/data-model.md
new file mode 100644
index 0000000..d3864a4
--- /dev/null
+++ b/specs/001-market-first-wedge/data-model.md
@@ -0,0 +1,112 @@
+# Data Model — 001-market-first-wedge (Phase 1)
+
+Entities from spec.md §Key Entities, concretized. Schemas frozen in `schemas/` are the
+normative source; this file is the narrative view.
+
+## Solution (`schemas/solution.schema.json`, v1 frozen)
+
+The installable bundle. Manifest-core fields kept field-compatible with the fedlearn
+submission/manifest design (coordination item R3).
+
+| Field | Type | Notes |
+|---|---|---|
+| `schema_version` | const `m2.solution.v1` | frozen |
+| `solution_id` | string `sol_<slug>` | unique across registry |
+| `name`, `summary`, `description` | string | presentation |
+| `intent` | string | what outcome this delivers |
+| `behavior` | object | prompts / skills / playbooks refs (paths in payload) |
+| `tools` | array | MCP/API/connector requirements |
+| `runtime` | object | required surfaces: hermes / desktop / browser / openclaw |
+| `memory_schema` | object? | partitions/keys the solution reads/writes |
+| `permissions` | array | declarative permission requests (shown as diff pre-install) |
+| `deployment` | object | `recipe.yaml` ref + entrypoint + verify command |
+| `applicability` | object | `image_classes[]`, `roles[]`, `tool_requirements[]` (fedlearn-compatible) |
+| `tenant_scope` | string | `m2-core` (shared) or tenant id; drives firewall checks |
+| `evidence` | array | provenance refs: `{source, excerpt?, machine?, session?, tokens?, wall_time?}` — ≥1 REQUIRED |
+| `content_hash` | string sha256 | bundle integrity |
+| `price` | object | `{amount: int>0, currency: "m2cr", model: "fixed"}` — `model` enum extensible (job/metered later, headroom per operator steer) |
+| `seller` | string operator_id | |
+| `license` | object | `{terms: string, major_version_coverage: true}` |
+| `revenue_split` | object | `{platform_pct: number}` (default from ledger config) |
+
+**Validation**: evidence non-empty; price.amount ≥ 1; tenant_scope=tenant-id requires
+`owner_initiated: true` + `scrub_status.double_scrubbed: true`; content_hash matches bundle.
+
+## Listing (`schemas/listing.schema.json`, v1 frozen)
+
+Catalog-facing record; truth in `m2/market-registry`, derived copy in `market:catalog`.
+
+| Field | Type | Notes |
+|---|---|---|
+| `schema_version` | const `m2.listing.v1` | |
+| `listing_id` | string `lst_<slug>` | |
+| `solution_id` + `solution_version` | refs | what's being sold |
+| `inventory_type` | enum `solution|capability|resource|service` | only `solution` transacted in v1 |
+| `name`, `summary`, `category`, `keywords[]`, `icon?` | | cargstore-catalog compatible |
+| `price` | object | denormalized from solution at listing time |
+| `seller` | operator_id | |
+| `evidence_summary` | string | rendered from solution evidence |
+| `tenant_visibility` | array | tenant ids or `["*"]`; catalog queries filter on this |
+| `stats` | object | `{installs: int, rating: number?, proposals_shown: int, proposals_accepted: int}` — conversion signals (FR-012), updated by telemetry, start zeroed |
+| `status` | enum `draft|in_review|published|delisted` | delisted keeps licenses valid |
+| `install_ref` | string | registry release tag `<listing_id>-v<semver>` |
+
+**State transitions**: `draft → in_review` (PR opened) `→ published` (PR merged, no veto
+label) `→ delisted` (delist commit; grants unaffected). Veto label on PR → back to `draft`.
+
+## Transaction (m2-ledger, SQLite `tx` table — append-only)
+
+| Column | Type | Notes |
+|---|---|---|
+| `id` | integer PK autoincrement | |
+| `ts` | text ISO-8601 UTC | set by service |
+| `from_id` | text | operator_id or `platform` or `mint` |
+| `to_id` | text | operator_id or `platform` |
+| `amount` | integer > 0 | whole credits in v1 |
+| `reason` | enum `install|payout|grant|route|earn|refund` | `refund` added for FR-005 compensation |
+| `ref` | text | listing_id / grant note / install id |
+
+**Invariants**: rows never UPDATEd or DELETEd; `balance(op) = Σ to_id=op − Σ from_id=op`;
+service refuses tx that would take a non-`mint` balance negative. An install produces 2–3
+rows atomically (one SQLite transaction): buyer→seller (net), buyer→platform (cut), and on
+apply-failure a compensating seller/platform→buyer `refund` pair referencing the same
+install id.
+
+## LicenseGrant (m2-ledger, `grant` table)
+
+| Column | Type | Notes |
+|---|---|---|
+| `grant_id` | text `gr_<uuid>` | |
+| `operator_id` | text | buyer |
+| `listing_id` | text | |
+| `solution_version_major` | int | license covers this major (edge case: updates free within major) |
+| `tx_id` | int FK → tx | the debit that paid for it; NOT NULL (no grant without payment — SC-003) |
+| `ts` | text | |
+
+## Wallet (derived — no table)
+
+Balance is always computed from `tx`. A `balance_cache` may exist for performance but is
+rebuildable and never authoritative (constitution V). Daily snapshot = full balances dump
+committed to `m2/market-registry:audit/YYYY-MM-DD.json`.
+
+## Operator
+
+Provisioned mapping, not a service: `operator_id` from fleet.json tenancy; CLI config
+(`~/.m2-market/config.toml`) carries `operator_id` + API keys per machine. Ledger admin
+endpoint issues starter grants against any operator_id.
+
+## Proposal (Scout v0 — local JSONL + telemetry event)
+
+| Field | Notes |
+|---|---|
+| `proposal_id`, `ts`, `desktop`, `listing_id`, `confidence` | |
+| `outcome` | `shown|dismissed|accepted|suppressed_rate|suppressed_optout` |
+
+Outcomes are appended locally and shipped (summarized, on-box) to memory as listing
+evidence; `stats.proposals_*` on the listing updated via the indexer telemetry path.
+
+## InstallState (per machine, `~/.m2-market/state.json`)
+
+Mirrors fedlearn state.json design: `{installs: {listing_id: {version, grant_id, ts,
+changeset_hash, status: applied|failed|rolled_back}}}` — the idempotency + re-apply guard
+for the local adapter, and the file m2core_sync will merge into when fedlearn lands.
diff --git a/specs/001-market-first-wedge/plan.md b/specs/001-market-first-wedge/plan.md
new file mode 100644
index 0000000..b44d85f
--- /dev/null
+++ b/specs/001-market-first-wedge/plan.md
@@ -0,0 +1,170 @@
+# Implementation Plan: M2 Marketplace — First Wedge
+
+**Branch**: `001-market-first-wedge` | **Date**: 2026-07-02 | **Spec**: [spec.md](./spec.md)
+
+**Input**: Feature specification from `/specs/001-market-first-wedge/spec.md`
+
+## Summary
+
+Close the commercial loop once: schemas (frozen v1 contract) → `m2-ledger` (append-only
+credits, FastAPI+SQLite Coolify app) → listings registry on Forgejo (`m2/market-registry`,
+PR+veto review) → semantic catalog (`market:catalog` Qdrant partition on the existing
+memory-api) → `m2-market` CLI (`search|show|install`, install = debit→grant→apply) → 3 seeded
+Solutions → M2 Store (cargstore revival, canaries) → Scout v0 (one canary, after an
+exploration spike). **Critical sequencing constraint (verified 2026-07-02): the fedlearn
+rails are NOT landed** — no `m2/m2-core` repo, no capture/curator CLIs. Therefore every
+component in this wedge is built rail-independent against frozen interfaces; the two
+fedlearn touchpoints (sync/apply install backend, `commercialize` curation disposition) are
+isolated behind adapters and integrate when fedlearn lands.
+
+## Technical Context
+
+**Language/Version**: Python 3.12 (ledger, CLI, indexer — uv-managed); TypeScript/React +
+Electron (M2 Store, inherited from cargstore)
+
+**Primary Dependencies**: FastAPI + uvicorn (ledger), httpx + click (CLI), memory-api HTTP
+API (catalog, existing), Forgejo REST API (registry), cargstore codebase (store)
+
+**Storage**: SQLite (ledger, WAL mode, single-writer service); Forgejo repo
+`m2/market-registry` (registry of record + daily ledger snapshots); Qdrant partition
+`market:catalog` via memory-api (derived index only)
+
+**Testing**: pytest (ledger unit + contract, CLI integration against a local ledger +
+mocked Forgejo/memory-api); scripted end-to-end on canary per quickstart.md
+
+**Target Platform**: m2 host via Coolify (`coolify` docker network) for services; m2o
+desktops (primus + agent-latest) for CLI/Store/Scout
+
+**Project Type**: multi-component monorepo (this repo) + one evolved external repo
+(cargstore → M2 Store)
+
+**Performance Goals**: internal-fleet scale — tens of operators, hundreds of installs;
+ledger correctness ≫ throughput; catalog search < 2s
+
+**Constraints**: append-only ledger, balances always derived; no secrets in repos (keys at
+runtime); tenant firewall enforced at submission and at catalog query; canary-first
+(chris-m2o, gunnar-m2o); idempotent + reversible applies; fedlearn rails absent → adapters +
+frozen interfaces (no blocking dependency)
+
+**Scale/Scope**: 6 components, ~5 new Python packages/services + 1 Electron app revival;
+3 seeded Solutions; 2 canary desktops
+
+## Constitution Check
+
+*GATE: evaluated against Constitution v1.0.0 before Phase 0; re-checked after Phase 1.*
+
+| Principle | Check | Status |
+|---|---|---|
+| I. Assembly over greenfield | Catalog = memory-api partition; store = cargstore evolution; registry = Forgejo; identity = fleet.json operators; the ONLY new service is m2-ledger (sanctioned) | ✅ |
+| II. Protocol + registry, not one app | Truth in `m2/market-registry` (PRs/labels); `market:catalog` rebuildable via `m2-market-indexer reindex`; CLI/Store/Scout are surfaces | ✅ |
+| III. Evidence-backed listings | `listing.schema.json` requires `evidence[]` + provenance; validation rejects before human review; conversion signals fields present from v1 | ✅ |
+| IV. Tenant firewall | `tenant_scope` on solutions; catalog queries tenant-filtered server-side; submission validator enforces owner-initiated for tenant-derived work | ✅ |
+| V. Ledger integrity | Append-only tx table, derived balances, X-API-Key, daily snapshot committed to registry repo, debit-before-apply with compensating refund | ✅ |
+| VI. Canary-first, reversible | Store + Scout on chris/gunnar only; installs idempotent via apply adapter contract; ledger is a Coolify app | ✅ |
+| VII. Simplicity, sequenced wedges | SQLite, fixed pricing, manual payouts; Scout last; deferred items listed in spec; fedlearn integration deferred behind adapters instead of half-built | ✅ |
+
+**Deviation from CONCEPT.md §3 asset map (justified)**: CONCEPT assumed the fedlearn
+`m2-core-manifest` + `m2/m2-core` repo as the package/registry substrate. Verified absent.
+Rather than block the wedge or fork fedlearn's job, this plan (a) freezes
+`solution.schema.json` v1 in THIS repo as the contract fedlearn's manifest must be
+superset-compatible with (coordination note in research.md), and (b) uses a dedicated
+`m2/market-registry` repo — which was the right registry-of-record shape anyway, since
+listings are commercial artifacts, not core commons. Post-design re-check: ✅ no violations.
+
+## Project Structure
+
+### Documentation (this feature)
+
+```text
+specs/001-market-first-wedge/
+├── plan.md              # This file
+├── research.md          # Phase 0 output
+├── data-model.md        # Phase 1 output
+├── quickstart.md        # Phase 1 output
+├── contracts/           # Phase 1 output
+│   ├── ledger-api.md    # m2-ledger HTTP contract
+│   ├── registry-layout.md # m2/market-registry repo layout + PR/veto protocol
+│   ├── catalog-index.md # market:catalog partition contract (memory-api)
+│   ├── cli.md           # m2-market CLI command contract
+│   └── apply-adapter.md # install/apply adapter interface (fedlearn integration seam)
+└── tasks.md             # Phase 2 output (/speckit-tasks — NOT created by plan)
+```
+
+### Source Code (repository root)
+
+```text
+schemas/                     # frozen v1 JSON Schemas (the contract)
+├── solution.schema.json
+└── listing.schema.json
+
+ledger/                      # m2-ledger service (FastAPI + SQLite)
+├── src/m2_ledger/
+│   ├── api.py               # routes: tx, balance, grant, install-debit
+│   ├── models.py            # tx record, derived-balance queries
+│   ├── snapshot.py          # daily balance snapshot → registry repo commit
+│   └── auth.py              # X-API-Key
+├── tests/
+├── Dockerfile               # Coolify app, coolify network
+└── pyproject.toml
+
+cli/                         # m2-market CLI (uv package)
+├── src/m2_market/
+│   ├── cli.py               # search | show | install | wallet
+│   ├── catalog.py           # memory-api client (market:catalog)
+│   ├── registry.py          # Forgejo client (listings, bundles, releases)
+│   ├── ledger.py            # m2-ledger client
+│   └── apply/               # apply-adapter implementations
+│       ├── base.py          # AdapterProtocol (frozen interface, see contracts/)
+│       ├── local.py         # v1: local bundle apply (files + recipe), idempotent
+│       └── m2core_sync.py   # stub → real when fedlearn lands
+├── tests/
+└── pyproject.toml
+
+indexer/                     # registry → market:catalog sync (small, cron/webhook)
+├── src/m2_market_indexer/
+│   ├── reindex.py           # full rebuild (constitution II)
+│   └── watch.py             # incremental on merge
+└── pyproject.toml
+
+solutions/                   # seeded Solution bundles (sources for the 3 listings)
+├── mm-pdf-report/
+├── agent-scaffold/
+└── competitor-scan/
+
+scout/                       # Scout v0 (AFTER exploration spike; canary-only)
+└── SPIKE.md                 # spike findings → host decision (operator: "explore")
+
+store/                       # NOT here — cargstore fork evolves in its own repo
+└── README.md                # pointer + integration contract references
+```
+
+**Structure Decision**: single monorepo (this repo) for schemas/ledger/CLI/indexer/solutions
+— they version together against the frozen schemas. The M2 Store stays in the cargstore
+repo (github.com/machine-machine/cargstore, branch `m2-store`) because it is an evolution of
+a living codebase (constitution I); it consumes the same public contracts (`contracts/`).
+`m2/market-registry` on Forgejo is data, not code — created by a task, not a directory here.
+
+## Component Plan & Sequencing (rail-independence explicit)
+
+| # | Component | Depends on | fedlearn coupling |
+|---|---|---|---|
+| 1 | `schemas/` v1 frozen | — | NONE now; coordination note → fedlearn manifest superset-compat |
+| 2 | `m2/market-registry` repo + PR/veto protocol | Forgejo (live) | replaces curation-pipeline dependency; `commercialize` disposition plugs in later |
+| 3 | `m2-ledger` service + wallets + grants | Coolify (live) | NONE |
+| 4 | `market:catalog` partition + indexer | memory-api (live), #2 | NONE |
+| 5 | `m2-market` CLI (search/show/install) | #1–#4 | apply via AdapterProtocol; v1 `local` adapter, `m2core_sync` stub |
+| 6 | Seed 3 Solutions + listings | #1, #2, #5 | NONE (manual packaging from proven outcomes) |
+| 7 | **GATE: SC-001 paid install** (CLI path) | #1–#6 | NONE |
+| 8 | M2 Store (cargstore → `m2-store` branch), canaries | #4, #5 contracts | NONE |
+| 9 | Scout spike → Scout v0, one canary | #4; herdr run summaries (live) | NONE |
+| 10 | fedlearn integration pass | fedlearn lands | swap `m2core_sync` adapter real; wire `commercialize` disposition → registry PR |
+
+Row 7 is the wedge's success criterion and does not wait for rows 8–10.
+
+## Complexity Tracking
+
+> Constitution Check passed — one recorded deviation (registry substrate), justified above.
+
+| Violation | Why Needed | Simpler Alternative Rejected Because |
+|-----------|------------|-------------------------------------|
+| New repo `m2/market-registry` instead of fedlearn `m2/m2-core` | m2-core does not exist yet; listings are commercial artifacts, not core commons | Waiting for fedlearn blocks the whole wedge on an unlanded dependency; writing into m2-core would entangle free-core and paid-market boundaries (constitution IV) |
diff --git a/specs/001-market-first-wedge/quickstart.md b/specs/001-market-first-wedge/quickstart.md
new file mode 100644
index 0000000..5aac56c
--- /dev/null
+++ b/specs/001-market-first-wedge/quickstart.md
@@ -0,0 +1,81 @@
+# Quickstart — validate 001-market-first-wedge end-to-end
+
+Runnable validation scenarios proving the wedge works. These are the converge-stage gates;
+SC references map to spec.md Success Criteria.
+
+## Prerequisites
+
+- m2-ledger deployed on Coolify (`GET /health` → healthy), admin + service keys in env.
+- `m2/market-registry` exists on Forgejo with schemas mirrored and CI validation active.
+- memory-api reachable; `market:catalog` partition created.
+- `m2-market` CLI installed on two machines mapped to two DIFFERENT operator_ids
+  (e.g. m2bd and sdjs-operator); `apply_adapter = "local"`.
+- ≥1 Solution bundle packaged from `solutions/` and listed (published) with real evidence.
+
+## Scenario A — publish with evidence (Story 2, SC-002)
+
+```bash
+m2-market publish solutions/mm-pdf-report        # opens listing PR
+# expect: PR with evidence/price/permissions/rollback template; CI green
+# reviewer merges (no veto label)
+m2-market search "branded pdf report"            # expect: listing returned with price
+```
+Negative: strip `evidence[]` from a copy → `m2-market publish` exits 5 (or CI hard-fails).
+
+## Scenario B — funded install, the money move (Story 1, SC-001/003/005)
+
+```bash
+# seller: sdjs-operator (listing owner) · buyer: m2bd
+curl -X POST $LEDGER/grant/starter -H "X-API-Key: $ADMIN" -d '{"operator_id":"m2bd"}'
+m2-market wallet                                  # expect: 100 cr
+time m2-market install lst_mm_pdf_report --yes    # expect: exit 0, entrypoint hint printed
+m2-market wallet                                  # expect: 100 - price
+curl $LEDGER/balance/sdjs-operator                # expect: +price*0.9
+curl $LEDGER/balance/platform                     # expect: +price*0.1
+curl $LEDGER/license/m2bd/lst_mm_pdf_report       # expect: 200 grant
+# invoke the installed solution's documented entrypoint → produces its outcome (AC-4)
+```
+`time` for the whole discover→install path < 10 min (SC-005).
+
+## Scenario C — refusal, idempotency, refund (Story 1 AC-2/3, Story 4 AC-3)
+
+```bash
+# fresh operator, no grant:
+m2-market install lst_mm_pdf_report --yes         # expect: exit 3, no tx, no grant, no files
+# re-run a completed install:
+m2-market install lst_mm_pdf_report --yes         # expect: exit 0 no-op, no second debit
+# force an apply failure (recipe check that fails on this machine):
+m2-market install lst_broken_fixture --yes        # expect: exit 4, refund rows present:
+curl "$LEDGER/tx?reason=refund"                   # expect: compensating pair for that ref
+```
+
+## Scenario D — ledger audit properties (SC-003/004)
+
+```bash
+curl -X POST $LEDGER/snapshot -H "X-API-Key: $ADMIN"
+# in m2/market-registry: audit/<today>.json committed
+pytest ledger/tests/test_properties.py            # balance==fold(log); grants all have tx
+```
+
+## Scenario E — catalog rebuildability (constitution II)
+
+```bash
+m2-market reindex                                 # drop + rebuild market:catalog
+m2-market search "branded pdf report"             # same results as before reindex
+```
+
+## Scenario F — M2 Store on canary (Story 4) [after row 8]
+
+On chris-m2o: open M2 Store → seeded listings render → install from a Solution page →
+Scenario B post-conditions hold; UI reports the result truthfully.
+
+## Scenario G — Scout v0 on canary (Story 5, SC-006) [after row 9 + spike]
+
+On the opted-in canary, run a session resembling a seeded listing's intent → one proposal
+toast with deep link; opt-out desktop shows nothing; 6th proposal of the day suppressed;
+outcomes appear in `market:evidence`.
+
+## The wedge gate
+
+SC-001 is met when Scenario B (and C's guards) pass between two real operators with a real
+listing — via CLI alone. Scenarios F/G extend the same loop to Store and Scout surfaces.
diff --git a/specs/001-market-first-wedge/research.md b/specs/001-market-first-wedge/research.md
new file mode 100644
index 0000000..e41ea32
--- /dev/null
+++ b/specs/001-market-first-wedge/research.md
@@ -0,0 +1,136 @@
+# Research — 001-market-first-wedge (Phase 0)
+
+All NEEDS CLARIFICATION items from Technical Context resolved below. Sources: CONCEPT.md
+v0.2, context/SYSTEM-MAP.md (verified 2026-07-01), live probes 2026-07-02, operator steer
+(README §open-forks edit 2026-07-02), Constitution v1.0.0.
+
+## R1. Ledger substrate
+
+- **Decision**: standalone `m2-ledger` — FastAPI + SQLite (WAL), single-writer Coolify app
+  on the `coolify` network, X-API-Key auth (same pattern as memory-api). Ledger API kept
+  strictly separable from storage (repository layer) so a future migration into extended
+  m2-gpt billing — including the operator's noted crypto-ledger direction — is a backend
+  swap, not an API break.
+- **Rationale**: operator confirmed standalone-now (README steer); m2-gpt gateway already
+  meters tokens/tenants, so the ledger *federates* (reads identity, later maybe settlement)
+  rather than duplicating; SQLite is constitution-VII-simple and one service is the only
+  sanctioned new component.
+- **Alternatives considered**: extend m2-gpt billing (rejected for v1: couples marketplace
+  release cadence to gateway deploys; revisit post-wedge per operator note);
+  Forgejo-as-ledger (rejected: git is the audit trail, not a transactional store — race
+  conditions on concurrent installs).
+
+## R2. Registry of record (fedlearn absence)
+
+- **Decision**: create Forgejo repo **`m2/market-registry`**: `listings/<listing_id>/`
+  directories (listing.json + evidence/ + bundle ref), Solution bundles attached as repo
+  releases (`<listing_id>-v<semver>`), review = PR, veto = labels (`veto`, `approved`),
+  merge = published. Daily ledger snapshots commit to `audit/` in the same repo.
+- **Rationale**: verified 2026-07-02 that `m2/m2-core` does not exist and the fedlearn herd
+  has not started (fleet busy on m2-gpt work) — blocking on it would stall the wedge.
+  Listings are commercial artifacts; a dedicated registry keeps the free-core/paid-market
+  boundary physical (constitution IV). Forgejo is live today (forgejo skill available for
+  API access).
+- **Alternatives considered**: wait for `m2/m2-core` (rejected: unlanded dependency);
+  listings inside m2-core (rejected: erodes commons boundary); one-repo-per-listing
+  (rejected for v1: heavier to administer; releases-in-one-repo suffices at this scale).
+- **Integration seam**: when fedlearn's curation pipeline lands, its `commercialize`
+  disposition emits a PR against `m2/market-registry` — the registry's PR/veto protocol is
+  the frozen interface (contracts/registry-layout.md).
+
+## R3. Schema freeze order (manifest superset problem)
+
+- **Decision**: freeze `solution.schema.json` v1 **in this repo now**, embedding the
+  manifest-shaped core fields observed in the fedlearn plan's submission example
+  (`schema_version`, `applicability{image_classes,roles,tool_requirements}`, `tenant_scope`,
+  `evidence[]`, `content_hash`, scrub status) plus commercial fields (`price`, `seller`,
+  `license`, `revenue_split`). File a coordination note to the fedlearn effort: its final
+  manifest must remain field-compatible with this core, or a v1→v2 schema migration is
+  planned at integration.
+- **Rationale**: the spec (FR-001) requires a frozen contract; fedlearn's own schema task
+  (their Task 1.1) is unexecuted, so "superset of the manifest" is only satisfiable by
+  freezing our side and coordinating. Frozen interfaces are exactly how the constitution
+  says to sequence around unlanded rails.
+- **Alternatives considered**: wait for fedlearn's freeze (rejected: unbounded wait);
+  schema-less v1 (rejected: FR-001/FR-002 are explicit).
+
+## R4. Catalog partition mechanics
+
+- **Decision**: `market:catalog` as a memory-api partition (agent_id-style namespace, same
+  BGE-M3 hybrid path as `fedlearn:core-index` was designed for). Writes go only through
+  `m2-market-indexer`, which reads merged listings from `m2/market-registry`;
+  `reindex` rebuilds the partition from scratch (constitution II rebuildability). Tenant
+  filtering applied at query time via listing `tenant_scope` payload field.
+- **Rationale**: SYSTEM-MAP confirms memory-api live with partition model; one more
+  partition is the assembly move. Known risk: the memory-api split-brain (two Coolify
+  stacks) — fedlearn task T13 was to resolve it; until then the indexer targets the stack
+  behind `memory.machinemachine.ai` and `reindex` makes recovery cheap.
+- **Alternatives considered**: separate Qdrant collection managed directly (rejected:
+  bypasses memory-api auth + embedding pipeline); SQL full-text in the ledger DB (rejected:
+  no semantic match, Scout needs embeddings).
+
+## R5. Install/apply path without m2-core-sync
+
+- **Decision**: define `AdapterProtocol` (contracts/apply-adapter.md): `plan(bundle) →
+  changeset`, `apply(changeset) → result`, `verify(bundle) → bool`, `rollback(changeset)`,
+  all idempotent. v1 ships the `local` adapter: bundle = tarball release containing
+  `solution.json` + `payload/` + `recipe.yaml` (declarative file placements + post-install
+  checks) applied into the operator's home/agent volume, with a state file
+  (`~/.m2-market/state.json`) mirroring the fedlearn state.json design. `m2core_sync`
+  adapter is a stub that errors with "fedlearn rails not landed".
+- **Rationale**: runtime-sync is the only universal path fleet-wide, but its implementation
+  (m2-core-sync) doesn't exist yet; the adapter seam lets the wedge close SC-001 with the
+  local adapter and swap in m2-core-sync without touching CLI or Store.
+- **Alternatives considered**: implement m2-core-sync ourselves (rejected: forks fedlearn's
+  in-plan work, constitution's "consume, not fork"); flatpak-style backend from cargstore
+  (rejected: desktop-app-shaped, not agent-bundle-shaped).
+
+## R6. Scout host (operator: "explore")
+
+- **Decision**: DEFERRED to a time-boxed spike (task in Phase 2; output `scout/SPIKE.md`)
+  comparing: (a) standalone supervised watcher (hermes-gateway pattern), (b) Hermes plugin,
+  (c) herdr plugin/hook. Spike evaluates: access to structured run summaries, opt-in policy
+  enforcement point, on-box summarization cost, notification surface, and update/rollout
+  story on both image classes. Scout v0 implements the spike's winner on ONE canary.
+- **Rationale**: operator explicitly marked this fork "explore"; Scout is P3/last-sequenced
+  so the spike doesn't block the wedge gate (SC-001).
+
+## R7. Store surface
+
+- **Decision**: fork-branch `m2-store` on cargstore; keep Electron+React shell, replace
+  Flatpak catalog source with `market:catalog` (via memory-api HTTP) and add an install
+  backend that shells to `m2-market install` (one code path for FR-005 semantics). Auth:
+  desktop's existing m2-gpt-issued credentials pattern (operator steer) — the store reads
+  the same key material provisioned on the desktop, never stores its own secrets.
+- **Rationale**: operator steer ("MVP electron app... credentials from m2-gpt"); reusing
+  the CLI for install guarantees ledger semantics are implemented once.
+- **Alternatives considered**: web-first (deferred per steer); re-implementing install in
+  the store's Node side (rejected: two implementations of debit→grant→apply invites drift).
+
+## R8. Identity & wallets
+
+- **Decision**: `operator_id` = the operator identity from fleet.json tenancy (e.g.
+  `m2bd`, `sdjs-operator`); wallets keyed by operator_id in m2-ledger; machine→operator
+  resolution shipped as a small mapping in the CLI config (provisioned, not guessed).
+  Starter grants issued via an admin-authenticated ledger endpoint (default 100 cr —
+  UNCONFIRMED default, flagged).
+- **Rationale**: fleet.json is the existing identity substrate (constitution I); v1 needs
+  no new auth system — API keys per service, operator mapping per machine.
+
+## R9. Testing strategy
+
+- **Decision**: pytest for ledger (property-style tests on derived balances: balance ==
+  fold(tx log) under generated tx sequences) and CLI (integration against a real local
+  ledger instance + recorded Forgejo/memory-api fixtures); a scripted quickstart
+  (quickstart.md) as the canary E2E gate; schema validation tests for all seeded bundles.
+- **Rationale**: SC-003/SC-004 are audit properties — property tests are the cheap way to
+  hold them; canary E2E is the constitution-VI rollout gate.
+
+## Open coordination items (not blockers)
+
+1. Coordination note → fedlearn effort: manifest/schema field-compat with frozen
+   `solution.schema.json` v1 core (R3).
+2. memory-api split-brain (fedlearn T13): until resolved, indexer pins the public endpoint;
+   reindex is the recovery path (R4).
+3. Operator confirmations outstanding: platform cut 10%, starter grant 100 cr (spec
+   Assumptions; ledger ships them as config, not constants).