Fate Chips are those happy little poker chips that you get at the beginning of each session. They come in four colours: Red, White, Blue, and Gold (or Legend) and can be spent for a variety of useful effects. Player Characters get three at the beginning of each session, and may be awarded more for entertaining roleplaying, brilliant ideas, or other things that amuse the GM and make the game better. Fate chips do not carry over from session to session, so feel free to spend them.
Fate Chips can be transferred to other PCs; this requires paying the pot a number of chips equal to the value of the chips you're transferring (white 1, red 2, Blue 3), and providing some explanation of how your PC is inspiring or aiding the other PC.
Fate Chips cannot be spent on critical failures or damage rolls.
A white chip can be spent to regain 2 lost FP, or to prevent 2 HP of damage. You can spend a white chip to pick up and reroll any *one* of your 3d6 on a roll - Any number of white chips can be spent on a single roll, but you cannot spend white chips if you have already spent a red or blue chip.
A red chip can be spent to regain 4 lost FP, or to prevent 4 HP of damage. You can spend a red chip to pick up and reroll any 3d6 roll; doing so allows the Marshal a draw from the Fate Pot. You may only spend one red chip on any roll, and may not spend a red chip if you have already spent a blue chip. You may alternately use a red chip as if it were a white chip to reroll one of your 3d6, without giving the Marshal a draw from the pot.
A blue chip can be spent to regain 6 lost FP, or to prevent 6 HP of damage. You can spend a blue chip to pick up and reroll any 3d6 roll, though you may spend only one blue chip per roll. You may, if you like, use a blue chip as if it were a white chip to reroll one of your 3d6.
A legend chip can be spent to regain all lost FP, or to prevent ALL damage taken for one second, even retroactively. You can spend a legend chip on ANY non-damage roll (including a critical failure) to turn it into a critical success, however this removes it permanently from the Fate pot. A legend chip may instead be spent as if it were a blue chip to gain a reroll on any 3d6 roll, or as a white chip to reroll one of your 3d6.
The Marshal also receives fate chips; one at the beginning of each session for each PC, plus one for each PC over 200 points and one for each Harrowed PC.
PLEASE NOTE: The significant change to this system from the previously used one is that Fate Chips no longer carry over between sessions, and no longer trade in for CP. CP will instead be awarded normally. This change encourages players to use their chips (and helps keep players at a moderately even level of experience), and encourages the Marshal to be more generous in giving chips out.