Cut, Crossfade, Hold is a system for coordinating improvisation in a small group without a conductor. It ought to work well for a trio or quartet or quintet; in a duo most of the system would be redundant, and in larger groups it may be hard to avoid everyone trying to lead at once. The performers use hand signals to coordinate their music making. There are signals to remember moments in the piece and recall them later, to change who's playing and who's not, to end the piece in various ways and to veto previous signals.
The system does not prescribe any sequence of actions and certainly not any musical material. You can think of Cut, Crossfade, Hold as a simplified version of John Zorn's Cobra without the prompter and the silly hats and flags, or as my take on ROVA's hand-cue systems.
At the beginning, of course, nobody is sounding. At any time, any player, sounding or not, can request a change in the course of the music by giving appropriate hand signals.
Signals are divided into three groups: Remember, Setups and Actions.
You can Veto a Veto. (Doing this repeatedly goes back and forth between doing and undoing the previous action.) Endings may only be Vetoed three times.
Try not to have more than one person signalling at once; if someone else is signalling, let them finish before stepping in.
Make sure you have everybody's attention before you give an action signal. Hold up your hand in an appropriate position to prepare them.
When you give a Cut, Cutoff, Hit or Veto, make sure it has a good downbeat to help people synchronize.