Refresh root README status table — Track 2 is FAIL, not 'search in progress'

[myselfsiddharth]

Context

docs/INTEGRITY-AUDIT.md D-04 flags the root README.md status table as stale, and docs/README.md carries "Whether root README Track 2/3 lines will be updated outside this PR" as an open question. Both are still true.

The README currently says:

Track	Question	Status
Track 1	Do compiled trajectories survive site churn?	Harness in progress — no gate number yet
Track 2	Is there a vertical where the counterparty hypothesis holds?	Search in progress
Track 3	Narrative / pitch	Placeholders only until Track 1 + 2 land

Track 2 is not "search in progress" — it is FAIL, adjudicated in docs/research/vertical-search/DECISION.md and accepted as ADR-0004. Track 3 is not "placeholders only" — the Wave-1 pitch pack landed in docs/pitch/ and was refreshed for C5.

The README is the first thing a reader or a new agent sees, and it currently misdescribes the single most important fact about the project's state.

What to change in README.md

1. Status table. Track 2 becomes FAIL — no vertical locked, linking docs/research/vertical-search/DECISION.md and ADR-0004. Track 3 becomes Wave-1 draft; all performance claims [PENDING TRACK-1], linking docs/pitch/. Track 1 stays honest: harness in progress, no gate number yet.
2. Add one line under the table making the dependency explicit: two consecutive vertical FAILs (Week-0 observability, Track-2 counterparty) mean the company now rests on the Track-1 mechanism number. Cite docs/README-narrative.md section 6.
3. Privacy section — already done, do not undo. This was resolved separately: the section is now "Public repo — write accordingly" and cites ADR-0005, which supersedes ADR-0002 and records the repo as public by decision. Leave it as it stands — the secret-hygiene rules in it are load-bearing and must not be softened.
4. Layout section. Add scripts/, tests/, artifacts/, and point at docs/ROADMAP.md and docs/DEVELOPMENT.md.
5. Quick start. Describe npm run ci as the one command that must be green before any PR.

Constraints

• No new metrics, no gate number, no percentages. If a claim cannot cite an in-repo artifact, delete the claim.
• Keep it short. The README is a signpost; docs/README-narrative.md is the 20-minute read.

How to test

npm run lint:docs   # once the docs-lint issue lands
npm run ci

Click every link on the rendered PR diff. A dead link here is worse than a stale sentence.

Before you open the PR

• Every status claim traces to an in-repo file, cited by relative link
• No performance number anywhere in the file
• All links resolve on the rendered diff
• docs/README.md "Start here" row for the root README updated with a new Last-true date
• INTEGRITY-AUDIT D-04 marked resolved
• Branch track3/d2-readme-status