The Dark Chaos Academy uses an inter-dorm ranking system with parallel ranks across each dorm. This system is used to designate the skill level of each student, and to differentiate the Masters of each dorm from the other students.
Starting from Lowest rank to Highest, using Xerxes Grey as an example:
Each student enters their dorm in 3rd Class rank. To move to 2nd class, a 3rd Class student must pay the Academy.
White: 500 DCA
Grey: 2000 DCA
Black: 4000 DCA
After promotion, a 2nd Class student can move up in rank by paying the Academy.
White: 1000 DCA
Grey: 3000 DCA
Black: 5000 DCA
A 1st Class Student is the highest non-Master rank attainable. The prestige associated with a 1st Class student is one of knowing you are one of the top members of your Dorm. Only a 1st Class Student can challenge the Firstmaster for his position. In order to challenge the Firstmaster, the 1st Class student must pay 500 DCA Points to the Firstmaster and win in a 3-duel tournament. If he wins, he obtains the position. If he loses 1 of these games, he does not.
The Rank of Firstmaster shows you have achieved mastery of your skills in your current Dorm. There is only 1 Firstmaster per dorm. He is able to provide training to the 3 Classes, and works under the Grandmaster. A Firstmaster can be challenged for his position by a 1st Class student in a 3-duel tournament. If the 1st Class student goes undefeated, the Firstmaster relinquishes his title and is demoted to 1st class. The current Firstmaster is promoted to Grandmaster if the Grandmaster choses to rank up. The Firstmaster can challenge a Grandmaster for his title for 1000 DCA points in a 5-game series. If a Firstmaster loses 1 of these games, he has lost the whole series.
The Grandmaster is the most Elite member of his Dorm. There is only 1, and he regulates all proceedings in his Dorm. He is also the main Teacher. The Grandmaster can choose to enter the next dorm in 3rd Class rank, or stay as Grandmaster for as long as he would like. The Grandmaster can be challenged by the Firstmaster for his title. The Firstmaster pays the Grandmaster 1000 DCA points, and they engage in a 5-duel tournament. If the Firstmaster loses 1 of these battles, he does not get the rank. If the Firstmaster wins, then the current Grandmaster is demoted to Firstmaster.