diff --git a/packages/cli/src/__tests__/cli-version.test.ts b/packages/cli/src/__tests__/cli-version.test.ts
new file mode 100644
index 0000000000..1960d2d32f
--- /dev/null
+++ b/packages/cli/src/__tests__/cli-version.test.ts
@@ -0,0 +1,136 @@
+import { beforeEach, describe, expect, it, vi } from "vitest";
+import { dirname, resolve } from "node:path";
+import { fileURLToPath } from "node:url";
+
+const fsMock = vi.hoisted(() => ({
+  existsSync: vi.fn(),
+  readFileSync: vi.fn(),
+}));
+
+vi.mock("node:fs", () => fsMock);
+
+import {
+  CLI_PACKAGE_NAME,
+  MAX_PACKAGE_LOOKUP_DEPTH,
+  readOwnCliVersion,
+} from "../cli-version.js";
+
+const startUrl = "file:///a/b/c/d/e/module.js";
+const depthStartUrl = "file:///a/b/c/d/e/f/g/h/i/j/module.js";
+const startDir = dirname(fileURLToPath(startUrl));
+
+type Manifest = string | Error;
+
+function manifestPath(index: number, directory = startDir): string {
+  let currentDirectory = directory;
+  for (let current = 0; current < index; current += 1) {
+    currentDirectory = resolve(currentDirectory, "..");
+  }
+  return resolve(currentDirectory, "package.json");
+}
+
+function depthManifestPath(index: number): string {
+  let directory = dirname(fileURLToPath(depthStartUrl));
+  for (let current = 0; current < index; current += 1) {
+    directory = resolve(directory, "..");
+  }
+  return resolve(directory, "package.json");
+}
+
+function configureManifests(manifests: Map<string, Manifest>): void {
+  fsMock.existsSync.mockImplementation((path: string) => manifests.has(String(path)));
+  fsMock.readFileSync.mockImplementation((path: string) => {
+    const manifest = manifests.get(String(path));
+    if (manifest instanceof Error) throw manifest;
+    return manifest;
+  });
+}
+
+function fusionManifest(version: string | number): string {
+  return JSON.stringify({ name: CLI_PACKAGE_NAME, version });
+}
+
+describe("readOwnCliVersion", () => {
+  beforeEach(() => {
+    fsMock.existsSync.mockReset();
+    fsMock.readFileSync.mockReset();
+    configureManifests(new Map());
+  });
+
+  it("returns an immediate matching manifest without extra walking", () => {
+    configureManifests(new Map([[manifestPath(0), fusionManifest("1.2.3")]]));
+
+    expect(readOwnCliVersion(startUrl)).toBe("1.2.3");
+    expect(fsMock.readFileSync).toHaveBeenCalledOnce();
+    expect(fsMock.existsSync).toHaveBeenCalledWith(manifestPath(0));
+  });
+
+  it("walks ancestors one level at a time", () => {
+    configureManifests(new Map([[manifestPath(2), fusionManifest("2.3.4")]]));
+
+    expect(readOwnCliVersion(startUrl)).toBe("2.3.4");
+    expect(fsMock.existsSync.mock.calls.map(([path]) => path)).toEqual([
+      manifestPath(0),
+      manifestPath(1),
+      manifestPath(2),
+    ]);
+  });
+
+  it("does not adopt a foreign package version", () => {
+    const manifests = new Map<string, Manifest>();
+    for (let index = 0; index < MAX_PACKAGE_LOOKUP_DEPTH; index += 1) {
+      manifests.set(manifestPath(index), JSON.stringify({ name: "@fusion/dashboard", version: "1.0.0" }));
+    }
+    configureManifests(manifests);
+
+    expect(readOwnCliVersion(startUrl)).toBeUndefined();
+  });
+
+  it("requires a string version", () => {
+    configureManifests(new Map([[manifestPath(0), fusionManifest(5)]]));
+
+    expect(readOwnCliVersion(startUrl)).toBeUndefined();
+  });
+
+  it("continues after a malformed manifest", () => {
+    configureManifests(new Map([
+      [manifestPath(0), "{not json"],
+      [manifestPath(1), fusionManifest("3.4.5")],
+    ]));
+
+    expect(readOwnCliVersion(startUrl)).toBe("3.4.5");
+  });
+
+  it("continues after a manifest read error", () => {
+    configureManifests(new Map([
+      [manifestPath(0), new Error("EACCES")],
+      [manifestPath(1), fusionManifest("4.5.6")],
+    ]));
+
+    expect(readOwnCliVersion(startUrl)).toBe("4.5.6");
+  });
+
+  it("does not inspect the ninth ancestor", () => {
+    configureManifests(new Map([[depthManifestPath(MAX_PACKAGE_LOOKUP_DEPTH), fusionManifest("9.9.9")]]));
+
+    expect(readOwnCliVersion(depthStartUrl)).toBeUndefined();
+    expect(fsMock.existsSync).toHaveBeenCalledTimes(MAX_PACKAGE_LOOKUP_DEPTH);
+  });
+
+  it("inspects the final ancestor inside the depth limit", () => {
+    configureManifests(new Map([[depthManifestPath(MAX_PACKAGE_LOOKUP_DEPTH - 1), fusionManifest("8.8.8")]]));
+
+    expect(readOwnCliVersion(depthStartUrl)).toBe("8.8.8");
+  });
+
+  it("terminates at the filesystem root", () => {
+    expect(readOwnCliVersion("file:///module.js")).toBeUndefined();
+    expect(fsMock.existsSync).toHaveBeenCalledOnce();
+  });
+
+  it("returns undefined for an invalid URL without filesystem access", () => {
+    expect(readOwnCliVersion("not-a-file-url")).toBeUndefined();
+    expect(fsMock.existsSync).not.toHaveBeenCalled();
+    expect(fsMock.readFileSync).not.toHaveBeenCalled();
+  });
+});
diff --git a/packages/cli/src/__tests__/plugin-scaffold-caret-fallback.test.ts b/packages/cli/src/__tests__/plugin-scaffold-caret-fallback.test.ts
new file mode 100644
index 0000000000..aad990b7e3
--- /dev/null
+++ b/packages/cli/src/__tests__/plugin-scaffold-caret-fallback.test.ts
@@ -0,0 +1,91 @@
+import { afterEach, beforeEach, describe, expect, it, vi } from "vitest";
+import { mkdirSync, readFileSync as realReadFileSync, rmSync } from "node:fs";
+import { dirname, join, resolve } from "node:path";
+import { tmpdir } from "node:os";
+import { fileURLToPath } from "node:url";
+
+const manifestOverrides = vi.hoisted(() => new Map<string, string>());
+
+vi.mock("node:fs", async (importOriginal) => {
+  const actual = await importOriginal<typeof import("node:fs")>();
+  return {
+    ...actual,
+    existsSync(path: Parameters<typeof actual.existsSync>[0]) {
+      const pathString = String(path);
+      if (manifestOverrides.has(pathString)) {
+        return true;
+      }
+      if (pathString.endsWith("/package.json") && !pathString.includes("fn-scaffold-version-")) {
+        return false;
+      }
+      return actual.existsSync(path);
+    },
+    readFileSync(path: Parameters<typeof actual.readFileSync>[0], ...args: Parameters<typeof actual.readFileSync>[1][]) {
+      const pathString = String(path);
+      const manifest = manifestOverrides.get(pathString);
+      if (manifest !== undefined) {
+        return manifest;
+      }
+      return actual.readFileSync(path, ...args);
+    },
+  };
+});
+
+import { runPluginNew } from "../commands/plugin-scaffold.js";
+
+const scaffoldModuleDir = dirname(fileURLToPath(new URL("../commands/plugin-scaffold.ts", import.meta.url)));
+const tmpBase = join(tmpdir(), `fn-scaffold-version-${Date.now()}-${Math.random().toString(36).slice(2)}`);
+
+function ancestorManifestPath(index: number): string {
+  let directory = scaffoldModuleDir;
+  for (let current = 0; current < index; current += 1) {
+    directory = resolve(directory, "..");
+  }
+  return join(directory, "package.json");
+}
+
+async function scaffoldVersion(outputName: string): Promise<string> {
+  const output = join(tmpBase, outputName);
+  await runPluginNew("version-fixture", { output });
+  const manifest = JSON.parse(realReadFileSync(join(output, "package.json"), "utf-8")) as {
+    devDependencies: Record<string, string>;
+  };
+  return manifest.devDependencies["@runfusion/fusion"];
+}
+
+describe("plugin scaffold Fusion caret version characterization", () => {
+  beforeEach(() => {
+    manifestOverrides.clear();
+    mkdirSync(tmpBase, { recursive: true });
+  });
+
+  afterEach(() => {
+    rmSync(tmpBase, { recursive: true, force: true });
+  });
+
+  it("stops before the ninth ancestor and reaches the eighth", async () => {
+    manifestOverrides.set(
+      ancestorManifestPath(8),
+      JSON.stringify({ name: "@runfusion/fusion", version: "9.9.9" }),
+    );
+    expect(await scaffoldVersion("ninth-ancestor")).toBe("^0.39.0");
+
+    manifestOverrides.clear();
+    manifestOverrides.set(
+      ancestorManifestPath(7),
+      JSON.stringify({ name: "@runfusion/fusion", version: "9.9.9" }),
+    );
+    expect(await scaffoldVersion("eighth-ancestor")).toBe("^9.9.9");
+  });
+
+  it("falls back when no matching Fusion manifest exists", async () => {
+    manifestOverrides.set(
+      ancestorManifestPath(2),
+      JSON.stringify({ name: "@fusion/dashboard", version: "1.0.0" }),
+    );
+
+    const version = await scaffoldVersion("foreign-manifest");
+    expect(version).toBe("^0.39.0");
+    expect(version).not.toBe("^1.0.0");
+  });
+});
diff --git a/packages/cli/src/bin.ts b/packages/cli/src/bin.ts
index 0a7c0bf7ec..5a945c14b3 100644
--- a/packages/cli/src/bin.ts
+++ b/packages/cli/src/bin.ts
@@ -13,11 +13,11 @@
  */
 import { existsSync, mkdtempSync, readFileSync, symlinkSync, writeFileSync } from "node:fs";
 import { createRequire } from "node:module";
-import { join, dirname, resolve } from "node:path";
+import { join, dirname } from "node:path";
 import { tmpdir } from "node:os";
 import { performance } from "node:perf_hooks";
 import { Readable } from "node:stream";
-import { fileURLToPath } from "node:url";
+import { readOwnCliVersion } from "./cli-version.js";
 import { installQuietGate, resolveQuietMode, setQuietMode, uninstallQuietGate } from "./output.js";
 
 // @ts-expect-error -- Bun-only global; undefined in Node
@@ -644,41 +644,6 @@ function parsePrCreateOptions(args: string[]) {
   };
 }
 
-/**
- * Locate `@runfusion/fusion`'s own version by walking up from the running
- * `bin.js`. Mirrors `packages/dashboard/src/cli-package-version.ts` but is
- * inlined here to avoid pulling the dashboard barrel into the bin's static
- * import graph (bin keeps app imports dynamic until env bootstrap is done).
- */
-function readOwnCliVersion(): string | undefined {
-  let currentDir: string;
-  try {
-    currentDir = dirname(fileURLToPath(import.meta.url));
-  } catch {
-    return undefined;
-  }
-  for (let i = 0; i < 8; i += 1) {
-    const pkgPath = resolve(currentDir, "package.json");
-    if (existsSync(pkgPath)) {
-      try {
-        const parsed = JSON.parse(readFileSync(pkgPath, "utf-8")) as {
-          name?: string;
-          version?: string;
-        };
-        if (parsed.name === "@runfusion/fusion" && typeof parsed.version === "string") {
-          return parsed.version;
-        }
-      } catch {
-        // Ignore malformed manifest and keep walking.
-      }
-    }
-    const parentDir = resolve(currentDir, "..");
-    if (parentDir === currentDir) break;
-    currentDir = parentDir;
-  }
-  return undefined;
-}
-
 async function main() {
   const { cleanedArgs: args, projectName, skipOnboarding, quiet } = extractGlobalProjectFlag(process.argv.slice(2));
   const hasJsonFlag = args.includes("--json");
@@ -694,12 +659,14 @@ async function main() {
   if (effectiveQuiet) installQuietGate();
   else uninstallQuietGate();
 
-  // Print version and exit before any application imports. This is what the
+  // Print version and exit before any application imports. The leaf resolver
+// keeps this static graph built-ins-only rather than importing the dashboard
+// resolver. This is what the
   // dashboard's CLI Binary panel probes via `<bin> --version`; without an
   // early exit, the flag falls through to the default `dashboard` command and
   // boots the full server.
   if (args.includes("--version") || args.includes("-v")) {
-    console.log(readOwnCliVersion() ?? "unknown");
+    console.log(readOwnCliVersion(import.meta.url) ?? "unknown");
     process.exit(0);
   }
 
diff --git a/packages/cli/src/cli-version.ts b/packages/cli/src/cli-version.ts
new file mode 100644
index 0000000000..8df53936dc
--- /dev/null
+++ b/packages/cli/src/cli-version.ts
@@ -0,0 +1,51 @@
+import { existsSync, readFileSync } from "node:fs";
+import { dirname, resolve } from "node:path";
+import { fileURLToPath } from "node:url";
+
+export const CLI_PACKAGE_NAME = "@runfusion/fusion";
+export const MAX_PACKAGE_LOOKUP_DEPTH = 8;
+
+/**
+ * FNXC:CliVersionResolution 2026-08-11-08:34:
+ * The CLI bin, update command, and plugin scaffold formerly kept byte-equivalent
+ * self-version walkers. Centralizing them prevents drift while each caller passes
+ * its own import.meta.url so its resolution start directory remains unchanged.
+ *
+ * This must remain a built-ins-only leaf: bin resolves --version before app imports
+ * so the dashboard CLI Binary probe cannot bootstrap the application. Its node:fs
+ * surface is intentionally limited to existsSync/readFileSync because update tests
+ * replace that module with only those APIs. The eight-level bound is pinned in both
+ * directions by plugin-scaffold-caret-fallback.test.ts. Do not merge the dashboard
+ * resolver or self-extension resolver: they have richer and different contracts.
+ */
+export function readOwnCliVersion(importMetaUrl: string = import.meta.url): string | undefined {
+  let currentDir: string;
+  try {
+    currentDir = dirname(fileURLToPath(importMetaUrl));
+  } catch {
+    return undefined;
+  }
+
+  for (let i = 0; i < MAX_PACKAGE_LOOKUP_DEPTH; i += 1) {
+    const pkgPath = resolve(currentDir, "package.json");
+    if (existsSync(pkgPath)) {
+      try {
+        const parsed = JSON.parse(readFileSync(pkgPath, "utf-8")) as {
+          name?: string;
+          version?: string;
+        };
+        if (parsed.name === CLI_PACKAGE_NAME && typeof parsed.version === "string") {
+          return parsed.version;
+        }
+      } catch {
+        // Ignore malformed manifest and keep walking.
+      }
+    }
+
+    const parentDir = resolve(currentDir, "..");
+    if (parentDir === currentDir) break;
+    currentDir = parentDir;
+  }
+
+  return undefined;
+}
diff --git a/packages/cli/src/commands/__tests__/update.test.ts b/packages/cli/src/commands/__tests__/update.test.ts
index d8299046f2..8119c8dcd7 100644
--- a/packages/cli/src/commands/__tests__/update.test.ts
+++ b/packages/cli/src/commands/__tests__/update.test.ts
@@ -52,7 +52,7 @@ vi.mock("../../update-cache.js", () => ({
 // channel helpers, but importing the @fusion/core barrel would drag core's
 // git-binary through this file's node:child_process mock. Substitute the
 // barrel with the actual app-version source module (the only part used here).
-vi.mock("@fusion/core", async () => await vi.importActual("../../../../core/src/app-version.js"));
+vi.mock("@fusion/core", async () => await vi.importActual("../../../../core/src/i18n/app-version.js"));
 
 import { runUpdate } from "../update.js";
 
diff --git a/packages/cli/src/commands/plugin-scaffold.ts b/packages/cli/src/commands/plugin-scaffold.ts
index 4dc61ae4ce..21f11cb604 100644
--- a/packages/cli/src/commands/plugin-scaffold.ts
+++ b/packages/cli/src/commands/plugin-scaffold.ts
@@ -5,9 +5,10 @@
  * Usage: fn plugin create <name>
  */
 
-import { mkdirSync, writeFileSync, existsSync, readFileSync } from "node:fs";
-import { join, dirname, resolve } from "node:path";
-import { fileURLToPath } from "node:url";
+import { mkdirSync, writeFileSync, existsSync } from "node:fs";
+import { join, resolve } from "node:path";
+
+import { readOwnCliVersion } from "../cli-version.js";
 
 // Valid plugin name pattern: kebab-case
 const PLUGIN_NAME_REGEX = /^[a-z0-9][a-z0-9-]*[a-z0-9]$/;
@@ -50,39 +51,8 @@ function ensureTargetPathAvailable(targetDir: string, targetPath: string): void
   }
 }
 
-function readOwnCliVersion(): string | undefined {
-  let currentDir: string;
-  try {
-    currentDir = dirname(fileURLToPath(import.meta.url));
-  } catch {
-    return undefined;
-  }
-
-  for (let i = 0; i < 8; i += 1) {
-    const pkgPath = resolve(currentDir, "package.json");
-    if (existsSync(pkgPath)) {
-      try {
-        const parsed = JSON.parse(readFileSync(pkgPath, "utf-8")) as {
-          name?: string;
-          version?: string;
-        };
-        if (parsed.name === "@runfusion/fusion" && typeof parsed.version === "string") {
-          return parsed.version;
-        }
-      } catch {
-        // Ignore malformed package.json and continue walking.
-      }
-    }
-    const parentDir = resolve(currentDir, "..");
-    if (parentDir === currentDir) break;
-    currentDir = parentDir;
-  }
-
-  return undefined;
-}
-
 function resolveFusionCaretVersion(): string {
-  const version = readOwnCliVersion() ?? DEFAULT_RUNFUSION_VERSION;
+  const version = readOwnCliVersion(import.meta.url) ?? DEFAULT_RUNFUSION_VERSION;
   return `^${version}`;
 }
 
diff --git a/packages/cli/src/commands/update.ts b/packages/cli/src/commands/update.ts
index e08fecafed..63d080a55e 100644
--- a/packages/cli/src/commands/update.ts
+++ b/packages/cli/src/commands/update.ts
@@ -1,9 +1,7 @@
 import { exec } from "node:child_process";
+import { readOwnCliVersion } from "../cli-version.js";
 import { result } from "../output.js";
-import { existsSync, readFileSync } from "node:fs";
 import { promisify } from "node:util";
-import { dirname, resolve } from "node:path";
-import { fileURLToPath } from "node:url";
 import { isVersionNewer, resolveUpdateTargetVersion } from "@fusion/core";
 import type { UpdateChannel } from "@fusion/core";
 import { getCachedUpdateStatus, getConfiguredUpdateChannel, persistUpdateChannel } from "../update-cache.js";
@@ -129,37 +127,6 @@ type UpdateStatus = {
   channel: UpdateChannel;
 };
 
-function readOwnCliVersion(): string | undefined {
-  let currentDir: string;
-  try {
-    currentDir = dirname(fileURLToPath(import.meta.url));
-  } catch {
-    return undefined;
-  }
-
-  for (let i = 0; i < 8; i += 1) {
-    const pkgPath = resolve(currentDir, "package.json");
-    if (existsSync(pkgPath)) {
-      try {
-        const parsed = JSON.parse(readFileSync(pkgPath, "utf-8")) as { name?: string; version?: string };
-        if (parsed.name === "@runfusion/fusion" && typeof parsed.version === "string") {
-          return parsed.version;
-        }
-      } catch {
-        // Ignore parse errors and keep walking.
-      }
-    }
-
-    const parentDir = resolve(currentDir, "..");
-    if (parentDir === currentDir) {
-      break;
-    }
-    currentDir = parentDir;
-  }
-
-  return undefined;
-}
-
 type UpdateDistTags = {
   latest?: string;
   beta?: string;
@@ -406,7 +373,7 @@ export async function runUpdate(options: RunUpdateOptions = {}): Promise<void> {
     channel = await getConfiguredUpdateChannel();
   }
 
-  const currentVersion = readOwnCliVersion();
+  const currentVersion = readOwnCliVersion(import.meta.url);
   if (!currentVersion) {
     console.error("Error: Could not determine current Fusion CLI version.");
     process.exit(1);