The Cycle is simple: Whenever I describe something that's bad for your characters, I'll wager a number of Karma Points. If you accept the description and deal with whatever I've described, you get to keep the Karma. If you want to overcome the obstacle I've placed in your path, you'll have to cash in an equal number of Karma Points. (You may need to pool your Karma together. Post your wager and, if not enough of your fellow players pitch in, you still get to keep the wagered points.)
Here's the trick: Each point of Karma you wager must come with a bit of narration that advances the scene. Most of the time, these will be stunts (combat moves, cinematic flourishes, etc). Witty lines of dialogue, clever metaphors, and flowery prose are also fair game. The same system works for investigation montages, interrogation scenes, and so forth. Of course, you should avoid negating anything someone else has already described. It's just good improv.