crossborder

Cross-border Workstream Meeting

March 10th & 11th (London/remote)

Next Steps for PI:

• Proposal for how the CNP query and host oracle services and global goals - Adrian, Michael

• Compound identifiers, ways in which this is captured in the system or expressed in apis - open

• What information is captured in the data model or the extension list - Michael

• Follow-up w/ SWIFT to discuss requirements - Matt

Open Items:

• Finalize CNP Requirements

• Has to aggregate information and put them together into a single request & they will need to sign separately

• Finalize FXP has to manage FX rates, the settlements and what expires when

• CNPs can extend this and determine additional scheme rules

• FXP handles rounding errors

• FXP Guarantee a given rate

• How do you get non-Mojaloop folks in the schema?

• How do we integrate Mojaloop and some Mojaloop scheme to provide a full PVT payments - working group with Michael, Adrian, Sybrin, others as needed

• How do we manage requests for regulatory reasons

• Investigate identifier mappings (Map pathfinder accounts/mobile accounts to DFSP unique IDs)

• Investigate Certification (Hash and PKKI)

Detailed Meeting Notes: Day #1: - Quote response

	○ How do we code the SLA into the response

	○ Ask a 2nd CNP to route
	
	○ In the API - need to package up how to get it there
	
	○ As a CMP in Mowali if I return a quote response the scheme has implications 
	
	○ Follow the whole route from payer to payee 
	
	○ Limiting the participation of CNP - they need to be the last hop
	
		§ How to define the requirements of a CNP?

- Message format

	○ Http syntax
	
	○ Started from the mojaloop scheme 
	
		§ Move towards the CNP should manage the conversion
	
	○ SWIFT version
	
	○ Security - TLS
	
	○ Header/content encrypted in JWS

- Retail system

	○ Off network - remit to someone hub

- Data Model

	○ Structure: Ways in which we added new information, different routes, etc.
	
	○ Privacy: Visibility and Security  - only accessible to the people that can see it
	
	○ Content of the data model 

- Transfer is done through the switch (movement of money)

	○ In mowali - the amounts are expressed but the rate is important because it impacts settlements 

	§ Data flow - we add the rate when we send the quote back
	
	§ Added in the extension list - should it be part of the standard?

	§ Send and receive amount (differ currency) 

- Data element
	
	○ Fee for each participant
	
	○ Payer DFSP adds it up 
	
	○ Fee element for the transaction 

- Proposal

	○ Account lookup service

		§ List of local FSP
	
	○ Switch - need to maintain state and lookup requests

		§ Should look like a domestic transfer to the sender
		
		§ Collect the information and send it back -
	
	○ CNP - making assumptions to meet requirements
	
		§ Do you need to see the route
		
		§ Collecting different information downstream
		
		§ Sending FSPs needs to know who is the receiver
		
	○ CNP has to aggregate information and put them together into a single request & they will need to sign separately 
		
		§ Condition and fulfillment is part of a PKI structure
		
		§ If there is more than one CNP - there needs to ensure the DFSP payee has to be certain the DFSP payer - connections
		
		§ CNP needs to know everything, regulatory reporting - 
		 
	○ Do we need to duplicate the structure in a Cross-network transfer?
		
		§ Trying to prevent a rouge partner from joining
		
		§ Trust the CNP to meet their SLAs
	
	○ Mojaloop to another scheme - we don’t have control
	
		§ Require they confirm receipt 
		
		§ How can I tell 
		
		§ How can I tell the person at the end got the money 
	
	○ External signing authority to confirm the money was received
	
		§ If your scheme wants to participate in x-border then all the participants need to get signed
		
		§ Public key -  need to join a mojaloop network have to issue public keys
		
		§ Central certificate issuing authority 
		
		§ Need a PKI structure in place 
	
	○ How do you get non-Mojaloop folks in the schema?
	
		§ How do we integrate Mojaloop and some Mojaloop scheme to provide a full PVT payments - working group with Michael, Adrian, Sybrin, others as needed
		
		§ Identify the participants  -  FSP, DFSP - all have signed
		
		§ Parties - end users (Bob/Alice)
		
		§ Single transaction (with multiple transfers)
		
		§ No one commits their funds to everyone is satisfied 
		
		§ How to extend mojaloop and non-mojaloop scheme 
	
	○ Certification 
	
		§ Hash and PKKI
	
		§ Gold and silver network

		§ New partner - live on the network 
		
		§ Scheme decides requirement on the network 
		
		§ Self-signing cert 
	
	○ Liquidity 
	
		§ FXP does position mgmt
		
		§ What requirements do we put on a FXP
		
		§ Mobile money has less flexibility 
		
		§ Rules that happened across schemes 
	
	○ FXP has to manage the settlements, what expires when, etc..
	
		§ FXP has to manage the shortage of quote validity 
		
		§ Allow FXP to reject the requests

	○ How do we manage requests for regulatory reasons
	
		§ There is a dictionary 
		
			□ Is the a requirement to share KYC?
		
			□ You can ask for many things - up to the participant 
			
			□ Need to agree on the baseline scheme

Day #2:

- Switch data

	○ Account numbers
	
	○ Blacklist, white list (oversight and blocking)
	
	○ Keeping it simple
	
	○ Hub 
	
	○ Side service for folks that can do this
	
		§ Mobile data capture
		
		§ Side car
		
		§ Digital process 
		
		§ Value added services for the hub (managed service)

- Switch - need to maintain state and lookup requests

- CNP can be an ordinary DFSP

	○ All DFSP supports all the use cases
	
	○ Full participants (might just provide a CNP or FXP service)

- FXP definition and requirements

	○ FXP - require rates/fees as part of the Quoting service - need standard industry rate
	
		§ CNPs can extend this and determine additional scheme rules
	
	○ FXP handles rounding errors 
	
	○ Guarantee a given rate
	
	○ Manage settlement across schemas
	
	○ FX rates
	
	○ Should allow people that just do FX
	
	○ Edge cases for failure
	
		§ Details in the error messages to find the errors
	
	○ FXP needs to point back the right information 
	
		§ How messages passed work
		
		§ Edge cases - share what is done too date
		
		§ Jo owns got a working API - identified 
		
		§ Changed the quote (intercepted the quote) -- 
		
		§ KYC extension list - extended the quote for this
		
		§ Rates are in the extended list (are the list)
		
		§ Where the FXP is applied ?
		
		§ What do we do with fees downstream
		
			□  (payee DFSP takes place of the aggregation)

- How to manage identifier resolution 

	○ 2 types of Identifiers
	
		§ Global ones (pass to CNP) - to get a response
		
		§ Local ones - expect the user to provide
	
	○ Mojaloop we use identifiers as proxy 
	
	○ Merchant numbers might be specific to a scheme 
	
	○ Multiple identifiers for a single account
	
	○ How do we uniquely identify the account?
	
	○ Rely on CNP (restrict each identifiers in this scheme)
	
	○ What sort of structures in place
	
	○ Passport identification - place holders
	
	○ Map pathfinder accounts/mobile accounts to DFSP unique IDs
	
		§ Service - primary account is X
		
		§ Each country has a service they provide
		
		§ Each CNP understands the address scheme
		
		§ Global one - need to know which ways to use 
	
	○ Sends a get parties to the switch 
	
		§ ALS never heard of them
		
		§ 2 ways 
		
			□ Global way (path finder and conversion to BIC)
- CNP

	○ Not hosting anything

	○ Route through the CNP - ask others
	
	○ Constructing the alternative routes 

- Global registry does not exist

	○ Ultimate beneficiary 
	
	○ Established communication
	
	○ Challenge will we able to have 2 DFSPs share direct communication and will be a stretch? 

- Switch has schemes

	○ A Hub operator following Scheme Rules may allow names of FSPs as decided by those Rules
	
	○ The technology or the Admin API itself doesn’t restrict the names (apart from restrictions on length, type or characters, etc)
	
	○ BGP: Border Gateway Protocol 

- Query each CNP and then come up with optimizations, matrix that provides global route - goal would be not to query the CNP directly

• How to connect with Mojaloop?

- Any financial service can connect to Mowali

- Scheme rules, technical

- Regulatory 

- How do I assign stuff? - no one knows the steps

- Mojaloop API - understand this.  

- 2 instances Mojaloop instances - TIPs and Mowali 

	○ WOCCU, Asia, US - applied for instance
	
	○ Still pushing the boundries 

- What dos an integration look like

	○ Need sandbox, simulators 
	
	○ Standard approach

• Instance payment service

- Get the flows flowing in a timely manner

- Need real-time ledgers; what happens if they are offline?

- Exception for off network (banks take advantage of float) 

• Discovery process (sending FSP)

- Switch determines if they need to contact a FXP

- What currency the receiving account can receive in 

- Multiple lookups

- Data model - set of accounts, w/ one currency at a DFSP

Attendees:

- Mike, Patricia - Thume

- Michael R, Rob R, Sam - Modusbox

- Kim, Lewis - Crosslake

- Rolland, Greg, Phillip - Sybrin

- Vanburn -- Terrapay

- Megan, Simeon - Virtual