2019-09-25 Meeting Notes

Fecha

25 Sep 2019

Participantes

• Natalia Garcia

• Saptarshi Choudhury

• Karen Ottoni
• Kelly Cooper

Objetivos

• Update on different workstreams 

Puntos de discusión

Call recording

audio_only_1.m4a

Minutes

Introductions

Natalia Garcia - vice-chair. Background in Capital Markets in Europe. Special interest in origination and settlement processes.

Katen Ottoni - Point of contact from Hyperledger for this group.

Saptarshi Choudhury - Interested to learn about settlement challenges and how blockchain can contribute.

Kelly Cooper - Working on Octobers white paper

Trade Finance Securitization Article

Vipin author - not on call today. The article describes challenges of trade finance and how blockchain can facilitate and unlock value: increase flow, better and more accurate ratings, AI and smart contracts, and more. He submitted the article to be published in Trade Finance Global.

Launch Blog

Published on Hyperledger website. Also included in a press release today about new members. https://www.hyperledger.org/blog/2019/09/24/hyperledger-welcomes-capital-markets-special-interest-group

Often one blog post for SIG launch and can post additional blog articles. 

Global Forum Presentation

Friday is the deadline to submit talks if we want to participate. 

Projects

Taxonomy - Natalia: Work with Vipin on how to link some of the terms of taxonomy onto a glossary - work in progress. 

Regulation - n/a

Tokenization and Digital Currency and Obstacles - 

Saptarshi: Discussion regarding clients and 'field work'. Clients inclined for promoting liquidity of assets. Want to convert physical to digital assets - fast buy and sell. Also, they want to overcome regulatory challenges. Two parties dealing with the same token, going through tokenization, regulatory oversight. IE from US to other countries. Charges, regulations, processes to be completed. Maybe by provider - from financial aspect. 

Also, from a research perspective - core of blockchain is an extension of distributed computing. Place information in distributed ledger - shared - in different geographic or cloud location. No central operate. Consensus mechanism. Especially for Hyperledger - private or permissioned. Then comes the next part of message integrity of transaction integrity - cryptographic computation, etc. Maybe ZKP etc. Research focused more on distributed ledger of blockchain. 

In financial world, JP Morgan. 340 banks on target - on track to 400. Banking - anything associated with capital market. Most offering client adoption compared to other verticals. We may need to leverage expectation of client of tokenization and target group of people promoting from marketing

perspective. Different entities.

Natalia: Will add main obstacles on origination to the Obstacles page. 

Bonds- regular issuer. A corporate organization that frequently comes to market issuing bonds. Normally have a set program with information of corporate, risk factors, info regarding potential type of bonds that can be issued out of this program. Once this is in place, valid for one year. Supplement is added; however, issuances around prospectus - it is relatively easy to create smart contracts for this type of bonds created. Great use of smart contracts in capital markets. 

In protocol space - bitcoin, Ethereum, when created on top of that - smart contract on top - DAPPs - protocol incentivized. Combination of economics and token economics - sum of specific protocol valuation plus speculative valuation. Progress. Some do not have features of incentives. 

Two different approaches - incentivize protocol (not with internet)

Kelly: Incentivizing Protocol: Agreements Network - https://agreements.network/

Can we identify high impact use cases within the capital markets domain? Trade finance/securitization. Ideas on obstacles page on Accenture capital markets. Publishing content where Hyperledger adds values - from a business perspective - what are best use cases, how can Hyperledger help us overcome. Major and minor challenges - customers would like to see major gains on major issues. 

Elementos de acción

• Comments on customer pain points in Obstacles and Tokenization space
• View major and minor .pdf issues on Obstacles page
• Consider the Agreements Network as one approach for incentivizing protocols
• Add content to drafts as collaborative conversation for later editing as a white paper
• Consider glossary terms for the taxonomy document
• Share the blog post with colleagues