TODO: Economics Taxonomy:
Financial instruments Classification
BºMain classificationº:
  -ºCash instrumentsº: instruments whose value is determined directly by 
    the markets @[]
    They can be securities @[],
    which are readily transferable, and instruments such as
  @[] and
    deposits @[], where both borrower 
    and lender have to agree on a transfer.
  -ºDerivative instrumentsº:
    instruments which derive their value from the value and characteristics 
    of one or more underlying entities such as an ºassetº,
    index, or ºinterest rateº.
    They can be ºexchange-traded derivativesº and
   ºover-the-counter (OTC) derivativesº.

Bº"asset type" Classification:
  - equity-based (reflecting ºownershipº. of the issuing entity)
  - debt-based   (reflecting a loan the investor has made to the issuing entity).
    - Subcategories:
      -ºshort-termº: less than one year
      -ºlong-termº : 1+ years
  - Foreign exchange instruments and transactions: They are neither debt nor equity
    and belong in their own category.

│ ASSET CLASS         │                INSTRUMENT TYPE                                                     │
│                     ├────────────────┬───────────────┬───────────────────────┬───────────────────────────┤
│                     │Securities      │ Other cash    │ Exchange-traded       │ OTC derivatives           │
│                     │                │               │  derivatives          │                           │
│ Debt (long term)    │  Bonds         │ Loans         │ Bond futures          │ Interest rate swaps       │
│ ˃ 1 year            │                │               │ Options on bondFjjures│ Interest rate caps+floors │
│                     │                │               │                       │ Interest rate options     │
│                     │                │               │                       │ Exotic derivatives        │  
│ Debt  (short term)  │  Bills,        │ Deposits      │Short─term interest    │ Forward rate              │
│    ≤ 1 year         │  e.g. T-bills  │ Certificates  │   rate futures        │ agreements                │
│                     │Commercial paper│ of deposit    │                       │                           │
│ Equity              │  Stock         │     N/A       │ Stock options         │  Stock options            │
│                     │                │               │ Equity futures        │  Exotic derivatives       │
│ Foreign exchange    │ N/A            │ Spot foreign  │ Currency futures      │ Foreign exchange options  │
│                     │                │     exchange  │                       │   Outright forwards       │
│                     │                │               │                       │   Foreign exchange swaps  │
│                     │                │               │                       │   Currency swaps          │
Some instruments defy categorization into the above matrix, for example 
repurchase agreements

Exchange-traded @
OTC derivatives @
Certificates of deposit 
Commercial paper
Foreign exchange
Currency futures
Currency swaps
Exotic derivatives
Spot foreign exchange
Foreign exchange swaps
Outright forwards
Forward rate agreements
Interest rate caps and floors
interest rate futures
Interest rate options
Interest rate swaps
Options on bond futures

Instituional Financial Asset Infrastructure
- Deposits and Lending
  - BitGo, BlockFi, Genesis, matrixport, ...
  - Tasks involve:
    - Automate and augment business credit decision making
    - Improve client advisory by integraint into data streams for 
      opportunity discovery
    - Predict defaults with greater accuracy.
    - Offer tailored, always-on experiences across channels
    - Provide personalized, practicable advice in real time
    - Miniaturize unsecured lending to be use-specific
    - Provide Just-in-time Lending

- Derivatives
  - CME Group, Bitnomial, Bakkt, Seed CX, ErisX, LedgerX

- Marker Maker
  - Cumberland, DVTrading, Folkvang, Altnonomy, XBTO, BlockFills,
    Atomic fund, ledgerPrime, Galois Capital, Efficient Frontier,
    Galaxy Digital, Graperfruit Trading, WinterMute, 
    Kairon Labs, Bluesky Capital, OSQ, Alameda Research,
    Amber, Binary Financial, CoinShares, ...

- Custody
  Fireblocks, Coinbase, Anchorade, Bakkt, Digital Assets,
  Hex Trust, PrimeTrsut, Fidelity Digital Assets, 
  AEGIS Custody, Kigdom Trust, Swiss Crypto Vault, 
  Unbound, Curv, itBit py Paxos, Vo1t Digital Custodiam,
  Ledger,  Unchained Capital, Tangany, Base Zero, Bit o,
  OnChain Custodian, Koine, Knox, Cooper, Gemini.
- Clearing/Settlement
  XMargin, keyTango, Arwen, Liquidity Offset network,
  Bosonic, Apex|Clearing,

- Trade Messenger
  Paradigm, Bosonic,

- Execution
  Apifiny, Floating Point Group, CoinRoutes, Ripple, 

- Spot Liquidity Provider
  kraken, Galaxy Digital, Biffinex, Coinhako,
  HitBTC, LGO-Markets, Koi Trading, HuobiOTC, Wyre
  QCP Capital, BitY, CMTDigital, DVeX, Tilde, UnoCoin,
  Gemini, CoinBase|prime, Binance, Coincheck, Bittrex.

- Brokerage
  Bitcoin Reserve, Tagomi, OTCex, Trident, FalconX,
  FiBig Capital, SFOX, itBit by Paxos, Fidelity Digital Assets,
  BayCrest, iCAP, Enigma, Bitcoin Suisse, Caleb and Brown,
  Roundblock Capital, BitOoda, BCB Group, Bequant,
  Market Securities.

Related Asset Infrastructure
- Payments:
  - Tasks involve:
    - Act as the ultimat personal shopeer for customers
    - Offer prediction "as a service" to merchants
    - Create and advisory capability for macro-economic
    - Deploy real-time surveillance capabilities
    - Increase detection precision to eliminate false 
    - Compete to become a provider of invisible 
      payments infrastructure
    - Drive layalty by offering bespoke incentives and
    - Automate compliance and reporting

- Investment management:
  - Tasks involve:
    - Develop unique strategies and new investment products
    - Find new and unique correlations between datasets
    - Enable users to effectively manage their investments.
    - Establish passibe products that track new datasets
    - Share more detailed economic insights
    - Mimic advanced strategies while controlling costs
    - Analyse vast quantities of data at scale
    - Continuously source new and exclusive datasets
    - Use existing but unused platforms for distribution
    - Equip advisers with highly personalized insights
    - Holistically understand inverstor preferences in 
      real time
    - Offer outcome-based portfolio modeling
    - Control ballooning back-office compliance costs
    - Digitize customer servicing
    - Offer seamless account setup and customer acquisition

- Capital markets:
  - Tasks involve:
    - Develop real-time pre- and post- trade risk management
    - Use broader and better data to develop predictie 
      fisk models that drive capital saving
    - Use predictive models to improve deal identification,
      pairing and sales activities
    - Improve deal identification, pairing and sales
    - Achive better investment performance by using new 
      data in opaque markets.

    - Automate pre-trade analysis, due diligence and 
    - Automate investment monitoring and reporting.

- Market infrstructure:
  - Tasks involve:
    - Deply new order types to protect investors from 
      risks proactively
    - Deploy holistic market-surveillance services
    - Develop macro-economic indicators using internal data
    - Offer insights on market structure and risk
    - Self internal analytics capabilites "as a service"

- Common tasks involve:
  - Automate alert triage, investigation and reporting
  - Automate reconciliation and incident reporting to
    improve service quality and cut costs.
  - Integrate post-trade workflows to achieve 
    straigh-through processing

- Quantitative Finance
- Software architecture at a Largne Financial Firm
- FinancialForce ERP's architecture is built 100% natively on the Salesforce Platform
- Retrieve intraday stock data from Google Finance
- MojaLoop
  open-source software for financial services companies, government regulators,
  and others taking on the challenges of interoperability and financial inclusion.
- EU Banking Union
- International Swaps and Derivatives Association (ISDA)
- The Global Treasurer
- Investopedia:
Financial architecture objectives
  - CEOs and CFOs remain focused on driving business performance and 
    identifying opportunities to improve bottom line results. The right IT 
    finance architecture gives a company both the confidence to report how 
    the company makes money and the data-driven insights to make even more 
    money – so why are so many firms challenged to get the finance systems 
    that can give
    - Control over accounting
    - Data-centricity
    - Timeliness

- Creating a reliable, distributed ledger of exchange
  - "People want to see that the money they send across borders is going where it is supposed to."
  - The movement of capital around the globe is of paramount importance to an 
    increasingly globalized society.
  - Compiling robust credit files and using unique identifiers.
  - You shouldn’t have to pay to use the money you already own.
Immutability in Finances
  - identification, evaluation, and prioritization of risks (defined in ISO 
    31000 as the effect of uncertainty on objectives) followed by coordinated 
    and economical application of resources to minimize, monitor, and 
    control the probability or impact of unfortunate events[1] or to 
    maximize the realization of opportunities.
- includes management of an enterprise's holdings, with the ultimate goal 
of managing the firm's liquidity and mitigating its operational, financial 
and reputational risk. Treasury Management includes a firm's collections, 
disbursements, concentration, investment and funding activities. In larger 
firms, it may also include trading in bonds, currencies, financial 
derivatives and the associated financial risk management. 
- Financial_instrument:

-ºGross Settlementº
 In foreign exchange, a way to settle a transaction in which the buyer 
 directly pays the seller. This contrasts with the normal way to settle 
 securities transactions, which involves using a clearing house. See also: 
-ºClearanceº: Process to balance two ledgers when moving money from one
              bank to another bank.
              For internal bnak transfers there is no clearing.
              The result of clearing is the obligation (IoY) that each
              bank owes to its peer.
              See [[Clearing vs Settlement?]]

-ºACHº: Automatic Clearing House

-ºRouting numberº:
    In the US, banks and other financial institutions use
   routing numbers to identify themselves. They're made up of 9 digits,
   and sometimes called routing transit numbers, ABA routing numbers,
   or RTNs.
     The Federal Reserve Banks need routing numbers to process Fedwire
   funds transfers. The ACH network also needs them to process
   electronic funds transfers – like direct deposits and bill

-ºregulation vs juridictionº
  - regulation is "set of laws/norms/..." regulating
  - jurisdiction is "the power, right, or authority to interpret and apply the law (or regulation)"

 Netting entails offsetting the value of multiple positions or payments due 
 to be exchanged between two or more parties. It can be used to
ºdetermine which party is owed remuneration in a multiparty agreementº
  Netting is a general concept that has a number of more specific uses, 
 specifically in financial markets.

Others: - VASP: Virtual Asset Service Provider
IFACnet, the KnowledgeNet for Professional Accountants, is the global, 
multilingual search engine developed by the International Federation of 
Accountants (IFAC) and its members to provide professional accountants 
worldwide with one-stop access to good practice guidance, articles, 
management tools and other resources. This enterprise search engine was 
launched on October 2, 2006 by INDEZ. Originally marketed to professional 
accountants in business, IFACnet was expanded in March 2007 to provide 
resources and information relevant to small and medium accounting practices. 
It now includes resources and information for accountants in all sectors of 
the profession. 
communication protocols
Understanding Banking Comunication
(EBICS, Host-to-Host, SWIFT)
- Banking communication can be very complex, especially when it comes to payments.
Rº Even people who work with payments on a daily basis                         º
Rºoften don't understand the specific technical details behind them. After all,º 
Rºthey are finance experts, working in accounting and treasury, and not paymentº 
Rºtechnology experts. So how do we best determine the right setup for a        º
Rºcompany?                                                                     º

    EBICS is the German payments standard and is regulated by "Deutsche 
    Kreditwirtschaft (DK)," a consortium made up of the Official Associations of 
    a number of German bank types. It represents a very Bºpowerful combination of aº
  Bºstandard channel and a standard format (SEPA, previously DTAUS).º
    Communication is based on the TCP/IP Protocol. Authorized signatories are 
    specified in the EBICS contracts and their signatures are called up for any 
    communication with the banking server. Only once these signatures have been 
    validated in connection with the type of instruction communicated at the same 
    time (e.g. CCT for the SEPA DK format) does the banking server accept the 
    file and log the result.
    The back-ends of German banks are set up to meet the requirements of this 
    communication method perfectly. All German banks use the EBICS standard, 
    making it the most commonly used channel for payments within Germany.

  └ºHost-to-host (H2H)º
    A so-called host-to-host connection essentially represents a bilateral 
    agreement between a company and a bank to exchange information. The bank 
    defines the standard for the company. Generally, these connections are based 
    on SFTP and HTTPS protocols that are already encrypted (SSH or SSL). However, 
    some banks require additional file encryption with OpenPGP. There is a Single 
    Point of Entry, i.e. a central interface, and the bank then forwards the 
    information to their branches worldwide. The disadvantage of this solution is 
    the lack of a clearly defined, common standard. Moreover, this solution is 
    more complex to set up and requires more involvement by internal IT. The 
    advantage is that the absence of regulation means no friction losses. Host-to-
    host can be a very good solution for global payments, in particular if a 
    company works with only a few main banks.

    SWIFT: "combination" of EBICS and host-to-host. SWIFT has 
    introduced SCORE (Standardised Corporate Environment), a clearly defined 
    standard with clear rules for global payments. They specify in detail which 
    financial messages may be exchanged by companies and financial institutes. A 
    so-called SCORE Agreement needs to be drawn up; this is necessary but pretty 
    straightforward.BºOnce the agreement has been signed, corporates are º
  Bºauthenticated in the SWIFT Network based on their company-own BICº. The 
    infrastructure required for this is either supplied by a SaaS provider, a 
    SWIFT Service Bureau or a local installation set up by internal IT. Unlike 
    with EBICS and comparable to host-to-host, this means communicating globally 
    with the banks? back-ends and forwarding files to the international branches. 
  BºThis solution makes sense if a company uses many different banks worldwide.º

- most companies use a combination of these solutions. Ex: 
  - A company:
    - works with 20 banks in Germany and has therefore set up EBICS incl. SEPA.
    - has one main bank through which they process 70% of their global payments.
      For this, they use a host-to-host connection.
    - The remaining 30% of payments the company works with other global banks
      and has set up SWIFT to do so.

  (Each different company will require different setups)
  So why do many companies struggle to find the right payments solution? One of 
  the problems is that quite often the only person they can turn to for advice 
  is a member of the bank's sales team:
    Here, they get information but they don't understand the technology behind
  the proposed solutions, and this makes it very difficult to form a neutral
  opinion. BºThis is why it can make great sense to also talk to, for example,º
Bºthe provider of a treasury management system.º
BºHistory of Swift creation:º
  (Summary from: @[])
  - Citibank, London, 1960s.:
    payment instructions are inserted into a canister and sent
    upstairs via vacuum tube.  On the second floor, a team confirms 
    the TXs and sent their authorisations back down the pipe.
    - If turned out that the vacuum tube had become blocked.
  - ☞ Confirming large financial transactions is hard. 
    even harder across national or international borders. 
    - first half of the 19th Century: telegraph used for remote TXs.
      - "quick but buggy":  
        June 1887, "BAY ALL KINDS QUO" → "BUY ALL KINDS QUO" costed
        $20,000 (several million dollars in today's terms)
    - 1940+: banks used telex machines, making efficient use of
      telegraph lines. Making messages secure added enormous complexity.
      (former military signalmen hired to do the task)
      "For every single telex sent, you had to manually calculate
       what this telex test key was. When you received the tested telex,
       you had to do the reverse calculation to make sure the telex
       hadn't been tampered with during transmit and receive cycles.
       It was incredibly prone to human error."
    - 1970s: A better solution was needed - Especially in Europe-
      - American banks pushing their own proprietary system, called Marti.
        but not accepted in Europe.(feared o being locked to standards
        owned by a rival). BºA new private company, the "Society for Worldwideº
      BºInterbank Telecommunication" (Swift) was created:º
        - initially between 270 banks across 15 countries. 
        -BºIt simply provided a messaging service, using a standardisedº
         Bºformat that minimised errors and dramatically simplified º
        - Computing company Burroughs installed Swift's dedicated
          computers and connections in Montreal, New York, and 13
          European banking centres. 
        WºEach nation's banks would plug into those central hubsº.
     - Today: SWIFT Underlying hardware and software continues to change.
       - transmitting and storing 7.8 billion highly sensitive 
         cross-border banking instructions last year. 
       - co-operative structure of the institution:
         - 9.000 member banks and financial institutions currently 
           agree standards and resolve disagreements.
       -RºHacks, outages and other problems have occurredº
         - often weaknesses in the systems of banks from smaller/poorer
      The big grey boxes which helped build the internet
     But having largely solved one problem, Swift may have created another.
     - Want to track terrorist financing?
       Examine the Swift database.
     - Want to destroy the Iranian economy?
       Tell Swift to deny access to their banks.
     - Swift has found itself unable to resist direct orders from 
       the US, even when the EU disagrees.
     Rº"...Swift isn't interested in geopolitics, but geopoliticsº
     Rºis interested in Swift..."                                º


The communication protocols can be broken down into:

  SWIFTNet InterAct Realtime
  SWIFTNet InterAct Store and Forward

  SWIFTNet FileAct Realtime
  SWIFTNet FileAct Store and Forward

  SWIFTNet Browse

Other SWIFT products/protocols:
cross-border payments.

 - $40 trillion gpi payments sent in 2018
 - 56%+ of all SWIFT payments are now sent on gpi
 - All payments on SWIFT are tracked end-to-end,
   thanks to the Unique End-to-End Transaction Reference 
 - Same day credit to the end beneficiary of nearly all payments:
   - 50% within 30 minutes;
   - 40% credited within 5 minutes; many in just seconds
 - $300+ billion carried over gpi every day across 1,100+ 
   country corridors, representing 80% of all SWIFT cross-border payments 
   (and growing!)
 - Tracking payments across 55 networks and market infrastructures

- Currently, when a payment is received by a gpi bank, those payments are 
  confirmed by a credit transfer, providing end-to-end visibility and 
  tracking to the sender, cutting down on investigations and improving 
  customer service.

- By the end of 2020, all SWIFT institutions will also be able to confirm 
  inbound payments. To facilitate this, this year we are introducing a simple 
  version of the gpi Tracker. When realised, our ‘Tracker for all’ vision 
  will help ensure all financial institutions have access to payment tracking 
  and updating capabilities, bringing the benefits of gpi to the whole community.

(Wim Raymaekers, gpi programme director at SWIFT)
""" Our aim is to make cross border payments to be as seamless
    for banks as domestic payments."""
""" this year will see SWIFT address one of the 
   ºmajor pain pointsº for banks: payments getting stuck in
    transit due to inaccurate beneficiary account information
    ...  initiating banks will be able to access a real-time
    API-based mechanism, enabling them to seamlessly check beneficiary 
    account information with the ultimate receiving banks. 
    ... allowing banks to remedy any inaccurate or missing information
   ºAnother major pain pointº: we’re aiming to tackle:
   - exceptions and investigations: 
     - chasing up missing payments with counterparties is a source of frustration.
       It's a labour intensive and costly exercise, which adds complexity and
       unnecessary process loops into payment transactions. 
     - A new case resolution servicewill allow gpi banks to easily and
       quickly investigate payments to get to the bottom of the problem
       and resolve any issues.

   - Solving pain points for corporate treasurers:
     - in mid-2019 we will open up gpi to corporate treasurers,
       enabling corporates to initiate and track gpi payments
       across all of their banking portals through a single window
      ºin their treasury management and ERP systemsº
     - SWIFT will allow major multi-banked corporates to solve some of 
       their key challenges such as improving liquidity management,
       receiving payment confirmations, ºoptimising payments routesº
       and getting more value out of their banking relationships. 

- (proof of concept state): 
  - it will allow participants involved in closed trade transactions
    on DLT (and non-DLT) ecosystems to settle the payment leg of
    their trades using gpi and benefit from fast, secure settlement 
    using a fiat currency.
    (first participant in blockchain: R3)
SWIFT Messages and Categories

Category           Description
Cat. 1 Message     Customer Payments and Cheques
Cat. 2 Message     Financial Institution Transfers
Cat. 3 Message     Treasury markets - foreign exchange, money markets and derivatives
Cat. 4 Message     Documentary Collections
                   The most common ones are :
                   MT 410 : Sent by the Importer's|Collecting Bank as Acknowledgement of having
                            received a collection from Exporter's|Remitting bank
                   MT 420 : Sent by Exporter's|Remitting Bank when it does not receive MT 410 
                            in time
Cat. 5 Message     Securities Markets
Cat. 6 Message     Treasury markets - precious markets and syndications
Cat. 7 Message     Documentary Credits and Guarantess / Standby Letters of Credit 
                   MT 700 - Letter of credit
                   MT 701 - LC Continaution
                   MT 707 - LC Amendment
                   MT 732 - Advice of Discharge
                   MT 734 - Advice of Refusal

                   MT 754 - Advice of Payment/Acceptance/Negotiation
                   MT 756 - Advice of Reimbursement or Payment
                   MT 740 - Authorization to Reimburse
                   MT 747 - Amendement to Authorization to Reimburse
                   MT 742 - Reimbursement Claim

Cat. 8 Message     Travellers Cheques
Cat. 9 Message     Cash Management and Customer Status
Cat. 0 Message     System Messages

ºREQUESTSº                                      ºADVICE (EVENT NOTIFICATION)º
MT 101 Request for Transfer                      MT 256ºadviceºof Non-Payment of Cheques
MT 104 Direct Debit and Request for              
       Debit Transfer Message (STP)              MT 304ºadvice ofº
MT 111 Request for Stop Payment of a Cheque             - Instruction of a Third Party Deal
MT 112 Status of a Request for Stop Payment             - Instruction of a Third Party FX Deal
       of a Cheque                                      - Loan/Deposit Interest Payment
                                                        - Interest Rate Reset of Payment
MT 207 Request for                               
       Financial Institution Transfer            MT 4??ºadviceºof:
                                                        - Payment
MT 422 Advice of Fate and Request for                   - Acceptance
       Instructions                                     - Non-Payment/Non-Acceptance
MT 549 Request for Statement/Status Advice              - Fate and Request for
MT 810 T/C Refund Request                               - Cash Letter Credit
MT 820 Request for T/C Stock                            - Cash Letter Credit Adjustment
                                                        - Dishonor
MT 920 Request Message                           MT 5??ºAdviceºof:
MT 973 Netting Request Message                          - Collateral Status and Processing
                                                        - Intra-Position
MT_101 - Request for Transfer ValidateMt_103            - Registration Status and Processing
                                                        - Clientºadviceºof Execution
General:                                                - Statement of Intra-Position
MT ?91 Request for Payment of Charges,                  - Settlement Status and Processing
       Interest and Other Expenses                      - Request for Statement/Status
MT ?92 Request for Cancellation                         - Triparty Collateral Status and Processing
                                                        - Corporate Action Status and Processing
                                                        - Reimbursement Claim or Advice
ºSTATEMENTS OFº                                         - Depositary Receipt Status and Processing
- Collateral and Exposure                        
- º Holdings                                     MT 6??ºAdvice of*:
- Transactions                                         - Precious Metal Debit
- Pending Transactions                                 - Precious Metal Credit
- Intra-Position Advice                                - Rate and Amount Fixing
- Triparty Collateral and                        
  Exposure Statement                             MT 705 ºadviceºof:
- Open Orders                                          - a Documentary Credit
- Numbers                                              - a Third Bank?s Documentary Credit
- Allegement                                           - a Third Bank?s Documentary Credit
- ETC Pending Trades                                   - Discharge
- Settlement Allegements                               - Refusal
- a Metal Account                                      - Discrepancy
- Metal Contracts                                      - Payment/Acceptance/Negotiation
- Netting Statement                                    - Reimbursement or Payment
- Netting Interim Statement                            - Reduction or Release
- ..                                             
                                                 MT 800ºadviceºof:
                                                       -T/C Sales and Settlement[Single]
                                                       -T/C Multiple Sales Advice
                                                       -T/C Settlement Advice
                                                 MT 935 Rate Change Advice
                                                 MT ?90ºadviceºof Charges, Interest, 
                                                        and Other Adjustments

MT 102 Multiple Customer Credit Transfer
MT 102+(STP) Multiple Customer Credit Transfer (STP) 
MT 103 Single Customer Credit Transfer
MT 103+(REMIT) Single Customer Credit Transfer (REMIT) 
MT 103+(STP) Single Customer Credit Transfer (STP)
MT 121 Multiple Interbank Funds Transfer
       (EDIFACT FINPAY Message) 

MT 200 Financial Institution Transfer for its Own Account
MT 201 Multiple Financial Institution Transfer for its Own Account
MT 202 General Financial Institution Transfer
MT 202+(COV) General Financial Institution Transfer ? Cover
MT 203 Multiple General Financial Institution Transfer
MT 205 Financial Institution Transfer Execution
MT 604 Precious Metal Transfer/Delivery Order
MT 720 Transfer of a Documentary Credit
MT 721 Transfer of a Documentary Credit
MT 823 T/C Inventory Transfer
MT_103 ? Single Customer Credit Transfer ValidateMt_103_STP
MT_103_STP - Single Customer Credit Transfer ValidateMt_202
MT_202 - General Financial Institution Transfer ValidateMt_210

MT 541 Receive Against Payment
MT 543 Deliver Against Payment
MT 545 Receive Against Payment Confirmation
MT 547 Deliver Against Payment Confirmation
MT 646 Payment of Principal and/or Interest

SWIFT Blockchain PoC
  In December 2017, I wrote about the SWIFT Blockchain Proof of concept (PoC
  ), and why I felt that the result was most likely going to be "DLT for 
  international payments processing is still work in progress ".
  SWIFT finally released the results of the PoC this month and have confirmed 
  that there is a lot more work needed within Banks' back office technology 
  and operational processes for DLT to be relevant.
  The PoC was aimed at international payments and how intraday/real time 
  liquidity management could be performed using DLT. Correspondent banks 
  provide services on behalf of another overseas financial institution 
  through a correspondent account (Nostro/ Vostro account). However, about 34%
  of the cost of an international payment is related to Nostro trapped 
  liquidity. This is due to the lack of real-time data to optimize intraday 
  liquidity management.
  Managing Nostro accounts and ensuring there is no over funding or overusage 
  of credit lines depend on availability of real time data. A real-time feed 
  of transaction data would allow banks to release payments to customers 
  quicker, whilst reducing liquidity risks.
  With that as the driver behind the initiative, a consortium of 34 banks 
  worked on this use case with SWIFT. In Q1 2017 SWIFT had launched their 
  Global Payments Initiative (GPI) with these banks and it went live without 
  DLT. SWIFT wanted to get their product out using legacy systems, and not 
  wait for the results of the DLT prototype.

  The results of the DLT prototype are as follows:
  | Nostro DLT application, combined with the ISO 20022 data model, delivered the 
  | business functionalities and data richness required for automated real-time 
  | liquidity monitoring and reconciliation. Real-time confirmation of each account
  | entry and use of the unique end-to-end transaction reference (UETR) - SWIFT's 
  | central payments tracker, made it possible.
  | Further progress is needed on DLT technology before it is ready to support 
  | applications in large scale critical global infrastructures. 528 channels were 
  | required in the PoC to ensure Nostro accounts would only be stored on the nodes
  |  of their account servicers and owners. But when the solution is in production,
  |  more than 100,000 such channels would need to be defined. DLT solution hasn't 
  | matured yet to handle that load
  | All Nostro Account service providers will need to migrate their back-office liq
  | uidity reporting process from Batch to real time processing. ISO 20022, will ne
  | ed to be applied across banks to ensure data shared across different banks has 
  | consistent data elements. Such a common data model is essential to reduce integ
  | ration costs (between SWIFT and the banks).
  | We will continue our R⅋D efforts to ensure that SWIFT customers will be able to
  |  leverage their existing SWIFT infrastructure and connectivity to benefit from 
  | blockchain services, whether offered by SWIFT or by third parties, on a secure 
  | and trusted platform.
  | Stephen Gilderdale, Chief Platform Officer, SWIFT
  | While the existing GPI has been successful for SWIFT, for the GPI to use DLT, i
  | t requires all banks to have a real time infrastructure. SWIFT is currently foc
  | used on helping that transformation happen.
  | Adoption of ISO 20022 is a pre-requisite to save costs before DLT can be beta t
  | ested for wider adoption. As this progresses, SWIFT will continue to explore ad
  | vancements within the DLT space to ensure there are no non-functional performan
  | ce/scaling challenges.
  | I see this as a major setback for banks' adoption of Blockchain. If banks' back
  |  office processes and technologies need to be transformed before DLT can be use
  | d, we may have to wait for a good part of another decade.
  | The official press release mentions that it is a question of "when rather than 
  | an if" for DLT to be used in this context. However, I believe that is a gross u
  | nderestimation of banks' inability to transform their back office technology an
  | d operational processes.
  | Arunkumar Krishnakumar is a Fintech thought leader and an investor.
  | Daily Fintech.
- Valid from November 27st 2018

- EBICS 3.0 allows banks to provide standardized access for multiple countries 
  on the basis of one standardized and fully harmonized infrastructure and can 
  also be used for clearing access for Single Euro Payments Area (SEPA) payments.
    While EBICS is currently only mandatory in Germany, other countries 
  including France and Switzerland have adopted the protocol and it has the 
  potential to become a European standard.
Electronic funds transfer at point of sale (EFTPOS /ˈɛftpɒs/) is an 
electronic payment system involving electronic funds transfers based on the 
use of payment cards, such as debit or credit cards, at payment terminals 
located at points of sale. EFTPOS technology originated in the United States 
in 1981 and was adopted by other countries. In Australia and New Zealand, it 
is also the brand name of a specific system used for such payments; these 
systems are mainly country specific and do not interconnect.

Debit and credit cards are embossed plastic cards complying with ISO/IEC 7810 
ID-1 standard. The cards have an embossed bank card number conforming with 
the ISO/IEC 7812 numbering standard. 
ATM: Repalce the function of tellers in cash receiving and dispensing,
    fund transfer between accounts, balance enquiries, ...
Financial Market Protocols
The Financial Information eXchange (FIX) protocol is an electronic communications
protocol initiated in 1992 for international real-time exchange of information 
related to the securities transactions and markets. With trillions of dollars 
traded annually on the NASDAQ alone, financial service entities are investing 
heavily in optimizing electronic trading and employing direct market access (DMA)
 to increase their speed to financial markets. Managing the delivery of trading
applications and keeping latency low increasingly requires an understanding of 
the FIX protocol.

- ºQuickFIX/Jº
  @[] - 100% Java implementation of the popular QuickFIX open source FIX protocol
    engine. QuickFIX/J features include support for FIX protocol versions 4.0 
    through 4.4 and 5.0/FIXT1.1 (@[]).

- ºPyPy for FIX and HFTº
  Minute ~19:30 to ~ 24:00
  """ At 20:00 there is no trading (no UDP packets arriving) ..
      I have servers with a lot of memory.
      The final solution is to stop garbage collection between trading
      tims, and bring it back during the night.
      - This can be achieved using a latest Pull request of PyPy that 
        gives us 2 new abilities:
      Bº- gc.disable()     º
      Bº- gc.collect_step()º

  Java 11 comes with an no-op garbage collector.
  It can be enabled by the Bº-XX:+UseEpsilonGCº option at JVM start.
  - According to the JEP decription one of its goals is to make certain
    short-lived jobs more efficient, what might be you use case:
    - Extremely short lived jobs. A short-lived job might rely on exiting
      quickly to free the resources (e.g. heap memory). In this case, accepting
      the GC cycle to futilely clean up the heap is a waste of time, because the heap
      would be freed on exit anyway. Note that the GC cycle might take a while, 
      because it would depend on the amount of live data in the heap, which can be
      a lot.

FAST FIX Adapted for streaming
- technology standard developed by FIX Protocol Ltd., specifically aimed
 at optimizing data representation on the network. It is used to support high-
throughput, low latency data communications between financial institutions.

In particular, it is a technology standard that offers significant 
compression capabilities for the transport of high-volume market data feeds 
and ultra low latency applications

Exchanges that have adopted FAST
- NYSE Archipelago
- CME Group (CME)
- International Securities Exchange (ISE)
- NasdaqOMX
- SIX Swiss Exchange
- Eurex
- Xetra (trading system)
- Bombay_Stock_Exchange (BSE Ltd, India)
- Nordic Growth Market (NGM)
- Moscow Exchange (MOEX)
- Shanghai Stock Exchange (SSE, China)
B2B protocols
See also

S4 (Applicability Statement 4) is a Conformance Profile of the OASIS ebMS 3.0 
specification,[1] and represents an open standard for the secure and payload-agnostic
exchange of Business-to-business documents using Web services. Secure document 
exchange is governed by aspects of WS-Security, including XML Encryption and 
XML Digital Signatures. Payload agnosticism refers to the document type (e.g. 
purchase order, invoice, etc.) not being tied to any defined SOAP action or 

AS4 became a standard in 2013.[2] The majority of the AS4 profiling points 
constraining the ebMS 3.0 specification are based upon the functional 
requirements of the AS2 specification. By scaling back ebMS 3.0 using AS2 as 
a blueprint, AS4 provides an entry-level on-ramp for Web services B2B by 
simplifying the complexities of Web services.[clarification needed]

Key Technical Highlights

    Support for SOAP 1.1 and 1.2 enveloping structure
    Payload agnosticism
    Support for single or multiple payloads contained either within the SOAP 
        body or as SOAP attachment(s)
    Support for payload compression
    Support for message-level security including various combinations of XML 
        Digital Signature and/or XML Encryption
    Support for X.509 security tokens and username/password tokens
    Support for business receipt of non-repudiation similar to the Message 
        Disposition Notification (MDN)[3] used by AS2 and specified as an XML 
        schema by the ebXML BPSS group
    Support for the ebMS 3.0 One-Way/Push message exchange pattern with support
        for either synchronous or asynchronous responses
    Support for the ebMS 3.0 One-Way/Pull message exchange pattern which is 
        beneficial for exchanging documents with non-addressable endpoints
Universal Business Language
Universal Business Language (UBL) is an open library of standard 
electronic XML business documents for procurement and 
transportation such as purchase orders, invoices, transport 
logistics and waybills. UBL was developed by an OASIS Technical 
Committee with participation from a variety of industry data 
standards organizations. UBL is designed to plug directly into 
existing business, legal, auditing, and records management practices
.[1] It is designed to eliminate the re-keying of data in existing 
fax- and paper-based business correspondence and provide an entry 
point into electronic commerce for small and medium-sized businesses.
EDI Electronic data interchange

Extracted from:
example of an EDIFACT message used to answer to a flight ticket 
(FRA-JFK-MIA) availability request:
  │UNA:+.? '
Trade Harmonized System (HS) codes
- HS:  Harmonized System. (World Customs Organization)  describing
       type of good/commodities shipped.
- Worldwide standard (adopted by 200+ countries)
- universal economic language.
- customs and port officers must use HS code to clear every commodity that 
  enters or crosses any international borders.

- HS Code Structure
  - 6 (7,8 in some countries) digit identification code.
  - 5000 commodity groups.
    - groups have 99 chapters.
      - chapters have 21 sections.
  - It’s arranged in: (legal , logical) structure.
  - used extensively in electronic messages like EDIFACT!!!.  

- Used also for collection of international trade statistics

- Used to monitor, update, and optimize controlled goods,
  internal taxes, rules of origin, trade policies, transport statistics,
  freight tariffs, compilation of national accounts, quota controls, 
  price monitoring, traffic statistics, and economic research as
  well as analysis.

- governed by "The International Convention on the Harmonized Commodity
   Description and Coding System".

- WARN: Improper usage of the HS code could result in an 
  improper tariff being applied by customs, which can increase the cost 
  of imports to the customer exponentially.

GS1 Standards

Key in Border Procedure management ("Customs")

- GS1: not-for-profit organization that develops and maintains 
  global standards for business communication. 
  - best known:ºGS1 barcode standardsº
  -ºThe most influential GS1 standard is the GTIN.º
   ºIt identifies products uniquely around the world and formsº
   ºthe base of the GS1 system.º

- 100+ local member organisations, 2+ million user companies.

- Standards form a business language that identifies, captures
  and shares key information about products, locations, assets
  and more.

- 2018-08: GS1 Web URI Structure Standard to allow
  unique ID's to be added to products by storing a URI 
  (a webpage-like address) as a QR code.

- Some of the barcodes that GS1 developed and manages are:
  - EAN/UPC        : used mainly on consumer goods
  - GS1 Data Matrix: used mainly on healthcare products
  - GS1-128        :
  - GS1 DataBar    :
  - GS1 QR Code    :

Other Main GS1 standards are:
- Application Level Events (ALE)
- Core Business Vocabulary (CBV)
- EAN/UPC barcodes
- EPC/RFID tags
- Global Data Model
- Global Data Synchronization Network (GDSN)
- Global Document Type Identifier (GDTI)
- Global Individual Asset Identifier (GIAI)
- Global Identification Number for Consignment (GINC)
- Global Location Number (GLN)
- Global Product Classification (GPC)
- Global Returnable Asset Identifier (GRAI)
- Global Service Relationship Number (GSRN)
- Global Shipment Identification Number (GSIN)
- Global Trade Item Number (GTIN)
- GS1-128
- GS1 DataBar
- GS1 DataMatrix
- GS1 Digital Link
- ITF-14
- Low-Level Reader Protocol (LLRP)
- Object Name Service (ONS)
- Serial Shipping Container Code (SSCC)

- Industries:
  - Retail and Marketplaces
    Major e-commerce companies such as eBay, Amazon and Google Shopping 
    require companies to use a GS1 GTIN to sell on their 
  - Healthcare: standards to:
    - improve traceability of products from the manufacturer to patient.
    - contribute to detect counterfeit products, prevent medication 
      errors, enable effective recalls and support clinical processes.
  - Other industries:
    Transport⅋Logistics, Food service and Technical Industries. 

Eclipse Calypso
-fast and secure off-line contactless transaction

Calypso is a set of specifications describing a fast and secure off-line 
contactless transaction, between a portable object and a terminal. It has 
been created at the end of the 1990s by some european public transport 
operators or authority (RATP and SNCF in Paris and all France, STIB in 
Brussels, OTLIS in Lisbon, ACTV in Venice, Konstanz in Germany), in order to 
create an open , interoperable and secure standard independent from 
industrials to ensure a real competition.

Today Calypso represent 20% of the world market of ºcontactless smartº 
ºticketingº in 25 countries and 125 cities. It brings to his user a guarantee 
of security and interoperability which relies on a total compliance with 
existing standards  (ISO 14443, ISO 7816-4 [identity], Global Platform). The Calypso 
standard is managed by the Calypso Networks Association (CNA) , which is led 
by transports operators and public authorities in order to ensure openness 
and independence from industrials in confront of other proprietary schemes.

The openness for a contactless ticketing standard can be evaluated for the 
two mains components of ticketing systems, with the complementary concern 
about guarantee of security:

    Cards and portable objects (mobile phones, Java objects, wearables, …)
    Terminals (validators, vending equipment, …)
LexiFi's: Modeling Language for Finance

Developed by the company LexiFi, the Modeling Language for Finance (MLFi) is 
the first formal language that accurately describes the most sophisticated 
capital market, credit, and investment products. MLFi is implemented as an 
extension of OCaml.

MLFi users derive two important benefits from a functional programming 
approach. First, the declarative formalism of functional programming 
languages is well suited for specifying complex data structures and algorithms
. Second, functional programming languages have strong list processing 
capabilities. Lists play a central role in finance where they are used 
extensively to define contract event and payment schedules.

In addition, MLFi provides crucial business integration capabilities 
inherited from OCaml and related tools and libraries. This enables users, for 
example, to interoperate with C and Java programs, manipulate XML schemas and 
documents, and interface with SQL databases.

Data models and object models aiming to encapsulate the definitions and 
behavior of financial instruments were developed by the banking industry over 
the past two decades, but face inherent limitations that OCaml helped 

LexiFi's approach to modeling complex financial contracts received an 
academic award in 2000, and the MLFi implementation was elected “Software 
Product of the Year 2001” by the magazine Risk, the leading financial trading 
and risk management publication. MLFi-based solutions are gaining growing 
acceptance throughout Europe and are contributing to spread the use of OCaml 
in the financial services industry
DvP Settlement Procedures
In the aftermath of the worldwide markets crash of 1987, settlement procedures 
around DvP were strengthened to control principal risk in a DvP transaction. As 
just one example of how much effort is put into streamlining DvP, consider the 
European T2S (TARGET2-Securities) project — a massive, 9-year project to 
build a single settlement system capable of offering centralized DvP settlement 
in central bank money across all European securities markets.

From @[]
"""Safer and more efficient securities settlement
  T2S revolutionised securities settlement in Europe because it brought 
  an end to complex cross-border settlement procedures and the problems 
  caused by different settlement practices among countries.
  Instead with T2S we have a common platform on which securities and 
  cash can be transferred between investors across Europe, using 
  harmonised rules and practices. Currently 20 European countries use 
  Banks pay for securities on the platform using the account they have 
  with their central bank, so the money used to settle transactions is 
  central bank money. As a result, transaction risk is greatly reduced.

From an operational perspective DVP is a sale transaction of 
negotiable securities (in exchange for cash payment) that can be 
instructed to a settlement agent using SWIFT Message Type MT 543 (in 
the ISO15022 standard). Use of such standard message types is 
intended to reduce risk in the settlement of a financial transaction, 
and enable automatic processing. Ideally, title to an asset and 
payment are exchanged simultaneously. This may be possible in many 
cases such as in a central depository system such as the United 
States Depository Trust Corporation. 

From the edges, DvP seems simple enough: Alice has cash and wants to 
use it to buy some shares of BigCorp, Bob has some BigCorp shares 
that he wants to sell, they agree on a price and make the exchange. 
What ends up turning DvP into a complex workflow begins with the fact 
that such transfers carry principal risk — the risk that either the 
seller of the security receives payment but does not deliver the 
security, or vice versa. Principal risk is of huge concern in the 
securities industry, as such risk is not limited to the parties 
directly involved but can reverberate through the entire system. 
Indeed, according to the 1992 paper Delivery versus payment in 
securities settlement systems, “principal risk in securities 
clearance and settlement systems is generally recognised to be the 
largest potential source of systemic risk, that is, the risk that the 
inability of one institution to meet its obligations when due will 
cause other institutions to fail to meet their obligations when due, 
ultimately jeopardising the stability of payment systems and of 
financial markets.”
Resolution is the orderly restructuring of a bank by a resolution authority when
the bank is failing or likely to fail. This procedure ensures that a bank failure
does not harm the broader economy or cause financial instability.

The single resolution mechanism (SRM) applies to banks covered by the single 
supervisory mechanism. It is the second pillar of the banking union.
  The Markets in Financial Instruments Directive 2004/39/EC (known as "MiFID"[1])
as subsequently amended[2] is a European Union law that provides 
harmonised regulation for investment services across the 31 member states of 
the European Economic Area (the 28 EU member states plus Iceland, Norway and 
Liechtenstein). The directive's main objectives are to increase competition 
and consumer protection in investment services. As of the effective date, 1 
November 2007, it replaced the Investment Services Directive (ISD).[3] 
  MiFID II (the update to MiFID and introduction of MiFIR) comes into effect 
on the 3rd January 2018. The changes are broad-reaching, covering multiple 
asset classes and a significant part of the trade lifecycle. FIX Trading 
Community has, over the last few years, engaged in a number of the topics 
covered by MiFID II and is well placed to assist the industry – practitioners
, regulators and solution providers – in a number of key topics.
  To this end, FIX Trading Community™ has a number of MiFID-related 
initiatives in progress, reflecting the critical significance of effective 
connectivity as a key concern to members and other FIX® users. FIX maintains 
an ongoing dialogue with the regulatory community and are engaged with them 
to develop practical solutions to the requirements of MiFID II.
- The directive that will change banking as we know it
It introduces two new types of players to the financial landscape: PISP and AISP.
AISP (Account Information Service Provider) are the service providers with 
access to the account information of bank customers. Such services could analyze
a user’s spending behavior or aggregate a user’s account information from 
several banks into one overview. PISP (Payment Initiation Service Provider) are
the service providers initiating a payment on behalf of the user. P2P transfer 
and bill payment are PISP services we are likely to see when PSD2 is implemented.

Basel Accords
Target: minimize the debt of financial entities and guarantee their capacity 
        to react against operational, credit and market risks.

Basel I (1988)
  Estableció unos principios básicos en los que debía fundamentarse la actividad 
bancaria como el capital regulatorio, requisito de permanencia, capacidad de 
absorción de pérdidas y de protección ante quiebra. Este capital debía ser
suficiente para hacer frente a los riesgos de crédito, mercado y tipo de cambio.

  El acuerdo establecía también que el capital mínimo de la entidad bancaria debía
ser el 8% del total de los activos de riesgo (crédito, mercado y tipo de cambio 

Basel I (2004):
 Desarrolla de manera más extensa el cálculo de los activos ponderados
por riesgo y permitía que las entidades bancarias aplicaran calificaciones
de riesgo basadas en sus modelos internos, siempre que estuviesen 
previamente aprobadas por el supervisor. 

 Este acuerdo incorporaba, por lo tanto, nuevas tendencias en la medición
y el seguimiento de las distintas clases de riesgo. Se hizo énfasis en
metodologías internas, revisión de la supervisión y disciplina de mercado.

Basel I (2010):
  Intentó adaptarse a la magnitud de la crisis económica, atendiendo
a la exposición de gran parte de los bancos de todo el mundo a los
"activos tóxicos" en los balances de los bancos y en los derivados que
circulaban en el mercado. 
  El temor al efecto dominó que pudiera causar la insolvencia de los bancos,
hizo que se establecieron nuevas recomendaciones como:

  - Endurecimiento de los criterios y aumento de la calidad del volumen de
    capital para asegurar su mayor capacidad para absorber pérdidas.

  - Modificación de los criterios de cálculo de los riesgos para disminuir
    el nivel de exposición real.

  - Constitución de colchones de capital durante los buenos tiempos que 
    permitan hacer frente el cambio de ciclo económico. 

  - Introducción de un nuevo ratio de apalancamiento como medida complementaria 
    al ratio de solvencia.

La gestión de metadatos en los Acuerdos de Basilea:
  El requerimiento de transparencia de los Acuerdos de Basilea y la necesidad de
justificar un valor a auditores externos hace necesaria la capacidad de rastrear
la información con precisión y por eso proponemos la reutilización de los metadatos
de la organización o la implementación de nuevos metadatos para evitar posibles
retrasos en el día a día de la organización cada vez que haya que recabar información
para explicar un valor.

Basilea II establece las condiciones mínimas que una entidad bancaria debe tener 
para asegurar su estabilidad en un ecosistema económico mundial.

Aparte de satisfacer S10-6 (Basel Supervisory), una buena Gestión de Metadatos permite
analizar el curso de los datos en vertical y en horizontal desde la fuente, pasando
por las funciones de transformación hasta el informe en la capa de Reporting

Otro de los beneficios de la gestión de metadatos es la capacidad de hacer análisis
de impacto de forma automática. Esto supone la capacidad de ver cómo impacta un
cambio en el ecosistema de aplicaciones. Por ejemplo, un cambio en los datos de un
cliente en una aplicación front-end pueden ocasionar un conflicto con los contratos
o los procesos asociados a ese mismo cliente en otra aplicación de back-office y
eso podría generar inconsistencias operacionales, descuadres e incidencias serias en la 
capa de reporting.

BCBS 239
 Basel Committee on Banking Supervision's standard number 239. 
The subject title of the standard is: "Principles for effective risk data 
aggregation and risk reporting". The overall objective of the standard is to 
strengthen banks’ risk data aggregation capabilities and internal risk 
reporting practices, in turn, enhancing the risk management and decision 
making processes at banks.[1] 
US Financial
In the United States, the Financial Industry Regulatory Authority, Inc. (FINRA
) is a private corporation that acts as a self-regulatory organization (SRO). 
FINRA is the successor to the National Association of Securities Dealers, Inc
. (NASD) and the member regulation, enforcement and arbitration operations of 
the New York Stock Exchange. It is a non-governmental organization that 
regulates member brokerage firms and exchange markets. The government agency 
which acts as the ultimate regulator of the securities industry, including 
FINRA, is the Securities and Exchange Commission.shes much educational 
information for the public and has been publishing and disclosing the 
education and exam requirements for USA based credentials, charters, 
designations and certifications that are offered by SROs for about a decade.[9]
Bank for
Target 2

Europe GDP settled every 5 days.

TARGET2 is based on a technically centralised platform ? the SSP ? and all 
users, irrespective of their location, have access to the same services, 
functionalities and inter faces at the same price.

The SSP of TARGET2 was set up using a modular approach. Every module in the 
SSP is closely related to a specific service (e.g. the Payments Module for 
the processing of payments). Some of the modules (Home Accounting, Standing 
Facilities and Reserve Management Modules) can be used by individual central 
banks on an optional basis. Central banks that do not use these modules offer 
the respective services via proprietary applications in their domestic 
technical environments.  SWIFT standards and services (e.g. FIN, InterAct, 
FileAct and Browse) are used to enable standardised communication between the 
TARGET2 system and its participants. Since November 2010 TARGET2 has also 
offered internet-based access for low-volume participants 


- it might be necessary to connect TARGET2 to TARGET Instant Payment Settlement
(TIPS) if the implementation of TIPS (currently under investigation) is 
confirmed by the Governing Council. 
One more, although minor, amendment of TARGET2  already foreseen for release 
12.0 is the update of the SWIFT standard for BICs 
(update of ISO 9362standard)?
TIPS: TARGET instant payment settlement (TIPS)
New service for the settlement of instant payments, enabling payment service 
providers to offer fund transfers in real time and around the clock, 365 days 
a year.
Instant payments will increase the speed of euro payments in the European 
Union. Today it takes up to one business day for a payment in euro to reach 
the beneficiary . 
With instant payments, the funds will be available immediately for use by the 
recipient, 24/7/365.
From an end-user perspective, the benefit of instant payments is the ability 
to make time-sensitive payments immediately, wherever and whenever necessary. 
The implementation of instant payments may also provide the basis for service 
enhancements and value-added services, e.g. person-to-person mobile 
Payment service providers are encouraged to make instant payment solutions in 
euro available at a pan-European level as of November 2017. Although it is 
not mandatory for payment service providers to offer SCTinst, it is expected 
that a large number of them will do so.
The TIPS pricing policy will favour reachability. The entry and maintenance 
fees for an account in TIPS will be set at zero. The charges to be paid per 
transaction will be proportional to the volume of instant payments processed 
via TIPS in order to comply with our full cost recovery principle. In this 
context, the feedback on expected volumes in the market consultation was very 
encouraging. It exceeded the volumes initially estimated by the Eurosystem 
both as regards total market volumes and the volumes that market participants 
would expect to process in TIPS. The Eurosystem will offer the service to 
banks at the price of a maximum of 0.20 eurocent (?0.0020) per payment for at 
least the first two years of operation.

EU Payment Services
EU Payment Services
SEPA: Single Euro Payment Area

SEPA in practice @[] Dear Cloud Rider, - Do you know that SEPA direct debit is available as a payment method at Scaleway? Let’s introduce you to the advantages provided by this solution. - Security: SEPA direct debit enables customers to benefit from a straightforward, convenient and totally secure new method of payment. - Simplicity: SEPA direct debit eliminates failed payments due to card expiration or cancellation. - Supervision: SEPA direct debit ensures you pay your invoice on time, every month. - Control: SEPA direct debit can be revoked at any time from the console or by contacting your bank. - All that needed is to enter the BIC and IBAN - Ex SEPA Bank Debit Order ("Domiciliación") form: - Creditor: - Name - Address - Postal Code - Fiscal Iden. Number: ... - Debitor: - Name - Address - Postal Code - Fiscal Iden. Number: ... -ºSWIFT BIC (8 | 11 chars):º -ºIBAN Number:º - Payment Type: - Recurrent YES|NO - Signature
EU E-money Directive
EU E-money Directive

of 16 September 2009

on the taking up, pursuit and prudential supervision of the business of electronic money institutions amending Directives 2005/60/EC and 2006/48/EC and repealing Directive 2000/46/EC
Fiscal Transparency
Exchange Software
LMAX Disruptor
LMAX aims to be the fastest trading platform in the world. Clearly, in order 
to achieve this we needed to do something special to achieve very low-latency 
and high-throughput with our Java platform. Performance testing showed that 
using queues to pass data between stages of the system was introducing latency
, so we focused on optimising this area

The Disruptor is the result of our research and testing. We found that cache 
misses at the CPU-level, and locks requiring kernel arbitration are both 
extremely costly, so we created a framework which has "mechanical sympathy" 
for the hardware it's running on, and that's lock-free.

See also:
EclipseTrader stock exchange analysis
- featuring shares pricing watch, intraday and history charts with technical 
  analysis indicators, level II/market depth view, news watching, automated 
  trading systems, integrated trading. Based on Eclipse RCP framework.
Financial Platforms
Murex MX.3
- trading
- treasury
- Risk Management
- TX management
- Clients:
  - UBS6
  - Banque nationale du Canada
  - Bank of China
  - OCBC Bank
  - China Merchants Bank
  - ATB Financial
  - ...
- OpenUnderwriter is an open source software house specialising in the development
  of IT solutions for the insurance market.
- Specialists in the areas of eBusiness and component based development, the team
  has developed technology for a number of major insurance companies.
- The OpenUnderwriter platform has been collaboratively developed by some of the 
  best technical brains in the Insurance Industry and offers a viable alternative
  to traditional solutions. To date, OpenUnderwriter has been downloaded over 
  26,000 times in 30 countries.
- Our goal is simple, we are focused on enabling insurers and brokers to perform 
  more effectively by providing a powerful, adaptable and robust open source 
  insurance software toolset that removes the traditional barriers associated with
  insurance software adoption, including high cost of ownership, slow time to 
  market and restrictive long term contracts.

  - QUOTE and BUY - Onine, direct to market policy sales                       
  - RATING ENGINE - Powerful, flexible and fast                                
  - PROPOSAL FORMS - Dynamic, user friendly and configurable                   
  - EXCEL RATING SHEETS - Configure rating rules using Excel                   
  - QUOTE AGGREGATION - Compare quotes from many providers                     
  - SINGLE QUOTE - Provide quotes from an individual provider                  
  - PREMIUM COLLECTION - Integrate with a wide range of payment providers      
  - MOBILE READY - Serve the mobile market as well as the traditional          
  - PRODUCT DEVELOPMENT - Develop and tailor you own product lines             
  - GENERAL LINES - Supports general lines insurance                           
  - COMMERCIAL LINES - Supports commercial lines insurance                     

  - DATA MANAGEMENT - Powerful, flexible data management and export
  - DATA ANALYSIS - Collate point in time data for analysis
  - COMBINE DATA SOURCES - Analyise multiple sources and types of data
  - SECURE - Secure, robust and stable environment
  - FULLY WEB ENABLED - Transact business and work over the web
  - UNLIMITED USERS - No restrictions on the number of users
  - UNLIMITED PROCESSORS - No restrictions on the number of processor
  - FLEXIBLE HOSTING - Can be hosted locally, or in the cloud
  - SOURCE AVAILABLE - Access, Audit or download the code at any time
  - FLEXIBLE LICENCING - No long-term restrictive contract
  - HIGHLY SCALABLE - System can scale to satisfy business demands
  - WORKFLOW - Manage your business processes
  - WEB CMS - Host whole insurance websites if required

  - NICHE PRODUCTS - Deliver niche products efficiently
  - REFERRAL MANAGEMENT - Process referrals quickly and efficiently
  - DOCUMENT TEMPLATES - Template policy documents using PDF Forms
  - ISSUE DOCUMENTATION - Automatically issue documentation
  - LOCALISATION - Support multi language and currency
  - REGIONAL TAX - Configure regional insurance tax requirements
  - SERVICE INTEGRATION - Designed to integrate with back office and third party services
  - BORDEREAU REPORT - Generate bordereau reports quickly and easily
  - REPORTING AND MI - Realise reporting and management information requirements
  - USER DASHBOARD - Customisable user dashboard
  - B2B - Deliver products through agents
  - B2C - Deliver products direct to market

TA-Lib : Technical Analysis Library
 with indicators like ADX, MACD, RSI, Stochastic, TRIX...
 This is not an end-user GUI trading or charting application. It is instead 
 targeted to application developers using either Excel, .NET, Mono, Java, Perl, Python or C/C++.
IRR lib: Internal Rate of Return
- finance library for working with interest rates, mortgage amortization, and cashflows (NPV, IRR, etc.).
Finastra transaction-banking
  """How can you meet a constantly changing objective? Financial institutions today 
  must manage new payment types, conduct multi-currency and multi-product 
  transaction banking operations worldwide, and securely exchange complex payment
  and trade information. All while continuing to offer superior customer service 
  in a highly regulated and increasingly competitive landscape.
  Finastra’s transaction banking software helps you meet this challenge. You can 
  bring new products to market faster than ever before, with increased STP and 
  lower operational cost. Our secure financial messaging and SWIFT connectivity 
  solutions simplify interbank communication and ease the burden of regulatory compliance.
  With deep capabilities in treasury, payments, cash management, trade and supply
  chain finance, we make it possible for you to give corporate customers the best
  tools for managing their financial future."""
FINRA Tools: Research, Calcutators, Fund/Risk/... Analyzers, Games
BºResearch Toolsº
  - FINRA BrokerCheck
    Look up a brokerage firm or individual broker in BrokerCheck: 
    help investors research the backgrounds of investment professionals 
    and firms. 

  - Investment Professional Designations:
     Before you start working with an investment professional, make 
    sure you know more than just his or her name and professional 

  - FINRA Market Data: Find market information about corporate, 
    municipal, treasury and agency bonds.

  - FINRA Arbitration Awards Online: Use this tool to research past 
    arbitration awards.

  - Retirement Calculator:
  - Retirement Estimator : 
  - Savings Calculator: Use our savings calculator to see how a consistent approach to investing can make your money grow. 
                        Whether you are saving for a house, a car or other special purchase, the savings calculator will help
                        you determine the right amount to save on a regular basis to achieve your goal.

  - College Savings Calculator: determine the amount you must invest each year to have enough money to cover the cost of college.

  - Loan Calculator: help to determine the monthly payment for a fixed-rate loan such as a car loan or mortgage.
                     Compare different offers or the merits of refinancing and see how much a monthly payment drops
                     by reducing the interest rate by just one half of one percent.

  - Accrued Interest Calculator: Interest on a bond accrues between regularly scheduled payments. To find out how much
                     interest is owed on a given bond, use our accrued interest calculator. 

  - Fund Analyzer: offers information and analysis on over 18,000 mutual funds, exchange traded funds (ETFs)
                   and exchange traded notes (ETNs). This tool estimates the value of the funds and impact of
                   fees and expenses on your investment, and also allows you to look up applicable fees and  
                   available discounts for funds.
  - 529 College Savings Plan Expense Analyzer: Like most investments, 529 college savings plans have fees and expenses
                   that are paid by investors. Because these fees and expenses can vary widely from plan to plan,
                   we have developed a tool to help you compare how these fees and expenses can reduce returns.
  - Risk Meter:   See whether you share characteristics and behavior traits that have been shown to make some investors
                  vulnerable to investment fraud.
  - Scam Meter:   "If it sounds too good to be true, it probably is." With just four questions our Scam Meter will help you
                  tell if an investment opportunity might be a scam.

BºQuizzes &amap; Games:º
  - FINRA Investor Knowledge Quiz:
  - Moneytopia:  immersive game that helps you learn more about managing your money while having fun.
                 The loftier and more costly your big dream, the longer the game will last. Play the game—or,
                 for a quick overview of different topics, check out the Moneytopia Tutorials.

  - The Stock Market Game: Using The Stock Market Game, you and your child will explore the fundamentals of personal finance and investing.
                 Working together to build and manage an investment portfolio in a real-world, dynamic marketplace. 
                 You know that you're modeling critical problem solving and money management skills for your child; 

  - Kids Calculator: See how much saving a few dollars today can add up over time. (Alliance for Investor Education)
Browser-based, fully-integrated, online and front-to-back, the OLYMPIC 
Banking System fully meets the requirements of Private Banking and Wealth 
Management (PWM) institutions across all geographies.

 The OLYMPIC Banking System is delivered with a best practice-based Model 
Private Bank which comprises pre-parameterized products and business 
processes enabling reduced implementation time and costs.

BºFunctional detailsº:
The OLYMPIC Banking System provides extensive coverage for Private Banking 
and Wealth Management, Portfolio and Asset Management, Internet and Mobile 
Device-based e-Banking, Mutual Funds, Financial Markets, Loans, 
Treasury (Forex, Money Market, Derivatives etc), Capital Markets and Securities, 
Transfers, Communication, Monitoring and Control System and Customer 
Relationship Management System.

Competitive advantage
Fully integrated, real time, open architecture

- Banking Industry
- Financial Markets Industry
- Insurance Industry
- Solution areas
Payment Networks
Clearing vs Settlement
Extracted from @[]
- A payment involves 3 steps:
  - Message    : Describe value or information describing the payment
  - Clearing   : It happens only when moving money from one bank to another bank
                 For internal bnak transfers there is no clearing.
                 The result of clearing is the obligation (IoY) that each
                 bank owes to its peer.
  - Settlement:  When account in internal ddbb is actually credited. 

  Note: SWIFT network does NOT provide Clearing o Settlement, it just provide
        the Message system

C&P from: 
Payment systems like Interledger can generally be separated into two 
- A ºhigher-performance CLEARING layer, where value is 
  transferred in a provisional manner; and a
-ºlower-performance SETTLEMENT layerº, which resolves any
  liabilities between counterparties accrued in the clearing

- Most payments systems are organized in this way, and because many 
  payment systems are often stacked on top of each other, it is common 
  to see that one system's "settlement layer" is comprised of another 
  system with its own clearing and settlement system. Ex:
  from a consumer perspective, credit-card processors like Visa and 
  Mastercard can be viewed as a "clearing systems" (swiping the card at 
  a merchant) with an underlying settlement system to allow you to 
  settle your debt to the credit card company each month (e.g., by 
  making a payment from your bank account). What's interesting to see 
  is that the system that appears to be a "settlement" system (i.e., 
  the banking system) is actually comprised of its own clearing and 
  settlement layers. For example, the bank's databases (i.e., the 
  clearing system) and the Federal Reserve system (i.e., the settlement 

  Example settlement layer systems include:
  - Offline fiat systems (e.g., cash or paper check)
  - Direct asset transfers (e.g., a shipment of gold)
  - Electronic ledgers (e.g., bank ledger, PayPal, Venmo)
  - Electronic payment networks (e.g., SWIFT, ACH, SEPA, Visa, 
  - Cryptocurrency ledgers (e.g., Bitcoin or XRPL)
  - Signing and exchanging payment channel claims (e.g., XRP Paychan)

- Se trata de un servicio impulsado por la banca española que conecta 
  las cuentas bancarias actuales de los clientes vinculándolas a su
  número de teléfono móvil (no es necesario conocer ningún código IBAN)

- pagos a través de móvil cuenta a cuenta que permite enviar y
  recibir los fondos en tiempo real. Actualmente, sirve para realizar
  pagos entre particulares y también, puedes realizar donaciones a 
  distintas ONGs.

- Pronto estará disponible la opción de pago en comercios electrónicos
  y, más adelante, comercios físicos.
Non classified

Wealth management is an  investment-advisory 
discipline which incorporates  financial planning
,  investment portfolio
 management and a number of aggregated 
financial services . High-net-worth individuals
 (HNWIs), small-business owners and families who
desire the assistance of a credentialed financial advisory specialist call upon
wealth managers to coordinate  retail banking
, estate planning , legal resources, tax 
professionals and  investment management
. Wealth managers can have backgrounds as independent 
Chartered Financial Consultants , 
Certified Financial Planners or 
Chartered Financial Analysts (in the United States), 
Chartered Strategic Wealth Professionals
(in Canada), Chartered Financial Planners
 (in the UK), or any credentialed (such as MBA
) professional money managers who work to enhance the income, growth and tax-favored treatment of long-term investors.
- Forex, Money Market, Derivatives etc), 
Technology Radar
 effort to change the way cryptocurrencies are designed and developed. 
The overall focus beyond a particular set of innovations is to provide a more 
balanced and sustainable ecosystem that better accounts for the needs of its 
users as well as other systems seeking integration

 """ Legacy financial systems """
such as those composed of SWIFT, FIX and ACH are rich in transactional metadata.
 It is not enough to know how much value moved between accounts, regulation 
often requires the attribution of actors involved, compliance information, 
reporting suspicious activity, and other records and actions.
ºIn some cases, the metadata is more important than the transaction.º"""
Sequence: Ledger-aaS
Sequence, Ledger-as-a-service
Sequence is a ledger-as-a-service that enables organizations to securely track 
and transfer balances in a token format. (Blockchain based?)
Fraud Detection
External Resources
-ºtimecop:ºTime Series anomaly (fraud) detection [low_code]
Graphs for fraud detection
- Excellent video on how Denmark are using
  grapsh for fraud detection:

Bºgartner's Layered Fraud Prevention Approachº
 │ LAYER 1     │ LAYER 2      │ LAYER 3     │ LAYER 4         │ LAYER 5        │
 │ Endpoint    │ Navigation   │ Account     │ CROSS─CHANNEL   │ Entity         │
 │ Centric     │ Centric      │ Centric     │                 │ Linking        │
 │             │ Analysis of  │ Analysis of │ Analysis of     │ Analysis of    │
 │ Analysis of │ navigator    │ anomaly     │ anomaly         │ relationships  │
 │ users and   │ behaviour    │ behaviour   │ behavior        │ to detect      │
 │ their       │ and suspect  │ by channel  │ correlated      │ organized crime│
 │ endpoints   │ pattern      │             │ across channels │ and collusion  │

- Fraud detection Analysis categories:
  - Discrete Data Analysis: Find "outliners" in a cartessian chart.

  - Connected Analysis:
    - Graph analysis searching for frauders connected nodes (frand rings).
    - To be effective we want to make in "real time".
    - Connected nodes can be of different types:
      (In general modeled entities will depend on the fraud type to deal 

      Credit Cards 
      Fraud Entities
      - Credit cards.
      - Bank Accounts,
      - Account holders
      - Unsecured Loans
      - Physical addresses
      - Phone Number
      - Security Social Number
      - ...
EU Payments, transfers and cheques
When you make a cross-border payment in euros, Romanian lei and 
Swedish krona within the EU, your bank can't charge you more than it 
would for an equivalent national transaction. Even banks based in EU 
countries outside the euro area must apply this rule.

This includes any:

    transfers between bank accounts in different EU countries
    withdrawals from cash machines/ATMs in EU countries
    payments by debit or credit card across the EU
    direct debit transactions

For example, if your bank charges you 1 EUR each time you withdraw 
money in your home country from a cash machine outside your bank 
network, they can charge you the same amount when you make a 
withdrawal in another EU country.
Charges for using your card

When you pay for something in the EU using your credit or debit card, 
traders and banks cannot charge you an extra fee – also known as 
"surcharging" – just for using a particular card. This rule applies 
to all card purchases (in shops and online) made within your home 
country or in another EU country.

American Express, Diners Club, and business or corporate credit 
cards, where your employer is billed instead of you, are not covered 
by EU rules on payment services, and you can still be charged extra 
for using these cards.

You should be aware that if you're paying in EU currencies other than 
euros, you may still be charged a currency conversion fee by your 
card provider when you use your card in another country.

Sample story: You shouldn't be charged extra for using your card

Clara from Austria wanted to buy flight tickets online. She selected 
her tickets on the airline's website and went to pay. However, when 
she entered her credit card information, the airline added an extra 
EUR 10 to the cost of her order as a charge for using a VISA card.

Clara contacted her local European Consumer Centre, who raised a 
complaint with the airline. The airline refunded the EUR 10 charge 
for her booking, and modified their rules to remove the illegal 
surcharge from their booking process.

BºCard and payment fraudº

EU rules limit the amount you can be asked to pay if you're the 
victim of card or payment fraud – where your card or your account 
is debited without your permission. In all cases, you can only be 
asked to pay a maximum of EUR 50 towards the cost of the fraudulent 

However, in cases where you were unaware of the loss, theft or 
misappropriation of funds (i.e. your account was hacked, or your card 
was cloned and charged without your knowledge), then you don't have 
to pay anything. Your bank or card provider should cover all the 
costs. This rule also applies if the loss was caused by a bank 
Blocked money on your card

Sometimes when you make a reservation, such as a hotel booking or car 
rental, you may be asked to give your card details to guarantee your 
booking. The trader may also ask to block a certain amount of money 
on your card when you make your reservation. This means  the trader 
reserves part of your credit limit or account balance  to cover any 
charge they expect you to build up, such as room service in a hotel, 
or possible damage to a hire car.

You should be informed by the trader if they intend to block an 
amount on your credit card, and you must give your approval for this 
and for the exact amount being blocked.

As soon as you have made the real payment – for example, when you 
check out of your hotel and use your credit card to pay for your 
room, or when you return your hire car and pay the final bill – the 
bank must immediately release the blocked amount from your credit 

BºSample storyº
Blocked amounts must be released as soon as you pay.

Boris from Hungary went to Venice for the weekend with his 
girlfriend. When they arrived at their hotel, the hotel took a copy 
of Boris' credit card. The hotel informed Boris that they would like 
to block EUR 500 to cover his reservation and any use of the mini-bar 
and restaurant services during their stay. Boris agreed to have his 
card blocked with this amount.

Before leaving the hotel, Boris paid his hotel bill using his credit 
card. A week later, when he tried to book some flights with his 
credit card, Boris realised that EUR 500 was still blocked on his 
credit card. He called the hotel to complain, who apologised for 
their mistake and immediately asked the bank to release the blocked 

BºDirect debitsº

If you have a direct debit set up from your bank account, it  may 
happen that a payment is made by mistake or the wrong amount is taken 
– for example if you cancelled a contract with a supplier, but the 
direct debit was still made after the contract was terminated. In 
these situations, you have the right to get a payment refunded within 
8 weeks. This applies to all direct debits, both within your home 
country and cross-border direct debits within the EU.

BºWhat to do if you have a problemº
If you have any problems making payments within the EU, you should 
contact your bank or card provider. They must give a written response 
to your complaint within 15 days (or up to 35 days in certain 
exceptional circumstances). They should also have a formal complaints 
procedure in place for consumers.

If you need any help getting your rights recognised, you can contact 
FIN-NET for problems with financial service providers, or ECC-Net for 
problems with traders.


EU rules on bank charges for international and national payments do 
not apply to cheques.

There are sometimes very high transaction fees for cashing a cheque 
from another EU country. In many countries, cheques are also no 
longer accepted as a means of payment.
ML Data Pipelines for Real-Time Fraud Prevention
- [Video] Mikhail Kourjanski focuses on the architectural approach towards 
  PayPal's internally built real-time service platform that leverages 
  Machine Learning models and delivers performance and quality of 
  decisions. This platform has established a balance between Big Data 
  and sustainable support for a high volume of real-time decision.

- Mikhail Kourjanski is the lead data architect at PayPal, 
  responsible for the data architecture of the PayPal real-time 
  decisioning platform that handles billions of events per day and 
  maintains dozens of petabytes of data. He has over 20 years of work 
  experience, including high-tech software engineering, academic 
  research, and consulting for the Financial Services industry.
IA for Fraud Detection
REF: @[]
Fraud Detection Using Random Forest, Neural Autoencoder, and 
Isolation Forud Detection Using Random Forest, Neural Autoencoder, 
and Isolation Forest Techniques

- Fraud detection techniques mostly stem from the anomaly detection 
  branch of data science.
- If the dataset has sufficient number of fraud examples, supervised 
  machine learning algorithms for classification like random forest, 
  logistic regression can be used for fraud detection.
- If the dataset has no fraud examples, we can use either the outlier 
  detection approach using isolation forest technique or anomaly 
  detection using the neural autoencoder.
- After the machine learning model has been trained, it's evaluated 
  on the test set using metrics such as sensitivity and specificity, or 
  Cohen’s Kappa.
Using Graphs for Fraud Detection

Graph analysis classic use cases range from fraud detection,
to recommendations, or social network analysis. 
Advanced scenarios include NLP deals with topic extraction .

BºFraud detection use caseº

- We know some clients are involved in complex fraud structure,
  but visualizing the data at an individual level does not bring out
  evidence of fraud.

- Input: client database.
- Ouput: how they are connected to each other.

Strategy: Work on connections between users can show a lot more
  info that simply looking at raw data.

BºOpaque features to Machine Learning scoring models     º
Bº(phone numbers, email address, home address) can becomeº 
Bºfeatures of risk in a graph based scoring model.       º

  - Ex: 3 individuals with same phone numbers, connected to 
        other individuals with same email addresses is unusual and 
        potentially risky.
  - Phone number does not provide any information to even the 
    best deep learning model, but connection do.

BºPython implementationº
  STEP 1: Set up data: cleaning, and creating our graph

  input simulated user database
ID 1st Name  2nd Name  Phone Number      email
1  Felix     Revert    +33612345678
2  Jean      Durand    +33700000000
3  James     Wright    +33612345678
4  Daphne    Hull      +33699999999 NA
5  james     Conrad    +85201234567
6  Peter     Donovan   +85201234567 NA

  STEP 2: Import to pandas DataFrame 

  STEP 3: more data set. connect individuals ("IDs")
          with matching phone number or mails.

#BºBy joining the data with itself, people will have a º
#Bºconnection with themselves.                         º
#  (Remove self connections)

d = data_to_merge[
    ])] \
    .dropna()[[column_ID, column_ID+"_2", column_edge]]

# avoid counting twice the connections a→b, b→a:
# we force the first ID to be "lower" then ID_2

Data now looks like:

ID   ID_2   Phone Number
1    3      +33612345678
5    6      +85201234567

 - Repeat with email addresses 

 STEP 4 build the graph. (simple example, it becomes tricky to
        add different link types).

 import networkx as nx
 G = nx.from_pandas_edgelist(df=d, source=column_ID, 
 target=column_ID+'_2', edge_attr=column_edge)

 simple nx.draw(G)    # ←  Visualize data
                           Nice catch! 4 individuals connected together,
                           by 2 different phone numbers + 1 email address

BºSTEPs to put in production:º
  - Automate the process for finding nodes connected (Rºrisky pattern detectionº)
    - Two ways to proceed here:
      1) go from individuals who you consider risky and check their relationships
         to other individuals. 
         - To relate to Machine Learning, it would be a kind of "supervised" 
           method. starting from a Machine Learning scoring, identify the nodes
           with the highest score and look for their connections in the graph to
           catch more nodes.
         ºIn our example we don’t have known fraudsters, so it can't be applied.º
      2) Identify unusual patterns (too many connections, dense 
         network...). ("unsupervised" method similar to anomaly/outlier
       BºNetworkx has algorithms already implemented to do exactly that:  º
       Bºdegree(), centrality(), pagerank(), connected_components()… I letº 
       Bºyou define how mathematically define the risk.                   º
  - Automate the process of risk visualization.
    Create custom dashboard with graph visualization and raw data
    - a quick way to do it would be in Excel.

Bºxlsxwriter package helps you paste data from the graph of risky  º
Bºpeople, and paste the image of the graph we created straight intoº 
Bºthe Excel file.º
  - For each potentially risky network, you would automate this creation 
    of dashboard, send it to the experts and let them assess/confirm the 
  - metrics could involve: min. number of people involved, number of 
    different phone numbers, email addresses, ML scores of each node.... @[] BºThe graph-based platform for eXplainable AI.º (powered by Neo4j) - EXPLAINABLE AI Find frauds when new data come in. Apply a new rule to existing data so you can find, test and validate a new fraud pattern. - AI easy-to-understand explanations Graph technology incorporates context and connections that make AI more broadly applicable and graphs can be used to train machine learning models leading to more accurate AI decisions. Anti Money Laundering
- C3 AI Anti-Money Laundering improves accuracy of money laundering 
  case detection and efficiency of investigators and financial crime 
  compliance managers.
Fin.Action Task Force (FATF)

- The Financial Action Task Force (FATF) is the global money laundering 
  and terrorist financing watchdog based in Paris. The inter-governmental body sets 
  international standards that aim to prevent these illegal activities 
  and the harm they cause to society. As a policy-making body, the FATF 
  works to generate the necessary political will to bring about 
  national legislative and regulatory reforms in these areas.

- The FATF reviews money laundering and terrorist financing techniques 
Bºand continuously strengthens its standards to address new risks, such º
Bºas the regulation of virtual assets, which have spread as  º
Bºcryptocurrencies gain popularity.º

- FATF recomended regulation requires VASPs to share sender (originator)
  and receiver (beneficiary) information for cryptocurrency transactions. 
  similarly to Bºso-called Travel Rulesº that have for years 
  required financial institutions to share this information when 
  executing bank wire transfers and SWIFT electronic funds transfers.

- 200+ countries and jurisdictions

- finance ministers and central bankers of the G20 economic bloc 
  formally announced their support for FATF’s updated cryptocurrency 
  guidelines, which include the Travel Rule. The G20 member countries 
  have now rapidly begun the process of translating the Travel Rule 
  into their respective local laws.

- FATF Recommendations and Standards:
  - ensure a co-ordinated global response to prevent organised crime,
    corruption and terrorism.


- See also:
  US Financial Crimes Enforcement Network

BºRelated Vocabular/Acronyms:º
  - VASP: Virtual Asset Service Provider
  - TRISA: Travel Rule Information Sharing Architecture/Alliance
  - FinCen: Financial Crimes Enforcement Network: (
What is the CRS?
CRS is an standard developed by the OECD, by trequest of the G8/g20, to 
improve fiscal transparency and combat tax evasion, setting out automatic 
exchange of info between tax administrations regarding the financial accounts 
of non-residents clients and financial institutions.

Waht the AEOI report cotain:
- The regulatory declaration is based on info regarding financial accounts (
  deposit acct, securities acct, ...) held directly or indirectly, and the 
  payments relating to these accounts.

                                CONTROLLING PERSONS:
  - corporate name              - name                       - account number 
  - address                     - address                      (or functional equivalent)
  - tax residence/s             - tax residence/s            - specific account features 
  - Tax identification number   - Tax identification number    (e.g.: account closed during
    (where applicable)            (where applicable)            the year)
                                  - Date of birth
                                  - Place of birth

   - Balance or value recorded 
     in the account at 31/12/2017
   - Account currency
   - Gross total interest paid  - Gross total interes, dividens and
     or credited                  other revenue generated by financial 
                                  assets held, apid or credited to the account.
                                - Gross proceeds of the sale or redemption
                                  of a paid or credited financial asset.
BºWhat is a controlling person?º
- Any natural perso who in/directly  cholds over 25% of shares or 
  voting rights. A person with a lesser % is also deemed to be a 
  controlling person.
- types of controlling person:
  CP of corportae body: owner
  CP of corportae body: other links
  CP of corportae body: managers
  CP of corportae body: trust - settlor
  CP of corportae body: trust - trusteed
  CP of corportae body: trust - protector
  CP of corportae body: trust - beneficiary 
  CP of corportae body: trust - other
  CP of corportae body: other - settlor equivalent
  CP of corportae body: other -  trustee equ.
  CP of corportae body: other - protecto equi.
  CP of corportae body: other -  beneficiary equi.
  CP of corportae body: other -  other equi.
- Livret A                               - Plan d'Epargne Entrepise (PEE)
- Livret Jeune                           - Plan d'Epargne InterEntrepise (PEI)
- Livret de développment durable (LDD)   - Plan d'Epargne pour la retraite collective (PERCO)
- Livret d'Epargne popularie (LEP)       - Plan d'Epargne pour la retraite collective interentrepise (PERCOI)
- Plan d'Epargne logement (PEL)          - Plan d'Epargne Retrate Entreprise (PERE)
- Compte d'Epargne logement (CEL)        - Plan d'Epargne Retraite Popularied (PERP)
- Plan d'Epargne Popularie (PEP)

Non Classified
What is PCI level 1 compliance and why do you need to know?

If you sell anything online - or even just follow the news related to 
recent credit card fraud - you’re probably aware that there are 
standards governing online payments. When those standards are 
violated, massive opportunities for fraud can occur. As an online 
merchant, it is critical to take measures to protect customer card 
data. The success of your business depends on it.

Fortunately, there’s a set of established rules to protect customer 
card data. It is called the Payment Card Industry Data Security 
Standard (PCI DSS), and it is governed by the Payment Card Industry 
Security Standards Council (PCI SSC). These rules are better known in 
our business vernacular as PCI compliance.
GNU Cash
- multi-platform
- manage finances, investments and accounts.
BºWhat's new 4.0º
  - new gnucash-cli command-line tool for updating the prices on books 
    and run reports by name or guid directly from the command line, and 
    the ability to save entry column widths in the Business Document 
    Column (Invoices, Bills, and Employee Vouchers) as defaults for each 
    type of document.
  - type-ahead search (to complement sequential search) when selecting
    an account in the register to make it easier to select the account 
    you want to use. Furthermore, attachments in 
    transactions are now highlighted with a symbol in the register.
  - new TX Association dialog in "Update Association for Transaction" menu
    for setting, changing and deleting associations,
    and a new Dashboard report providing Account reports for
    income and expenses, account summary, as well as an 
    income-expense chart.
  - OFX file importer updated.
    - allow users to import multiple files at a time
    - ability to pass balance information in OFX imports
      to the reconcile info.
    - new process-payment-toolbar added to the
      Customer, Vendor, and Employee overviews.
  -BºSupport for AQBanking Version 6 to support the new º
   BºFinTS protocols for the European Payment Services Directive (PSD2).º
   Bºalong with support for UK VAT and Australian GST in the º
   BºIncome-GST report.º
  - 4.0+ allows to add notes to budgets, display account codes
    in the Budget Tree View, as well as to load account templates
    from different locales than the default one for the application
    when creating a new account hierarchy.
FinTS (formerly HBCI)
- While IFX (Interactive Financial Exchange), OFX (Open Financial Exchange) 
  and SET (Secure Electronic Transaction) are tailored for 
the North American market, HBCI is designed to meet the requirements 
of the European market. 

- Features:
  - Support for online-banking using PIN/TAN one time passwords.
  - Support for online-banking with SWIFT.
  - DES and RSA encryption and signatures.
  - XML/SOAP on top of HTTPS and SMTP (data-exchange, encryption and signatures).
  - Multibanking: The software clients are designed to support 
    accounts on multiple banking companies.
  - Platform Independence: The specification allows software 
    development for various types of clients.
  - Storage of the encryption keys on an external physical device 
    (smart card) for improved security.
  - Possibility to use so called "Secoder" smart card readers to 
    allow the user to cross check the transaction data on a secure device 
    before signing it to uncover manipulations caused by malware. To use 
    Secoder, the bank as well as the home banking software have to 
    support the Secoder protocol extension of FinTS.[1]

- Example implementations:
  - PyFinTS:
  pure-python implementation of ,
 a online-banking protocol commonly supported by German banks.
Secure Electronic Transaction (SET)
- SET Consortium (1996): Visa, Mastercard, GTE, IBM, Microsoft, Netscape, SAIC, Terisa Systems, RSA, and VeriSign.
- Goal: Unify card  incompatible protocols (STT -Visa/Microsoft-, SEPP -Mastercard/IBM-) into single Internet standard. 
- Communications protocol standard for securing credit card transactions over networks, specifically, the Internet.
- SET was Rºnot itself a payment systemº, but rather a set of security protocols and formats that enabled users to employ the existing credit card payment infrastructure on an open network in a secure fashion. 
- Rºit failed to gain attraction in the marketº. Visa now promotes the 3-D Secure scheme.

-BºWith SET, a user is given an electronic wallet (digital cert) and a TX º
 Bºis conducted and verified using a combination of digital certs and     º
 Bºdigital signatures among the PURCHASER, A MERCHANT, AND THE PURCHASER'Sº
 BºBANK in a way that ensures privacy and confidentiality                 º

 - cardholders and merchants must register with the CA (certificate authority) first.

 - Simplified payment process:
  - Customer browses the website and decides on what to purchase
  - Customer sends order and payment information, which includes two parts in one message:
        a. Purchase order – this part is for merchant
        b. Card information – this part is for merchant’s bank only.
  - Merchant forwards card information (part b) to their bank
  - Merchant’s bank checks with the issuer for payment authorization
  - Issuer sends authorization to the merchant’s bank
  - Merchant’s bank sends authorization to the merchant
  - Merchant completes the order and sends confirmation to the customer
  - Merchant captures the transaction from their bank
  - Issuer prints credit card bill (invoice) to the customer
Stripe, la empresa que reinventó las pasarelas de pago y 
revolucionó el mercado por completo
Thales HSM
- Treezor, innovador en tecnología financiera, elige la solución de 
  HSM en la nube de Thales para proteger su plataforma de banca como 
N26 Bank Architecture
Extracted from
   N26 is powered by a micro service architecture running mainly on the JVM with 
   Spring Boot and Java/Kotlin. We have a strong CI/CD operational culture on 
   the foundation of container orchestration, service discovery and cloud native 
   technologies. PostgreSQL and Redis are our main data stores (we’re big fans), 
   but we also have message brokers, data streaming, and reactive workflows as 
   backends. As we transform from monolithic applications into more scalable and 
   resilient distributed systems, there is an opportunity for impactful, 
   fundamental change. For more information please check out our stackshare 
Extracted from Iberpay: ... 

- Iberpay presta cuatro servicios de procesamiento de transferencias 
  inmediatas, incluyendo tanto el ámbito doméstico (servicio ASI4 y 
  servicio ASI6) como el ḿabito paneuropeo (Pasarela con RT1 y 
  Pasarela con TIPS), procesando operaciones en tiempo real bajo cuatro 
  protocolos distintos (servicios web SOAP y REST, EBICS y SWIFT-AGI), 
  lo le sitúa como referencia en el contexto europeo.
Toshiba Financial Algorithm
RPG (IBM AS 400)
De hecho, explicaba, el lenguaje IBM RPG que se usaba para
 aplicaciones empresariales sigue 
siendo utilizado en los IBM System i, pero en estas máquinas 
conviven con otros muchos lenguajes de programación modernos como 
Java, Python, C, C++ o Perl. Aún así el lenguaje RPG siguió 
evolucionando, y como nos comentaba "en el 94 llegó RPG IV, que 
cambió y permitió evitar ese formato algo más rígido que tenía 
el lenguaje".
As400 3

A estos componentes se les une el sistema de gestión de bases de 
datos DB2 y esas ya legendarias terminales no programables que 
dominaban el desarrollo y gestión de sistemas hace años.
Revolut: WorldWide Card Payments
Pagos con tarjeta en todo el mundo sin comisiones ocultas
Open Banking Europe Leaders
Informe: Los bancos que lideran la adopción del Open Banking en Europa
Financial Modeling
   Financial Modeling – A financial model is simply a tool that’s 
   built in Excel to forecast a business’ financial performance into 
   the future.  The forecast is typically based on the company’s 
   historical performance, assumptions about the future, and requires 
   preparing an income statement, balance sheet, cash flow statement, 
   and supporting schedules (known as a 3 statement model). From there, 
   more advanced types of models can be built such as discounted cash 
   flow analysis (DCF model), leveraged-buyout (LBO), mergers and 
   acquisitions (M&A), and sensitivity analysis. Below is an example of 
   financial modeling in Excel.

   - What is a financial model used for?
     The output of a financial model is used for decision making and 
     performing financial analysis, whether inside or outside of the 
     company. Inside a company, executives will use financial models to 
     make decisions about:
     Raising capital (debt and/or equity)
     Making acquisitions (businesses and/or assets)
     Growing the business organically (e.g., opening new stores, entering new markets, etc.)
     Selling or divesting assets and business units
     Budgeting and forecasting (planning for the years ahead)
     Capital allocation (priority of which projects to invest in)
     Valuing a business

There are many different types of financial models.  In this guide, 
we will outline the top 10 most common models used in corporate 
finance by financial modeling professionals.

Here is a list of the 10 most common types of financial models:

  Three Statement Model
  Discounted Cash Flow (DCF) Model
  Merger Model (M&A)
  Initial Public Offering (IPO) Model
  Leveraged Buyout (LBO) Model
  Sum of the Parts Model
  Consolidation Model
  Budget Model
  Forecasting Model
  Option Pricing Model
OpenRTB v3 Protocol
(based on Apache Avro)
(and probably Kafka for implementations)

Real-time Bidding (RTB) is a way of transacting media that allows an 
individual ad impression to be put up for bid in real-time. This is 
done through a programmatic on-the-spot auction, which is similar to 
how financial markets operate. RTB allows for Addressable 
Advertising; the ability to serve ads to consumers directly based on 
their demographic, psychographic, or behavioral attributes.
X12 protocol

- ANSI X12 EDI protocol in 1979.
- Inspired by the need for transmitting large quantities of data,
  the military and logistics companies were the first to utilize X12. 

- ANSI developed, maintained, promoted, and interpreted the applications
  of the X12 EDI protocol.

- Maintenance committee meets three times a year.
  3000+ standards experts from more than 300 companies.

-BºInitially designed to transmit massive batch transactions. X12'sº
 Bºuse now extends to include transaction processing in real-time. º

- government, finance, and logistics are among the 300,000+ businesses
  using it. BºIt is ubiquitous in health careº:
  - In 1996, Congress enacted the Health Insurance Portability and
    Accountability Act (HIPAA). X12 is the national HIPAA protocol and
    a mandate for health care transactions.

- Elements of X12:
  - Data: There are two types of data elements in X12 standards.
    - Simple: The X12 Data Element Dictionary defines a simple data 
      element as “A data element is equivalent to a field in a data 
      dictionary. Data elements have a name, a data element number, a brief 
      description, a data type, and a minimum and maximum length .”
    - Composite: Two or more simple elements divided by delimiter 
      characters (part of X12 syntax, also known as data element 
      separators). A telephone number is an example of composite data. Each 
      of the three data elements in a telephone number reveal different 
      information and must be in a uniformed order.

  - Segments
      Segments are logical groupings of data elements equivalent to record 
      types. Segments begin with two or three character tags that identify 
      what type of segments they are. Thus a field’s meaning may vary 
      based on the segment.

  - Loops
     Sets of segments that are ordered and related within a transaction set make up a loop.
Swift Interbank Payments

- SWIFTNet Stats:
  - 100%    SWIFTNEt availability
  - 200+    countries and territories
  - 99.997% FIN Availability
  - 100%    of services exceeded availability targets
  -  6.5+ billion total FIN messages
  - 25.8+ million average daily number of FIN messages
  - 30.3+ million FIN messaging peak day

- Companies or Corporations can connect to Banks through:
  └ SWIFT SCORE. next subset of messages are available:

      Corporate → Financial Institution       Financial Institution → Corporate
      - MT 101 Request for transfer           - MT 195 Queries
      - MT 104 Direct debit and request for   - MT 196 Answers
               direct debit                   
      - MT 192 Queries                        - MT 199 Free Format Message
      - MT 195 Queries
      - MT 196 Answers
      - MT 199 Free Format Message


        Corporate to Financial Institution     Financial Institution to Corporate
        MT 210  Notice to receive

        Corporate  → Financial Institution         Financial Institution → Corporate
        MT 920 Request message                     MT 900  Confirmation of debit
        MT 995 Queries                             MT 910  Confirmation of credit
        MT 999 Free format message                 MT 940 Customer statement message
                                                   MT 941 Balance report
                                                   MT 942 Interim transaction report
                                                   MT 950 Statement message
                                                   MT 996 Answers
                                                   MT 999 Free format message

  └ MA-CUG: Member Administered Closed User Group
  └ Many-to-Many CUG
  └ TRCO : Treasury Counterparty
           Bank ←→ Corporate  Treasury deals confirmations

CryptoCurrency Security Standard (CCSS) is a set of requirements for 
all information systems that make use of cryptocurrencies, including 
exchanges, web applications, and cryptocurrency storage solutions. By 
standardizing the techniques and methodologies used by systems around 
the globe, end-users will be able to easily make educated decisions 
about which products and services to use and with which companies 
they wish to align.

CCSS is designed to complement existing information security 
standards (i.e. ISO 27001:2013) by introducing guidance for security 
best practices with respect to cryptocurrencies such as Bitcoin. CCSS 
is not designed to substitute or replace these standards; in fact, 
following the CCSS to the letter while ignoring standards like ISO 
27001:2013 will likely lead to compromise. CCSS is a cryptocurrency 
standard that augments standard information security practices. As 
with any standard, knowledgeable and experienced security 
professionals and/or auditors are necessary when implementing any 
information system to ensure coverage of all classes of attack as 
well as the appropriate handling of all potential risks.
 Economics and Finance Notebooks 
- Collection of Jupyter Notebooks :
Standdard XML schemas for finances
- FIX: Financial Information Exchange
- FpML: Financial Product Markup Language
  - FpML Confirmation
  - FpML Legal
  - FpML PreTrade
  - FpML Record Keeping
  - FpML Reporting
  - FpML Transparency
- IFX: Interactive Financial Exchange specification
  mature  financial messaging protocol. 
- RIXML: Research Information Markup Lan.
- OFX: Open Financial Exchange
       unified specification for the electronic exchange
       of financial data between financial institutions,
       businesses and consumers via the Internet.
ILP protocol
- Interledger Protocol (or ILP for sort) is and Open protocol W3C Draft standard
  for connection of payment networks.
  More info available at:
  - Interledger SPB map.

- Payment Infrastructure Platform
  """ Stronghold creates virtual payment networks that enable instant 
    settlement and interoperability between legacy and new payment 
    networks.  """
- Backed by Top Institutional Investors and Fintech Founders including
  - freestyle
  - Precursor Ventures
  - NerdWallet
  - Square
  - SoFi 
- Interoperable:
  Access traditional payment rails and modern payment infrastructure 
  as they seamlessly work together through our APIs.
  Compatible with Treeza, Coil, 

Payments ontology
- Understanding domestic and nternational payment systems
- Understanding payment TX processing within a bank:
  - How pyament engines work.
  - How various apps are used in a bank to achieve Bºstraight through processing (STP)º
- Understanding messaging standards such as SWIFT MT, ISO20022/SWIFT MX,
  Fedwire/CHIPS used in pyament TXs.
- Understanding end-to-end card payment TXs processing with understanding
  of ISO 8583 messaging standard, EMV standards and PCIDSS.

Investec Open Banking
-OpenAPI Spec:

- GraphQL Spec:
BSA Travel Rule
BSA Travel Rule – 31 CFR 103.33(g)
The Bank Secrecy Act (BSA) established a Funds Travel Rule for fiat 
currency transfers in the US in 1996. An amendment to the BSA in 
2012 expanded the Rule to include electronic funds transfers. FinCEN 
is charged with enforcing BSA rules, and in May 2019 released 
guidance that the US Department of Treasury would classify many 
cryptocurrency exchanges as money service businesses (MSBs), meaning 
exchanges operating within the United States must now comply with the 
BSA Travel Rule.

 According to the rule, any time a transfer of funds 
isºgreater than or equal to $3,000º, financial institutions
ºmust include the following in the transmittal orderº:
- the name,
- account details,
- financial institution of [recipient, transmitter].
- The regulation’s text does not dictate exactly how 
  financial institutions must collect, verify or transfer this 
FATF Guidance for Risk-Based Approach to Virt.Assets/V.A.Serv.Providers
Travel Rule: TRISA
Travel Rule Information Sharing Architecture.

The goal of TRISA is to create a separate out-of-band mechanism to augment 
existing blockchains and cryptocurrencies for compliance purposes.

- Determining by Receiver if Sender is a VASP:
  For fullcompliance if non compliant payment is done, funds must not
  be made available to beneficiary until Travel Rule TX identity information
  is received and recorded. 

- IVMS101 IVMS is an industry standard for exchanging Travel Rule information. 
  (Integrated also in TRISA v6).
  InterVASP IVMS101 is the recently ratified standard across the 
   industry for message data formats for exchanging Travel Rule 
   regulated information. It has involvement of 100 companies 
   and industry standard experts.
   The TRISA open source project integrated IVMS101 on June 1st,
   2020, becoming the first Travel Rule regulations project to implement

    Interoperability Message Matrix (as of 2020-10):
  │ TRISA       │OpenVASP        │PayID            │BIP75                    │
  │ IVMS101     │IVMS101         │ISO 20022        │IVMS101                  │
  │ Wrapper     │ –              │SignatureWrapper │EncryptedProtocolMessage │
  │ Connect     │110  (Session   │InvoiceRequest   │InvoiceRequest           │
  │             │Request)        │                 │                         │
  │ Verify      │150 (Session    │InvoiceRequest   │Validate                 │
  │ Originating │     Reply)     │Verification     │InvoiceRequest           │
  │ Cert        │                │                 │                         │
  │ Return      │210 (Transfer   │InvoiceResponse  │PaymentRequest           │
  │             │     Request)   │                 │                         │
  │ Verify      │250 (Transfer   │InvoiceResponse  │Validate                 │
  │ Beneficiary │     Reply)     │Verification     │PaymentRequest           │
  │ Cert        │                │                 │                         │
  │ TX Data     │310 (Transfer   │ComplianceData   │EncryptedProtocolMessage │
  │             │     Dispatch)  │                 │                         │
  │ TX          │350 (Transfer   │PaymentProof     │PaymentACK               │
  │ Confirmation│   Confirmation)│/PaymentReceipt  │                         │
  │ Error and   │  In Message    │Error            │HTTP Error Codes         │
  │ Exceptions  │  Codes         │                 │                         │
Global Digital Finance WG
- GDF is an industry membership body that promotes the adoption of best 
  practices for cryptoassets and digital finance technologies, through 
  the development of conduct standards, in a shared engagement forum 
  with market participants, policymakers and regulators.

  - The KYC/AML/CTF working group is comprised of both cryptoasset and 
    traditional financial services compliance, legal and regulatory 
    practitioners, who articulate best practices in the areas of customer 
    due diligence and the prevention of financial crime associated with 
    money laundering and terrorist financing. 
ISO 20022
- From
- It describes a metadata repository containing descriptions of 
  messages and business processes, and a maintenance process for the 
  repository content. The standard covers financial information 
  transferred between financial institutions that includes payment 
  transactions, securities trading and settlement information, credit 
  and debit card transactions and other financial information. 

- Organizations participating in ISO 20022 include:
  - Ripple,
  - FIX Protocol Limited (Financial Information eXchange),
  - ISDA (FpML),
  - ISITC,
  - Omgeo,
  - SWIFT,
  - Visa. 

Extracted from ISO20022 fro Dummies 2020
  In  our  industry  where  trust,  interoperability  and  resilience  
  are  key  requirements,  the  quality  of  data  exchanged  between  
  us,  closer and closer to real time, and between increasingly diverse 
  stakeholders in the value chain, is of paramount importance.This  is  
  why  financial  services  industry  experts  have  developed ISO 
  20022, a global and open standard for information exchange, that  is  
  being  adopted  by  a  growing  number  of  users  in  various  
  domains:   securities,   payments,   foreign   exchange,   cards   
  and   related services . . . notably for end-to-end straight through 
  pro-cessing,  components  management  or  regulatory  reporting.  
  Just  have a look at the ISO 20022 website, and you will be impressed 
  by the scope already covered!The ISO 20022 standard provides a 
  methodology to describe busi-ness  processes  and  a  common  
  business  language,  which  can  be  rendered  in  different  
  syntaxes  enabling  implementations  for messaging  and  application  
  programming  interfaces  (APIs).  It  is  supported by a central 
  repository, which includes a data dictionary and a catalog of 
  messages – and is accessible to all.From a business point of view, 
  the usage of this universal mes-saging  standard,  versatile  by  
  design  and  maintained  by  a  broad  community of professionals 
  keen to ensure synergies and migra-tion  capabilities  from  legacy  
  formats,  improves  efficiencies  in delivering products and services.

Business Domain Catalogues   Additional Content for the Messages     Advance Information on
                                                                     candidate message definitions
--------------------------   -------------------------------------   -----------------------------
- Payments                   - Business application header (BAH)     - Cards and Related Retail
- Securities                 - Data Source Scheme                      Financial Services
- Trade Services             - External Code Sets                    - Payments
- Cards                      - ISO 20022 Real-Time Payments Group    - Securities
- FX                         - Supplementary Data Extension
                             - Variants

- Securities:
  BMR Administrator And Benchmark Reporting
  CCP Supervisory Reporting
  CSDR Buy-In Reporting
  Central Counterparty Clearing (CCP Clearing)
  Collateral Management
  Corporate Action
  Corporate Actions Variant 002 - ISO 15022 Variants
  Financial Instruments and Transactions Regulatory Reporting (Trade Repository Reporting)
  Investment Funds
  Issuers' Agents Communication
  Money Market Statistical Reporting
  Post Trade Matching
  Securities Financing Transaction Reporting
  Securities Markets Regulatory Reporting (Internalised Settlement)
  Securities Markets Regulatory Reporting (Settlement Fails)
  Settlement and Reconciliation
  Settlement and Reconciliation Variant 002 - ISO 15022 Variants
  Shareholder Identification Disclosure
  Standing Settlement Instructions for Securities, Payments and FX
  TARGET2-Securities (T2S)
  Total Portolio Valuation Report
  Transactions and Financial Instruments Data Reporting
  Transparency of Holdings

- Trade Standard Message Set:
  - Demand Guarantees and Standby Letters of Credit
  - Factoring Services
  - Invoice Financing Request
  - Invoice Tax Report
  - Trade Services Management

- Cards:
  - ATM Interface for Transaction Processing and ATM Management
  - Acquirer to Issuer Card Messages (ATICA)
  - Card Payments Exchange - Acceptor to Acquirer
  - Card Payments Exchange - Terminal Management
  - Retailer Protocol

widely used standards
• ISO 15022 is currently the predominant securities standard in 
  cross-border settlement, reconciliation and corporate action 
  pro-cessing. It was introduced around 1998 to replace ISO 7775, which 
  was much less structured and often omitted crucial settlement 
  information. The adoption of ISO 15022, mandated in 2003, has led to 
  a dramatic increase in Straight Through Processing (STP) rates. In 
  settlement messages, for example, it is common to come across STP 
  rates of more than 95 per cent. One of the standard’s advantages is 
  its data dictionary based approach, which enables reuse and 
  standardisation of data across all messages. About half of the 20 
  million messages that are exchanged on the SWIFT net-work every day 
  are ISO 15022.
• ISO 8583 is used for almost all credit and debit card 
  transactions, including ATMs. Several hundred million ISO 8583 
  messages are exchanged daily between issuing and acquiring banks.
• FIX is the predominant standard of the securities front office. 
  Millions of indications of interest, trade instructions, executions 
  and so on are sent each day using the FIX protocol.
• FpML stands for Financial products Markup Language. It uses the 
  XML syntax and was specifically developed to describe the often 
  com-plicated contracts that form the base of financial derivative 
  products. It is widely used between broker-dealers and other 
  securities industry players to exchange information on Swaps, CDOs, 
  and so on.
• SWIFT proprietary, also known as MT messages, are the standard for 
  messaging in correspondent banking, foreign exchange and documentary 
  credits. Over 10,000 financial institutions around the world use this 
  standard to exchange millions of messages per day over the SWIFT 
• Proprietary domestic standards are also widely used. DTCC is an 
  example of a market infrastructure using proprietary standards. Each 
  day some 40 million messages are exchanged with DTCC to clear and 
  settle US domestic securities trades.
• XBRL is a flexible XML based standard for exchanging business 
  information, which specialises in providing easy automation for 
  information found in unstructured documents

BºISO  20022  organises  financial  definitions  in  business  areas  º
Bº– well-recognised   functional   domains   in   the   industry.   º
  These   business  areas are  uniquely  identified  by  four-character 
   codes called business area codes. The ISO 20022 catalogue includes 
  over 800 messages covering the following business areas:
- acmt: Account Management
- auth: Authorities Communications
- caaa: Acceptor to Acquirer Card Transactions
- cain: Acquirer to Issuer Card Transactions
- catm: Card Terminal Management
- catp: ATM Card Transactions
- caam: ATM Management
- pacs: Payments Clearing and Settlement
- pain: Payments Initiation
- camt: Cash Management
- remt: Payments Remittance Advice
- fxtr: Foreign Exchange Trade
- colr: Collateral Management
- setr: Securities Trade
- secl: Securities Clearing
- sese: Securities Settlement
- semt: Securities Management
- seev: Securities Events
- tsin: Trade Services Initiation
- tsmt: Trade Services Management
- reda: Reference Data
TODO: eCommerce Platforms
- Bagisto eCommerce Platform Features:
  - Ability to create a marketplace to allow other vendors to sell 
    their products
  - Multi-store inventory to easily manage the stock you have in a 
    physical retail store and a warehouse depending on your business
  - Search Engine Optimization options for your products
  - Access control level to prevent unnecessary access to agents, 
    shopping partners, or an admin.
  - Detailed insights report for effective marketing campaigns and 
  - Add/manage shipping methods
  - RTL supported system
  - Customer group options
  - Easy cart management
  - Multiple Payment methods supported
  - Convert web into a BºProgressive Web App for mobile phonesº
  - Store pick up options (for businesses with physical stores)
  - Multi-currency support
  - Multi-language support
  - Tax calculation support
  - Several extensions to support mobile number login, Stripe payment 
    gateway, dropshipping, Point of Sale and other options to extend the 
Tink OpenBank Platform
- Uso de la plataforma Tink (fundada en 2012):
  - ayuda a las empresas a competir a la hora de captar clientes 
    aprovechando las regulaciones de banca abierta que permiten agregar 
    cuentas y utilizar los datos, con el objetivo de ofrecer servicios de 
    gestión financiera más sencillos y eficientes. 
  - Tink permite a bancos, empresas de tecnología y de nueva 
    creación desarrollar servicios financieros basados en datos.
  - A través de una API, la empresa permite a los clientes acceder a 
    los servicios financieros agregados de datos, iniciar pagos, 
    enriquecer las transacciones y crear herramientas de gestión de 
    finanzas personales. 
  - Tink Bºconecta a más de 2.500 bancosº que llegan a 
    más de 250 millones de clientes en toda Europa y ha trabajado con 
    importantes empresas como PayPal, Nordea y ABN Amro.
CVV dinámico
Para poder realizar cualquier compra ‘online’, es necesario 
introducir el código de verificación de la tarjeta, también 
conocido como CVV o CVC. Hasta ahora, ese número de tres cifras 
siempre aparecía en el reverso de manera fija. Los avances 
tecnológicos han dado paso a una solución más segura que evita que 
el código aparezca impreso y, por ende, el posible uso fraudulento 
de este método de pago.

 ¿Cómo funciona? Cada vez que el usuario vaya a realizar una compra 
‘online’, la entidad financiera que cuente con esta tecnología 
generará un código numérico de tres cifras aleatorio con una 
caducidad entre cinco y diez minutos aproximadamente. De esta forma 
se incrementa la seguridad a la hora de realizar compras en comercios 
electrónicos porque nadie podrá utilizar los datos de la misma para 
efectuar el pago. 
Lamfalussy Diretive 2014/15/EUROPE
- Directive 2014/65/EU is a legal act, cornerstone of the
  EU's Financial Services Action Plan.
Together with Regulation (EU) No 600/2014 it provides:
- legal framework for securities markets, investment intermediaries
  and trading venues.
- Harmonised regulation for investment services of 
  the member states of the European Economic Area 
- INcludes also to Norway, and Liechtenstein;
- UK rejects it. 
- main objectives:
  - increase competition and investor protection.
  and level the playing field for market participants in 
investment services. It repeals Directive 2004/39/EC.

- Introduced in the Lamfalussy process designed to accelerate the
  adopting of legislation based on a four-level approach 
  recommended by the Committee of Wise Men chaired by Baron Alexandre 
  There are three other "Lamfalussy Directives": 
  - Directive 2003/71/EC, replaced with Regulation (EU) 2017/1129
    on the prospectus to be published when securities are offered
    to the public or admitted to trading on a regulated market,
    the market abuse directive, 
  - Directive 2004/109/EC on the harmonisation of transparency 
    requirements in relation to information about issuers whose 
    securities are admitted to trading on a regulated market.
  - Directive 2004/39/EC retained the principles of the EU "passport" 
    introduced by Directive 93/22/EEC but introduced the concept of 
    "maximum harmonization", which places more emphasis on home state 
     "Maximum harmonization" does not permit states 
    to be "super equivalent" or to "gold-plate" EU requirements 
    detrimental to a "level playing field". Another change was the 
    abolition of the "concentration rule" in which member states could 
    require investment firms to route client orders through regulated 
A collection of Ruby gems to access banks APIs.
bankscrap          extract balance and transactions from multiple banks. 
bankscrap-ibercaja (api mobile app)
bankscrap-sabadell (individual and business accounts)
bankscrap-bbva     (personal accounts)
- Stephen Gilderdale was appointed to SWIFT’s Executive Committee 
  as Chief Platform Officer in October 2017. He is responsible for 
  developing SWIFT’s messaging platforms, supporting financial 
  messaging, software and connectivity solutions for the SWIFT 
  community. As such, he is also responsible for SWIFT’s innovation 
  and research into cyber, DLT and other fast-moving technological 
  areas supporting the evolution of SWIFT’s unique platform 


    Hong Kong Exchanges and Clearing (HKEX) announced on Monday that 
it has appointed Niguel Brooks as its head of infrastructure and 

    The group’s infrastructure and operations team is responsible 
for managing all of its applications systems.
Risk with Non PvP RTGS systems 
- Risk with Non PvP RTGS systems in Euros and dollars: 

See also 
?As all (DLT) transactions are P2P, BIS DVP or PVP Model 1, unconditional settlement, 
 there is a need to align the technical and legal perspectives.?

?Another approach to reducing or eliminating Herstatt risk is through 
payment-versus-payment (PVP) links. Under the PVP model: 
-   the settlement of one currency leg of a foreign exchange transaction is
conditional on the settlement of the other currency leg.
-   A PVP link can allow foreign exchange transactions to be settled on a deal-by-deal basis.
-   Such links are simple and easy to administer and do not require an
elaborate legal framework. 
-   There is also no need for membership admission criteria, 
credit/debit limit devices and loss allocation arrangements as in the 
case of multilateral foreign exchange netting schemes. 
-   robust form of settlement for cross-border foreign exchange TXs,
as payments are settled simultaneously across the books of
central banks. 

- One of these is liquidity management. The PVP mechanism requires 
the central bank to hold the local currency payment initiated by the 
paying bank until confirmation is received from the other central 
bank regarding the availability of the other currency for settlement. 
However, this might lead to a drain of liquidity from the system 
during the holding period. The amount of liquidity frozen can be very 
large for those payment systems in financial centres where the local 
currency leg of foreign exchange transactions amounts to a very large 
proportion of total interbank payments. The strain on liquidity is a 
key problem but it is not insurmountable. A number of ideas have been 
floated to resolve this problem.  Multilateral netting and PVP 
settlement are two alternative approaches to reducing Herstatt risk. 
They are not mutually exclusive and it is unlikely that private 
sector initiatives would be able to remove Herstatt risk entirely. As 
far as Hong Kong is concerned, the Hong Kong Monetary Authority 
believes that the development of PVP links will be a major step in 
removing Herstatt risk. It has accordingly incorporated in its RTGS 
system, which was implemented in December 1996, both DVP and PVP 
capabilities. To develop the PVP initiative further, the HKMA is 
presently designing the architecture and technical platform for PVP 
linkage between two domestic systems.?
Bizum europeo
Doce entidades españolas impulsan el 'Bizum europeo' y una tarjeta única 
BBVA pacarana: ETL for Machine Leanring GitHub - BBVA/pacarana: A 
standalone ETL tool to generate advanced features for your Machine 
Learning projects
qed: scalable, auditable high-perf. tamper-evident log GitHub - BBVA/qed: The scalable, auditable and high-performance tamper-evident log project
machine-readable passport (MRP)
Identity, Passport, electronic national identification cards:

- machine-readable passport (MRP) is a machine-readable travel 
  document (MRTD) with the data on the identity page encoded in optical 
  character recognition format. Many countries began to issue 
  machine-readable travel documents in the 1980s.

- Most travel passports worldwide are MRPs. They are standardized by 
  the ICAO Document 9303 (endorsed by the International Organization 
  for Standardization and the International Electrotechnical Commission 
  as ISO/IEC 7501-1) and have a special machine-readable zone (MRZ),
  which is usually at the bottom of the identity page at the beginning of a passport
Fcase: fraud orchestration

 The investment was initially led by Wayra, Telefónica's global open 
innovation hub.

 Too often, banks, financial services, and insurance companies face 
the challenge of siloed anti-fraud systems and operations with 
little-to-no cross-functional or departmental communication, 
delivering significant inefficiencies and gaps that fraudsters 
exploit. For fraud prevention and operations to be effective, the 
enterprise must be connected and working in harmony via one final 
fraud orchestration layer connecting and managing point systems, such 
as anti-fraud.

 Telefónica Tech Ventures, Telefonica's investment vehicle for 
cybersecurity startups, recently announced that fcase, a startup 
specialized in fraud detection and prevention orchestration 
technology will be added to its portfolio. 
Sentiment Analysis
A look into graph representations of r/Investing and 
r/WallStreetBets, often seen as representative of the bear vs bull 
market sentiments of reddit. Hopefully, from these representations we 
can cluster Users, Posts, and Stocks by semantic similarity while 
ranking each by their influence on the social network of each 
specific subreddit. The clusters and rankings should be able to then 
tell us which stocks are being promoted together, in which posts and 
by whom and how they differ between these 2 communities.
ISO 20022: cross-border payments
ISO 20022 usage guidelines for cross-border payments released

Welcome to the 4th edition of ISO 20022 in bytes. Despite the 
unprecedented times we’re living through, the mobilisation of the 
SWIFT community to prepare for the adoption of CBPR+ (and HVPS+ for 
domestic payment systems) has been remarkable, with more than 60% 
having started their ISO 20022 learning or testing phase, according 
to a recent readiness report.

For ISO 20022, 2021 holds a number of significant milestones - a year 
of preparation, deployment and testing before the start of the 
coexistence period in November 2022. Find out more below.
What can you expect from this edition?

This newsletter features resources and tools to help you prepare for 
ISO 20022 adoption. You’ll also find community stories about how 
preparations are going, and hear from industry bodies with whom 
we’re working on the details of how our vision of high quality 
payments, powered by high quality data, is taking shape.

- CBPR+:
- HVPS+: