MoneyTap smartphone application powered by Ripple s blockchain technology

Transcription

1 MoneyTap smartphone application powered by Ripple s blockchain technology

2 INTRODUCTION OF MONEY TAP : Ground-breaking smartphone application called Money Tap powered by Ripple s blockchain technology to allow customers of the bank consortium to settle transactions instantly, 24 hours a day, seven days a week. With Money Tap, the group s customers will be able to settle transactions at most any time of the day or night, every day of the week. It s said to be the first of its kind, and builds on earlier reports of a consortium of payment card industries utilizing blockchain technology that emerged back in December. Money Tap is the first mobile app of its kind to be developed and used by multiple, different banks in the country. Money Tap will have the potential to provide on-demand payments to the vast majority of the country through this consortium. Money Tap allows the bank consortium customers to make instant domestic payments and only requires a bank account, phone number, or QR code. What s more, Money Tap helps shed the costs associated with existing banking and ATM fees that are currently applied to domestic money transfers in Japan, making those payments not just faster, but cost less overall... Together with the trust, reliability and reach of the bank consortium, MONEY TAP can remove friction from payments and create a faster, safer, and more efficient domestic payments experience for our customers. The app also aims at making banking almost cost-free by shedding cost associations with the existing banking process and ATM withdrawal fees that are levied on domestic transactions.

3 WHY JOIN MONEY TAP? All of today s pain points from the current global payments system delays, limited transparency and high costs stem from the lack of a single, global network. Immediate, Hassle-free Access to your money 24 Hours Service, Settle Transaction at Any Time Speedy Transaction and Lower cost Trust, Reliability and reach of the bank consortium Faster, safer and more efficient domestic payments experience for our customers. HOW MONEY TAP WORKS? For the first time in history, Money Tap connects a diverse set of constituents of today's payments systems through a decentralized global network. Money Tap is a mobile application backed by Ripple s blockchain technology which allows the customers of the Consortium to settle transactions immediately. This is the first ever app to be developed in this niche. No other app provides transactions on multiple bank accounts in one. For best support each of the constituent's roles and needs, Ripple provides three products.

4 xcurrent : Process real-time payments How it works? A standardized technology enabling the ability to message and settle transactions between banks with increased speed, transparency and efficiency. Who uses it? Banks looking to process payments for originators and other banks to drive revenue by enhancing their customer servicing and acquisition.

5 xrapid : Source on-demand liquidity How it works? Access to an on-demand liquidity pool of digital assets that eliminates the need to hold nostro accounts in destination currencies. Who uses it? Payment providers and banks looking to increase their payment volumes and global reach by sourcing on-demand liquidity.

6 xvia : Send global payments with a single integration How it works? A web services layer providing corporates with the ability to securely originate real-time payments with rich data attachments. Who uses it? Various corporates, banks, payment providers and consumers looking to optimize their payments experience with their bank.

7 About Ripple Technologies: Ripple provides one frictionless experience to send money globally using the power of blockchain. By joining Ripple s growing, global network, financial institutions can process their customers payments anywhere in the world instantly, reliably and cost-effectively. Banks and payment providers can use the digital asset XRP to further reduce their costs and access new markets. With offices in San Francisco, New York, London, Sydney, Mumbai and Luxembourg, Ripple has more than 90 customers around the world.

8 MONEY TAP FOR BANKS : State of Banking Payments: Inefficient, Batch Infrastructure The needs of today s corporate and retail Transaction Banking customers have evolved significantly. In addition to sending high value payments, they require the ability to send international low value payments on demand and in real time -- not only across banking networks but also emerging financial networks (e.g., mobile wallets). The limitations of today s infrastructure force banks to process payments in batch, resulting in high processing costs, lengthy settlement times and a poor customer experience. These inefficiencies not only result in an enormous cost (an estimated $1.6T* per year for all participants in the ecosystem), but also fail to meet the needs of today s banking customer. MONEY TAP: Efficient, on-demand Payment Infrastructure Money Tap s software connects these siloed networks through an open, neutral protocol -- Interledger Protocol (ILP) -- that brings new efficiency to financial settlement by enabling real-time settlement, ensuring transaction certainty and removing settlement risk. Ripple s software also includes data-rich messaging between all transacting parties -- delivering a real-time payment experience to end users.

9 Solution Components : Messenger Messenger is an API-based messaging module that enables bidirectional communication between connected MONEY TAP banks. It connects to the beneficiary bank s instance of Messenger to exchange KYC and risk information, fees, FX rates (if applicable), payment details and expected time of funds delivery. It packages this information and presents the entire cost structure to the originating bank, providing unprecedented visibility into the total cost of the transaction. If information is incorrect or missing, transacting parties will find out before initiating the transaction, drastically increasing straight through processing (STP) rates. Once the sender approves the transaction, Messenger employs ILP to settle funds and notifies all parties of the transaction confirmation. Validator Validator is a component that cryptographically confirms the success or failure of a payment. It coordinates the funds movement across the ledgers of transacting parties in a way that removes all settlement risk and minimizes delays in settlement. Validator provides the single source of truth for the transacting counterparties regarding the success or failure of a payment. ILP Ledger ILP Ledger is a subledger of each transacting bank s general ledger. This component of Money Tap is utilized to the track the credits, debits and liquidity across the transacting parties. ILP Ledger enables transacting parties to settle funds atomically, which means the entire transaction settles instantly or not at all -- no matter how many parties are involved. The ability to atomically settle enables new, low-value offerings through the ability to send realtime payments as the settlement of funds happens in milliseconds. Further, the settlement risk is eliminated because the payment processes entirely or fails upfront. ILP Ledger is designed to provide transacting banks with 24/7, on-demand availability. The combination of these capabilities allows banks to profitably offer low-value, on-demand international payments products and services. FX Ticker FX Ticker is the component of Money Tap that facilitates the exchange between ledgers by enabling liquidity providers to post FX rates. This component provides the exchange rate between any pair of ledgers that it is configured with. Additionally, it keeps track of the account, currency and authentication credentials for each configured ILP Ledger. During the transaction, it coordinates transfers on ILP Ledgers for settlement, ensures the validity of an FX quote and transfers the payment amount to the beneficiary bank s ILP Ledger.

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11 Security : Payment Data Separation Implementing a payment system on Money Tap provides a layer of separation and security between payment data and settlement data for financial transactions that are executed over ILP. Validator only sees the cryptographic cases that it uses to mathematically verify that the each institution has fulfilled the conditions required to execute the payment and does not require payment data. This limits the number of times data needs to be transmitted between the two banks. The actual payment data is encrypted and shared only between the two institutions making payments to each other when necessary. The following types of payment data are stored and maintained in internal databases that are only accessible by each bank: Identifiers for originators and beneficiaries Required PII/CIP information for originators and beneficiaries Additional payment information such as invoice numbers Additional metadata Secure Communication Banks internal systems communicate with Money Tap over secure HTTPS connections and use OAuth 2.0 for authentication. ILP components of Money Tap use HTTPS for secure communication with each other and Messenger, using CA certificates for authentication. HTTPS is also used for: Pre-transaction communication between Messenger instances at corresponding partner institutions Communication between Messenger, Validator, ILP Ledger and FX Connector.

12 Data Privacy and Protection : Money Tap creates a direct, secure connection between the banks. All payment data is sent directly between the institutions that are parties to the payment; neither Ripple (the company) nor any third party have access to this data. This design ensures that the banks have control over access to their customer data and how it is stored. o Data in flight: Data sent using Money Tap is transferred securely using HTTPS and is protected by SSL encryption. Additionally, Ripple uses a combination of OAuth and client SSL certificate authentication to protect connections and endpoints. Data is only accessible to the banks that are part of the transaction. o Data at rest: As only the banks related to the payment have access to the data, those banks maintain control over their customer data and transaction records, storing this information per their IT, cyber security and data protection standards.

13 Timeline JAN 2018 FEB 2018 MARCH 2018 APRIL 2018 JUNE 2018 AUGUST 2018 NOVERMBER 2018

14 TOKEN ALLOCATION 12 % 32 % 10 % 06 % 40 %

15 Fund Allocation 25% 13% 30% 15% 17%

16 CORE TEAM MEMBERS : Takashi Okita ( Co-founder ) He is CEO of SBI ripple Asia, the joint venture between Ripple and SBI Holdings. Takashi Okita served as a council member for the Financial Agency of JAPAN and has been recognised as one of the youngest CEOs with companies listed on both the JASDAQ and the Hong Kong Stock Exchange. Emi Yoshikawa ( Financial Advisor ) Director, Joint Venture Partnership at Ripple Emi manage joint venture activities and business development or Asia. Has done MBA from Harvard Business School (HBS) in Josh Kleiman ( Legal Advisor ) Josh is an experienced litigator and corporate advisor. Josh s experience including advising companies, entrepreneurs and individuals on litigation exposure, licensing deals, corporate organization and securities matters.

17 Monica Long ( Marketing Officer ) Monica is the SVP of Marketing and Communications at Ripple. She previously managed PR for QuickBooks at intuit. Prior to that, she worked at a global tech PR agency. There she supported start-up clients in various B2B and B2C sectors, including a number in fintech, such as Prosper. David Schwartz ( Software Developer ) David is Chief Cryptographer at Ripple. He develop encrypted cloud storage and enterprise messaging systems for organizations like CNN and the National Security Agency (NSA) Known as JoelKatz. He is respected voice in the digital currency community. Zack Shapiro ( Application Developer ) He s been building products and software over 10 years. Prior to Money Tap, Zack worked for Square, Splash, Product hunt and has founded and sold two companies. Devin Alexander ( Developer ) A software developer with over a decade of experience building highly reliable software solutions for the publishing, travel, insurance, and e-commerce industries.

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