 Great. Great to see everyone this morning. We're going to give everybody another minute before we get started on today's Hyperledger Foundation in-depth with our member IO builders. We'll go through some housekeeping and then go ahead and get started with the webinar. I'm going to go ahead once again if you would like to put something into the chat. Maybe chat might be turned off for today. Tamash, can you turn on chat if possible? Yes, I just started it on. Wonderful. Thank you so much. Good morning, good afternoon, and good evening to everyone joining us today. My name is Daniela Barbosa. I am the Executive Director of the Hyperledger Foundation. I'm very excited about today's webinar. We're going to get started in about 30 seconds. If you can go ahead and welcome yourself and say hello and where you're from in the chat, that would be fantastic. I love seeing where everybody is dialing in from, so I'm going to go ahead this morning. I am dialing in from the San Francisco Bay area right south of the city in Pacifica. Nice to see everybody and we will get started in a second. All right, we got some folks from Chicago and, hey, Brett, good morning from Rochester, India. Good evening, Adani from India. Nice to see you and Anan from Saudi Arabia in Boston. All right, we got Toronto, the West Coast, the East Coast seems to be well organized here today. So welcome everyone. All right. And we will go ahead and get started. So once again, my name is Daniela Barbosa and welcome to today's Hyperledger Foundation member webinar. These member webinars are an opportunity for our community to hear from our Hyperledger members who support the foundation, but more importantly, the builders and the innovators of using Hyperledger technologies as well. If you follow my blog on the hyperledger.org page in early 2023, I wrote a post specifically about tokenization and how I really felt that this year we were going to see a lot of projects. I owe builders who has been at this for a long time today is going to give us a presentation, which I'm very, very excited about. Before we get started, let's go ahead into our regular housekeeping that we want to follow. So as a reminder, all are welcome in the Hyperledger community. We're here to create a safe and welcoming community for all. And we encourage you to interact in the chat room, for example, and in person when you meet each other, but also to be respectful. We can disagree, but let's be respectful and nice to one another. So once again, welcome everyone from the Hyperledger community. It's joining us today. If you haven't yet, let us know where you're from. Please pot up it into the chat room and we're welcome to have everyone here. Just a quick housekeeping, all Hyperledger Foundation meetings, webinars, and other events follow our antitrust policy. The Linux Foundation involves participation by many industry competitors, and therefore all our meetings and webinars and social interactions are following our antitrust policy. Please do read the antitrust policy on our website if you have any questions. This webinar is being recorded, so the session will be available. And you'll get an email after when the recording is made available so you can have access and share it. And we encourage you to share it with others post the webinar as well. And once again, we will provide slide downloads and those will be available in the video description of the YouTube recording and also be sent to you via email. So please take a motion. We'd like to have these as interactive as possible. So please raise your hand if you have any questions. There's a button and we'll get to it as soon as there's a natural break. We also have a Q&A panel. If you see at the bottom of your Zoom webinar screen, you'll see Q&A. If you click on that, you can ask questions. And those questions will be addressed either live by the speakers or at a point where we go into Q&A as well as in the text. So please feel free as questions pop into your head to put them in there so then we can address them in the webinar as well. And do feel free to chat and talk and comment once again, be respectful of one another. We are monitoring that. And if there's any questions, we could also bring that up. Today's webinar has two speakers. So they'll be watching the Q&A and the chat as well. So once again today, I'm very excited about our webinar topic. It's Hyperledger Bezu and tokenization of real world assets. And real world assets or WAs are usually used as an acronym. And today's presenters are Jorge Antonio Ruiz and Carlos Conteiras. And they're both with IO Builders. And IO Builders has been a member of the Hyperledger community since very early. Before I jump in and introduce them, I want to remind everybody that at the Hyperledger Foundation, we have multiple projects and these are our graduated projects. We have distributed ledgers, libraries and tools. And today we're going to be focusing very specifically on Hyperledger Bezu. For those of you who do not know Bezu, Bezu has a strong history with the Hyperledger Foundation and the Ethereum ecosystem. Bezu is an Ethereum virtual machine, one of the most popular enterprise EVMs out there today. And I wanted to very quickly give you an overview of the Hyperledger Foundation and the Ethereum ecosystem as it stands today. So very early on we did provide EVM Ethereum virtual machine support with one of our projects called Hyperledger Borough. But in 2019, Hyperledger Bezu was contributed to the Hyperledger Foundation by Consensus, the company with the Y. We were very excited to bring an EVM project into the Hyperledger Foundation. And I remember very early in 2019 and probably in 2018, right before we started discussing bringing that over to Hyperledger, having conversations with IO Builders. IO Builders have been one of the first enterprise users of Hyperledger Bezu, starting in 2018 prior to Bezu coming over. And it was called Pantheon or Pegasus by Consensus. In 2019, we were very happy to welcome Bezu into the community. And by then we had already had great relationships with the Ethereum Foundation and the Enterprise Ethereum Alliance where a lot of the enterprise standards are being developed and continue to be developed. We're very excited about the continuation of the Ethereum ecosystem and very much so of the companies like IO Builders that have products to market that are using Bezu and the EVM as part of their products and solutions worldwide. Today, the Ethereum Bezu project, of course, has two parts. We have Ethereum as a mainnet execution client. And if you look at the majority of the dashboards around client diversity, we'll talk about Bezu as running about 10% of mainnet as an execution client. And then Bezu as an Ethereum virtual machine is, once again, one of the most adopted Ethereum EVMs in the enterprises. So we're looking very forward to today's conversation around tokenization of real-world assets. And I'd like to introduce Jorge Antonio Riz, who is Chief Business Officer of IO Builders and Carlos Conteiras, who is Blockchain Product Manager at IO Builders. I'm going to go ahead and stop sharing and if you can share your screens as well, that'd be fantastic. So welcome. Thanks a lot. Daniela, thank you very much for the introduction. Sorry about that. Thank you all to the whole Hyperledger Foundation team for inviting us. Super happy to be here. I think it's very exciting to see, well, I mean, I'm looking at the chat participants from all over the world, from India, from Saudi Arabia, US, Canada. So yeah, I'm really happy and hopefully this will be an interesting conversation. But just very quick, so the idea is to, well, first of all, tell you very briefly who we are at IO Builders. Tell you about our company, our mission, and then give you a bit of flavor about some of the use cases we are working on regarding tokenization of real-world assets. And then finally, we'll do a deep dive on one specific project we did with Hyperledger Pesu doing a tokenization of a bond with top tier players in the financial industry, which Carlos here will give you a bit more detail. So yeah, as I said, who we are at IO Builders. So IO Builders was a company established in 2018. The beginning of the initial goal was to be a venture builder, but then it has evolved into a firm specialized in development of protein services and proprietary products. From the beginning, our philosophy has always been to focus on the more traditional side of the technology. So working with businesses and companies to improve the efficiency of their processes, to generate a new business models, to help them increase the customer engagement, et cetera. And always from our regulatory standpoint and perspective. So our goal has always been to approach the business and the enterprise world and help companies adopt this technology to create new business models and make the current ones more efficient. So as I said, since 2018, we've worked with over 30 clients, more than 50 projects, and we have a team of 100 people. I mean, all in-house and with 85% of technical stuff, which is one of the biggest teams in the enterprise blockchain world. Yeah, you can go, Carlos, well, here is, as I said, mainly we focus on the enterprise world and we look at regulation and compliance. So here are our three business verticals to create that way. So the first one is consulting. The truth is that because of the nature of the business, we have spent a lot of time on technical consulting, mainly because clients, they begin at work and sometimes are not ready and need to spend some time understanding how to implement the technology to their business models, how this technology improves the efficiency, where are the risks of the technology, how to mitigate them, right? So we believe this is a first step needed, and that is why we have gone through this period of adaptation and consulting, right? But then, well, the second vertical is digital assets, which, as I said, we are a technology development company. We have 85% of our staff is technical, and we are technology companies specializing in building solutions for financial markets, leveraging this technology, DLTM blockchain technology. We are specialists, mainly in digital securities, digital money and digital loans, and providing technology development. And then we also have our own products for different business applications, which we'll talk more about, right? But ECM, DCM, as indicated, lending and others across the financial industry, across the real estate industry, entertainment, I'll give you a bit more context during the presentation. And then the last one, the third vertical is the deep tech line, which is a very technical, this is for very technical projects that require innovation teams and deep knowledge of how blockchain's network functions, how they work on interoperability, on setting up a new network, deploying nodes, how to create new token standards for specific industries. So, high technical jobs, we work with companies on this type of projects. And then, as I said, well, we have also gained good traction with some of our products that we have launched internally. Then regarding some of our use cases here, we included this slide, which I believe gives you a good image on the type of projects and initiatives we are working on. So, in the financial world, the most advanced cases we have are in the digital securities sector, so tokenization of securities, where we have worked with clients like DMV, which is for you to know the Spanish CSD, the Spanish Stock Exchange. We have worked with the Inter-American Development Bank, with Red Swan, St. Andrew, BBGA, all funds. So, as you can see, talk to your players in the financial industry, in real use cases that have been in production, so not only POCS, with the idea of building market infrastructure that digitalize the entire process of issuing, managing and trading in a primary and secondary market, these financial instruments, right? In this vertical, just to give you a bit more information, the latest, and I would say probably our more advanced project is the creation of market infrastructure using GLT technology that we have already developed, which is regulated by the Spanish and European regulators, which is S-M-I-N-C-N-M-V, and that has an initial use case that is in the real estate sector, right? We're seeing a lot of traction in this project, a lot of interest from market participants, and this market infrastructure was created with an investment bank in a real estate company here in Spain, and the idea is to also integrate digital payments to facilitate the delivery versus payment with commercial bank money, tokenized commercial bank money, right? Then, well, the second line is the digital credit. In this segment, we're talking about the creation of a platform or infrastructure to digitalize and tokenize credit products, and the first use case we have launched is a platform for the syndicated loan market using GLT, and we use GLT and tokenization to automate all the lifecycle of this syndicated loan and help in structuring and execution of the syndicated loans, right? This is an initiative where we have been working with top tier Spanish banks, with the biggest Spanish banks, and we're seeing also a lot of traction in other continents and geographies where we are talking about it, right? Mainly in Latin Asia, the truth is that we're seeing a lot of interest in this segment as well, and, well, same as before, right? The beauty and the interesting thing here is that it reduces costs heavily, and I'm talking about costs at the back of this level that banks currently have for managing these syndicated loans, but then it also can provide liquidity in secondary markets, right? So that banks can sell their tickets in these syndicated loans and get liquidity from this. Then the third vertical is the digital cash leg. In here, well, just to give you a bit of context, well, we've worked on various projects of tokenizing e-money, tokenizing commercial bank money. We are involved currently in a CBDC project with the Spanish central bank, and then we also have projects where we have developed stable coins for enterprises, right? And we're very active in this area. And then the last two, I would say they are very complementary lines. The first one, as I said before, right, is the deep-tech line. This is for very technical projects that require an innovation team and deep knowledge on how the blockchains work, and we have teams working on this, I talked about it before. And then we have the legal tech vertical as well, which we're developing a legal digital product factory with the goal of being able to market in the world of contracts, legal contracts with digital trust now, and the idea is to sell these services in a software-as-a-service format to come out, right? And we're also seeing a lot of interest here. Okay, so I think we gave you a bit of sense of who we are and where we're working on this. So now the idea was to talk about some of our use cases. I'm going to be brief here, because we don't have much time. We want to leave a bit of time at the end for questions, but we included these five use cases, right? Investment funds, digital bonds, and digital services. Private technology and syndicated loans. Carlos is going to talk sensibly about the digital bond one, and we'll give you all the technical details. So the idea here is just to give you a bit of flavor on what mainly the issues we saw in these markets and why we believe blockchain and DLT technology was perfect to leverage on these digital bonds. So the first one is investment funds. Here, what we've been working for the past three years with the largest fund distribution entity in Europe, which is our main client in this sector, and we have been working on the development of their blockchain-based products, including the tokenization of investment funds, market order and transfer management and settlement and smart contract development. You can go to the next slide if you want, Carlos. Here, well, we included this as a way to give you a bit of insight on what we're going to talk about in the next slide. Here, well, we included this slide just to give you the idea of what was the problem to be solved, what was our role, regulatory context, and the impact we provided with this solution. In this case, I think it's very clear, so the problems in the investment fund industry was the efficiency, I already talked about this, and then the contract margins because of how expensive it can be sometimes. Here, we developed this solution with this client that we just told you, and the impact provided was we are already seeing because this is in production, they're already working with clients, we have seen improved efficiency and transparency, and we're seeing a lot of traction from top-tier clients in the EU and US, which are already integrating this platform and working and selling and offering this to their clients. You can go to the next one. We'll share this slide. I'm not going to stop a lot, but as you know, you will have this slide and happy to talk in a bit more time. Well, the second one, as I said, was the tokenization of a bond that Carlos will give you a bit of more information later. Then the third one is the MTA for alternative markets. Here, I already talked about this, but the idea is that we have created a multilateral trading facility which can apply for alternative markets. The first use case is regarding real estate, and the idea is that with this new market infrastructure, promoters or companies that own real estate assets can tokenize them through tokenization of equity or debt or of vehicles that have these real estate assets, and they can tokenize it, issue them in this platform, trade it in a primary market, manage it through all their life cycles so it can automate things like all the corporate events, so paying dividends, paying coupons, all the corporate events can be automated through smart contracts, and then it can also provide equity through a secondary market, which is a regulated secondary market which we believe can bring a lot of impact and value to this sector, which is a sector that normally had a lot of e-liquidity and had limited access for some investors, and through the use of this new trading venue and multilateral trading facility, we are seeing that it can bring a lot of equity and lower the costs, which at the end can be beneficial for investors, and it can also open it to a new type of investors, not only very sophisticated family offices or funds, but also more retail or other type of investors. You can go to the next one. And then the last use case is in the private equity sector where we also work with the creation of N2N solutions to also digitize the life cycle of events in a private equity fund, so location, commitment, capital calls, distributions, which we believe can be very beneficial for the general partners, the LPs, and it can be very useful to tokenize a trend of this fund and maybe open it to a new kind of investors for retail through lower tickets and it can help provide a lot of equity, right? Yeah, so these are some of the... Yeah, you can go to the next one, Carlos, if you want. These are some of the use cases we're working on, as I said, Carlos is going to provide more detail on these use cases, which was a tokenization of a digital bond. Okay, thank you, Jorge. I think we have an open question from Jeff in which vertical would you place the interactive trading of tokenized assets? Well, I'd assume it would depend on the type of digital asset that you are referring to, no? So for example, Jorge mentioned like four different verticals depending on what you will refer to me on the, let's say, this MTF market for digital assets that would be the place where I would point to it. Okay, so now we would like to speak a bit about this project that we did with BME. Jorge said the Spanish stock exchange and responding to Bolsa C Mercados Spanish. So what we prepared today is to drop some light on how the blockchain aspect behind the bond works and we will try to provide you with a clear understanding of how blockchain technology can be applied to a traditional business case. To start with, we would like to clarify what's a bond in case somebody is not aware. Well, a bond basically is a financial instrument, a debt through which an investor lends money to an entity, be it a government or a corporation, in exchange for regular interest payments, what we will call coupons, and the repayment of the principal amount at the bond maturity. A bond that can be issued with fixed or variable interest rate. It will have a defined specific term and it's usually traded on secondary market. Okay, in order to move ahead, we need to contextualize the platforms that help us to orchestrate the execution of events that will allow us to react to what is happening on the blockchain. And we will speak about the platforms. The first one is the digital bond platform, which is designed to cover various events within the lifecycle of a security, the lifecycle of a bond. This platform represents the detailed register and is in line with one of the major premises of the project, which is very important to remark, which is this project with DME strictly replicates the traditional and regulatory financial model, but using blockchain technology. Okay, but we are sticking absolutely to the low and low enforce at this moment. Okay, the key point here is that from this platform, from the digital bond platform, all the events related to the bond will be executed. We will now dive into the details. We will be speaking about how is it issued, distribution, secondary market, etc. But what we would like to state clear now is that these actions are limited based on who can perform them. And at this point, we have created three types of participation entities in the platform. First, we have on the top the CSD, the central settlement depository, which is the platform owner. And it's, let's say, responsible for maintaining the general register and from managing settlements. So as the platform owner, the CSD is not only responsible for onboarding the rest of participants and users, but also for the creation and the issuance of the bond or the definition of its main characteristics, or we see in accordance with the description of the bond in its own perspectives. We will also find the payment entity who is responsible for conducting all operations related to the different corporate events throughout the bond lifecycle. And we will see here the coupon payment or the redemption. Let's say that the payment entity acts on behalf of the issuer of the bond. And third, we will have the custodians. Augustodian basically is the entity responsible for the custody of the positions held by the clients, who will be the investors. So essentially, Augustodian monitors the detailed register. And we would like to remark three main, three common characteristics among these three type of entities. First, is that all of them will have their own account on the platform. And this account can only be accessed by configure users for security purposes. Remember that we are in a very regulated environment. Second, its type of entity has its own business perimeter, meaning that they can only perform actions specific to their activity. And here we are not referring only to a visual matter or showing more or less action buttons. What we want to say is that this means that the network will only accept transactions, let's say related to the payment entity domain when the sender is a payment entity and is, of course, the relevant payment entity. And the third crucial point is that each entity will have its own address in the DLT. We can call it the entity wallet, let's say. And this is the address where both securities and cash are positioned. The address from which tokens will be sent or to which they will be received. Let's say custodian, when they create an investor within their ledger, they will assign also a unique and different address to each of these investors. And that is the address that will come to interaction when necessary. Just to let you know, the platform is in production. The first case was a $10 million bond issued by the Inter-American Development Bank as Jorge mentioned, the ADB. Though, as I said, in a regulated financial environment, the issuer does not directly manage the relationship with the market. What they do is to appoint an entity, the agent bank or the payment entity, as we said before, who will represent them and arrange their commitments. In the specific case of this issuance, we adapted this payment entity role for BVBA. So BVBA acted with two different roles. It acted as an adaptation of the payment entity, which we called the custodian control for the IDB. And that's a regular custodian for the investor sites with two different corporate investors behind, Iberdora and Renda4, who are big corporates in Spain. For this purpose, BVBA held two different D-accounts, one for each entity type. So one wallet for the custodian control site, one wallet for the custodian site. And as we mentioned before, we also have the CSD, which in this case is Iberclear, which is the central settlement depository related to the Spanish stock exchange. Okay, note that in this MVP for simplicity reasons, we have here some screens. We only use one custodian, but the platform and both the platform and the smart contracts are designed to support the multiple custodians. What we are looking for with this, for a lot of flexibility, not only for bond distribution, but also for the management of corporate events, as we will find out during this presentation. Okay, all right up to this point, we have only discussed about the security side, about the bond, but we are still missing the, let's say the other will of the bike, the cash. How are the operations in the secondary market paid for? We may ask, where does the tokenized money that you are using come from for the payment or for whatever other process? We'd like to introduce a set of digital money, which is the second platform we are speaking about. It's another platform also developed by Ayio Builders and used by VVDA in this case. It's a platform that help us to first issue tokenized money, second to conduct payment on the blockchain, and third to manage accounts and transactions. And it's critical to understand here that we are referring to VVDA as a different type of entity. Here VVDA is also acting as cash tokenizer. So let's assume that VVDA is playing three different roles in this MVP. And how does the cash piece fit in? Okay, at the end, a set of digital money is just the VVDA's gateway to introduce tokenized money to the BLT. And this way we are connecting the on-chain and the off-chain worlds. Again, the set of digital money bridges the VVDA's core banking system with the accounts of the blockchain participants. Okay, so in one sentence, a set of digital money is a merely money tokenizer. Its initial use case has been its application to the digital platform, but the tool is also able to connect to any other network and include additional business cases. And in three lines, how does this work? Well, the bank, VVDA, has fiat accounts with different market participants. Whenever needed, they move fiat money from their client's account to a collateral account within VVDA where the money is held. At the same time, in money tokens are created in segregated and independent accounts in the account of its respective client, the BLT, depending on the owner where the transfer took place. And afterwards, once the money is on chain, the useful business operation follows, let's say a payment on the secondary market, a coupon payment, or whatever. And once the business operation is concluded, the cash tokenizer will burn these cash tokens from the segregated BLT account where they ended up in the case of payment of a coupon. For example, the money would have been initially minted, as we will see now in the payment entity account, but will end in the investor's account. Once they reach this investor's account, the cash tokenizer will burn those cash tokens and perform the corresponding cash transfers from the collateral account with the fiat money that we mentioned before to the corresponding owner account. So in summary, a set of digital money enables us, first, to register account holders and wallets from different platforms, second, to mint and burn cash tokens, and third, to manage and monitor the transfers that take place between wallets. Okay, so trying now to put all these elements together, why are we talking about blockchain and not about something else? Well, in a project of this nature, essentially what we are looking for is, on the one hand, we are looking for a single source of truth, something that is immutable, that provides the ability to trace the entire life cycle and that enables everyone to see what has happened within the perimeter. This way you can facilitate reconciliation between parties and shooting uniform calculation of interest and shooting there is no impact of having different calendar versions or whatever. And on the second point, is that you also want to grant the ability to execute agreements through an identity that allows two things at the same time. First, the identification of the participant and the association with their activities. And what we mean with this is that only the relevant player can perform its own action. The first question we may ask here anyway is, why are we doing this with blockchain instead of using a traditional backend? So we like to clarify like this, we need to be sure first that the technology fits the case and the key lies on the characteristics of this technology. With blockchain you can simplify a HAPA common view and establish a single point of communication without the need of multiple API integrations. It's a technology which specifically when you are dealing with numerous participants as can be the financial markets, it makes processes more efficient. The fact of having a cryptographic key which identifies the participants and that is directly connected to this capability to act on a digital asset, this characteristic, the simple act of being able to perform a transaction confirms through the technology itself that you have the capacity to do so, that you are authorized to do it. If you are not the one to do it, you will not be able to do it because the blockchain will not allow you. The transaction will not be processed. So summing up everything we just discussed, we use blockchain because the characteristics are unquestionable and scientifically and mathematically validated. So this is why we believe the technology aligns with a use case. Moving ahead, let's speak about the network. In this project, we had two distinct networks, one for pre-production environment and another one for production. It's important to explain that we chose Ethereum technology because it's the most widely used in the blockchain community and you have around many tools available that facilitate tokenization. And we use Hyperledger Besiu at the Ethereum client because it allows us to extend the Ethereum technology to the business environment, adding critical features which are not outside here, such as privacy or permissioning. At the end, Hyperledger Besiu is an optimal system for enterprise applications which, like this one, require secure transaction processing and high performance. The main characteristics of the network, it's a private permissioned network, meaning that only specific nodes and accounts can access the network. In order to add a new node, you need the intervention of a network manager. And the fact of having this limited number of nodes promotes a very short processing time per transaction. Our target here is to get the validation of each block to last one second. Another characteristic is that it is a gasless network. Normally, gas is the economic incentive for a validator participating in a network. Well, in this case, this free gas characteristic allows any address on the network to send transactions without needing any type of balance. And the last point was to mention is that we are using the QBFT consensus algorithm, the Quorum by Sanctifol Tolerance Algorithm, which is based on proof of authority. And we chose this consensus protocol because it's suitable when participants know each other and they maintain a level of trust, which is what happens in the regulated financial markets, not that all the banks at the end have a relationship between themselves. Okay. Having said the context, let's dive now a bit into the magic, into the smart contracts. Being clear, smart contracts are no contracts and not intelligent. Smart contract at the end is just a piece of code which is incorporated into the blockchain to facilitate, to execute, or to enforce an agreement between parties. Meaning with this, if we were to place this piece of code in the backend instead of in the blockchain, conceptually we would be speaking about the same thing, although of course being on a blockchain at credibility. But the point here is that if this piece of code is predefined to have certain parameters and instructions to act in response to something which could be an incoming transaction, well, it doesn't make much sense to quality and intelligence. But then, where are we using them? Well, we use them because the code, this piece of code that is executed in addition to being immutable is also deterministic. So this means that due to the consensus mechanism of the technology, any participant in the network executing the same code starting from the same previous state will deterministically arrive to the same result. And this is what it is. We use smart contracts because they cannot be altered, they are entirely traceable, they are trashless, the technology scientifically guarantees it. So if we combine all these things together, if we combine they will have a distributed network, a distributed ledger, cross communication, cryptographic identification for participants, well, if you add the smart contracts to this mix, it provides you a tremendous potential. Okay, let me tell you now a bit about the smart contracts approach with regards to the security. So on the one hand, we had the smart contracts for each specific security coming from the factory asset. Each time a bond is issued and a smart contract for this bond is deployed. These smart contracts are based on a standard ERC 1410 and to which we added a certain bond the casuistics like role-based access, extra data, bond status, et cetera. And on the other hand, we have three different generic smart contracts which are meant to cover the full bond life cycle. As we can see here, the primary market smart contract, secondary market smart contract and corporate events. So basically what do we aim with each of these? The primary market smart contract is in terms of arranging all the parts related to the creation of the bond, to the subscription and to the distribution between the users or the investors that have subscribed to it. Secondary market includes all the market mechanics, all the machine and trading and settlement algorithm and allows us with the fact of carrying the cash and chain as we said before to reach to DVPS scenarios to delivery versus payment making it able to perform a transaction atomically. You know, in useful regulated market environment, a buy and sale of a financial instrument, usually it takes two days to settle. In this case, you can do it with one transaction. And the last one that we will see the example now is related to the corporate events that take place during the life cycle of the bond in this case, including cash payment, coupon payments, or deep on the prevention. Okay, in summary, what we covered with the digital bond platform is all the full life cycle of a bond from the creation at the moment that bond is created in the system, the smart contract is deployed, when the C-suite distribution, you allow the trading, you perform your processes on record date which we will see now coming until the end of the life cycle of the bond which will be the redemption when the time comes for the issuer to return the money to the investors who invested or did either at the creation of the bond, primary market, or even in a later stage in the secondary market. And we would like to conclude this session with one clear example on how these smart contracts work from a functional point of view. So if we are speaking about a coupon payment, the process in the market for when the time comes to pay for the coupon payment, the market takes first the day before the payment date a photo, a snapshot of which investors are holding in which quantity of the asset in order to know to whom I have to pay and how much. Well, how is this managed in the platform? The payment entity in this case request this snapshot of the owner of the bond tokens and the digital platform send a transaction signed by the payment entity and it's the only entity that can send this transaction. Then the smart contract what it does is to iterate through all the custodians and through all the investors within each of the custodians that has position and emits an event representing that the snapshot has been completed. The platform reads the license to this event and update in the platform the status of the financial instrument to the corresponding status in this case would be like ready for payment. Then the next day when the time for payment comes again the payment entity requests to pay the coupons to the custodians not to the investors because the payment entity speak to the custodians and then each custodian as we will see now will manage its own perimeter. So once the payment entity signs the transaction the smart contract recognizes that the transaction comes again from the relevant address calculates the percentage of the equipment to pay to each custodian and performs the transfer of cash tokens from the payment entity to each of the custodians an event is sent generated by the blockchain anytime that the payment to each custodian has been completed and one last time once all the custodians have been paid. In order to conclude this first part which is the payment from the payment entity to the custodians the second stage if we are able to focus in one single custodian it will do the same process it will pay to the people that have behind to the investors again the smart contract will calculate the percentage of the coupon to be paid to each of the investors and will transfer to the cash which has just arrived to the custodian cash account will transfer it to the investors account and an event will be emitted by the network it's time that each investor has been paid and a last event will be emitted from the network confirming that all the investors within this custodian specific have been paid in order to consider the payment for this custodian one completed the last step is that remember that the payment is multi custodian so this process will iterate through all the custodians and at the end we will have behaving exactly in the same way and at the end once all the custodian payments have been processed a last event confirming that all investors of all custodians have been paid is generated and bred by the digital network platform which will update the coupon payment full flow is completed here to conclude with how do we monitor and review the state and the content on the blockchain we are mainly using two different tools the block explorer which is a basic view of blocks we can check the block hash the validator node the difficulty or any other metrics and the ETH stats which displays real-time and statistics about the nodes and about the net I think we have some questions how are we rendering them Daniela, I'll let you manage from here wonderful well thank you so much we do have a couple of questions and I think there was a couple of questions that Jorge let me turn on my video answered before that I think might be good to just reiterate for the audience if they weren't checking the QA specifically around the kind of industries, the verticals that you're seeing picking up tokenization projects very often we think about tokenization financial services but there are other industries as well so I don't know if you want to comment on that but just want to remind everybody if you haven't already please do put the questions there's a Q&A button at the bottom in the chat of the zoom client there and you can answer your questions and we'll go through those and you can also raise your hand if you want to do a voice call so Jorge or Carlos do you want to voice answer the kind of interest that you're seeing outside of financial services as well that question was asked a couple of times absolutely sorry as I was saying in the financial industry but then we personally are quite active in the real estate industry I would say is another vertical where we see a lot of interest from participants energy and renewables definitely infrastructure entertainment, sports so the truth is that we this technology can apply to different industries but I would say the ones I just mentioned the ones where we personally are seeing the most interest and traction I want to point the whole audience very often we talk about a kind of theory or projects that people are working on from an innovation or an R&D perspective but what you saw in IO Builder if you go and review back the slides again there's some really important slides around the impact and value that the solutions and these approaches have really provided these companies and the customers and the ecosystems that these projects are being worked on and I always like to focus on things there's the sexiness of blockchain the speculation of crypto but it's really back down to creating lowering costs providing costs and efficiencies and one thing that brought me into the blockchain and I think Jorge you mentioned this providing ways for financial inclusion for more retail buyers into the system and I think that's really exciting and you have quantifiable results from these customer use cases so for those of you who might have come in late or are reviewing this via recording I highly recommend taking a look at those impact and value statements because those are really where the industry is going and where the value a lot of the value is being done I have a question on from the Q&A once again if you have questions please pop them in there around any integrations into EBC and if one of you wants to explain what EBC is for the audience that would be fantastic as well if you know I understand that the EBC is the European blockchain services infrastructure at this state I'm not sure if we'll have any open line with them what we are working with is in conversations with ECB with the European Central Bank blockchain system in the context of the project for CBDCs I'm not sure if the EBSI is so fully focused on the financial sector which is one of our strengths please go ahead I have another question which is worth to mention from DICE who is asking how does all the platform change or the bond change in the case of calling the bond early, of an early redemption the platform is prepared for that so in the case of the ISWER calling from redemption following and performing replicating exactly the same behavior as in the traditional market you advise the CSD the CSD will perform its relevant actions and the platform is prepared to allow the CSD and only the CSD to change the redemption date of the bond and the smart contract of the asset is updated accordingly and when the payment date comes you will have let's say the last coupon date and the payment date with the retirement principle with the clarification that once during the last coupon date trading is stopped because you are going to redeem it instantaneously I see another one we can continue with some of the I'm reading the other questions I see one from W.E. Perry talking what we are doing is making a ledger entry and asserting that it must be accepted as a proxy of a real world asset here I believe we talked about it at the beginning of the presentation but mainly the idea here is that obviously we need to go with regulations depending on the industry we can do certain things but just to give you an example on how we truly apply value and we are tokenizing a real world asset for example in the project that I talked about where we tokenized digital credit tokenizing syndicated loans here what we are doing is within the platform we are providing a tool to structure and negotiate the contract so that the financial entities can negotiate the legal documents and the legal contracts and what we are doing is we are including this in such contracts that the way to prove which banks are owners of the tickets in the syndicated loan is to look at who are the owners of the tokens at the end owning the token means that you have the legal property of sharing the syndicated loan so I believe this changes everything and you go from having to go to the paper of the legal document to go into the DLT and to the registry and which can prove who is the real owner and this makes everything much more efficient for banks you have a distributed ledger much more secure and I believe it's a game changer and this kind of logic can be applied to other countries such as real states such as energy and I believe it can really be a game changer I hope I answered this question there's a couple more questions we're at the top of the hour and I want to be respectful of everyone's time so a couple of things if there's questions in there Jorge and Carlos feel free to answer them as you type into it but also we have many more that will watch this on recording so how can they get in touch with you if they have questions or they want to learn more about IO builders and your products and solutions I believe we have our emails at the end of the presentation which we'll be sharing also happy to someone wants to talk to us they can just add us on LinkedIn or send us an email and more than happy to review these cases and talk about our communities so yeah great and we'll put those into the deck once again we'll share the recording in the deck for everybody so thank you Jorge and Carlos for joining us today very insightful I think we could probably do another 90 minutes specifically around talking about some of those regulatory requirements and more importantly how the jurisdictions that you're working in are adopting and moving forward with tokenization which I think is a very important thing that aligns with the technology the technology is there it scales you have proven it as many others have in the marketplace it's very exciting to see the work that you're doing so thank you so much for sharing a lot of the work and we look forward to sharing more information from IO builders and the networks and communities that you're building as a reminder the Hyperledger Foundation has many events webinars in person events etc next week we'll be headed to Tokyo for our Hyperledger member event member summit Tokyo as well as some workshops and we'll be at open source summit Japan our next in-depth member webinar will be the emerging tech stack for digital assets and asset tokenization a topic of choice for everyone on lessons learned and what's next so Steve Cherney from Kaleido will be giving a presentation very specifically about their experiences around digital assets and asset tokenization so please do put that on the calendar and you can always check our Hyperledger Foundation website for additional webinars and additional content we do have a lot of thought leadership content so please do check our website for research use cases and the case studies that are bringing Hyperledger in action to the world through our content our webinar and our videos please do touch base with us on discord we have a very very active close to 5000 users on discord across all different projects special interest groups regional chapters and more you can find staff there as well as our entire community so a great place to interact ask your questions and get more details around our projects and communities worldwide so once again thank you so much to IO builders for joining us today as a Hyperledger member we are super appreciative of all the support that you do for the foundation and encourage all of you who might want to join the Hyperledger Foundation to join us as well please visit our website or send us a note to membership at hyperledger.org thank you once again and I hope everybody has a fantastic rest of their day thank you Daniela it was nice and just let us know for the rest of the day if you have any questions feel free to ask us in the comments down below thank you so much you got it thanks everyone thank you bye