Fineract'rs:

I joined this list recently and would like to introduce myself.  I
formulated the Mifos project in 2001 when working at the Grameen Technology
Center and am current chair of the Mifos Initiative - which is the group
that contributed the Fineract Code.  While I don't code myself, I have
contributed time and energy over the past 16 years to make financial
inclusion via open source work for the poor. In that time, I've also had
the privilege of consulting on mobile money businesses, shared microfinance
platforms, and financial inclusion strategies in dozens of countries around
the world. For the past three and a half years I've worked as a (contract)
member of the LevelOneProject.org team at the Bill & Melinda Gates
Foundation.

I had an early role in articulating the case for what released this week as
open source code.  http://mojaloop.io/   I'd like to do a little context
setting here - all of this is on the leveloneproject.org or on mojaloop.io,
but perhaps I am in a good position to explain how the Fineract code base
could relate to the Mojaloop code. I suspect Markus is already thinking
about this... as are others. ;)

Mojaloop has as its main domain the transfer of value. Fundamentally, a way
to include people in the formal financial world is to create a more vibrant
ecosystem of operators providing different services to customers where the
friction in payments is removed. e.g. Rather than having to walk or a take
a bus hours to make a payment for the kids school - you use the mobile
device to move funds. In the Mojaloop world, the DFSPs (Digital Financial
Service Providers) running a current version of Fineract could be the
source and the destination for funds.

While the world of payments can be arcane, one needs the ability to route
the payment to a specific account address and the ability to ensure that
the payment settles at end of day or sooner (as soon as real time).
Mojaloop has a novel approach for both of these.  In the first, mojaloop
leverages Pathfinder (
https://github.com/LevelOneProject/Docs/tree/master/CentralDirectory).
Pathfinder is a service of GSMA
https://www.gsma.com/managedservices/number-portability-services/about-pathfinder/
.
This innovation is important because it brings a different approach to
routing that is compatible with mobile telephony identity.  This code (
https://github.com/LevelOneProject/pathfinder-provisioning-client.) seems
like a good way to understand how this works.  In the second, Mojaloop uses
work by Ripple Labs on the Interledger Protocol (ILP) (
https://interledger.org/) to settle across different payment schemes or
within a network of ledgers and for the mojaloop that is quintessially the
Central Hub.
https://github.com/LevelOneProject/Docs/blob/master/ILP/block-diagram.png .
This explanation is better than what I could write:
https://github.com/LevelOneProject/Docs/tree/master/ILP

So, those two novel things are interesting and could be leveraged by the
Fineract project today I would hazard.  I would suggest that one proof
point for compatibility would be to attempt to set up two instances of
Fineract (running with a mifos front end) and one instance of the mojaloop
Central Hub that allows for transfers to occur.
https://github.com/LevelOneProject/Docs/blob/master/L1P%20Architecture%20and%20Payment%20Flow.pdf
It would likely require some additional work to make the APIs compatible.

Also, the centralized fraud service and scheme rules setting are also
useful and not likely to be an overlap with the existing Fineract
direction, although do set me straight if I am wrong.

In the Fineract-CN proposed code evolution (see other threads on this), we
have a need to understand how the Mojaloop intersects with the new
microservices architecture.  I would suggest however that since mojaloop is
primarily about the transfer of value and Fineract-CN is primarily about
the management of accounts and clients and access points, that the overlap
is minimal.  Dare I compare this to chocolate and peanut butter and the
wonderful collision which is the Reese's Peanut Butter Cup?  We'll see.

As an idea, when building the microservices, it may be possible to wrap
some of the libraries or services that were released under mojaloop - if
licenses are compatible of course.  On that the mojaloop team choose
Creative Commons Share Alike 4.0.  If there is a mentor who can answer that
- it would be good to know.

There is also a need to understand the flows that are - in my view -
payments done right.  That is, payments or transfer of value, occur outside
of the signaling for those payments and are push and process immediately.
I've addressed this in another post recently but basically the flows are
well documented and the APIs are using the latest and greatest - Fineract
could benefit from simply reviewing that documentation.
https://leveloneproject.org/wp-content/uploads/2015/04/The-Level-One-Project-Guide-Designing-a-New-System-for-Financial-Inclusion1.pdf

  https://github.com/LevelOneProject/Docs/tree/master/CentralLedger  ;
  https://github.com/LevelOneProject/Docs/tree/master/LevelOneClient ;
https://github.com/LevelOneProject/Docs/blob/master/Interop%20Services%20and%20Mule/PaymentFlow.png

i'm trying to find the API documentation -- it's a big project, maybe the
subject of another email.

Finally, there are a lot of highly qualified people on this listserv who
could help identify some of the paths that would lead to some win-wins on
this front.  I look forward to the conversation.

- James Dailey
Seattle

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