System and method for implementing an interbank information network
The invention relates to creating a secure, decentralized, cloud-based network or physical/virtual infrastructure that enables the payments industry to redefine payment processing and information sharing. The innovative network addresses key pain points by reducing payment delays and touch points, realizing faster and comprehensive payment tracking, real-time sanctions, AML and fraud management tools.
1. A system that implements an interbank information network architecture that provides a secure and decentralized network, the system comprising:
an interbank information network utilizing a dedicated private third-party infrastructure hosted by a third party hosting provider at a data center that establishes a direct communication channel between a plurality of nodes, the interbank information network comprising:
an administrator node, managed by one of a third-party and a regulator, configured to maintain a whitelist of nodes that may exchange information as well as controlling permissions including sending decryption keys to authorized nodes;
a first bank node communicatively coupled to a first in-bank system; the first bank node comprises:
a client internal system that communicates with application business logic via an application programming interface (API), the API requiring one or more access keys for access to the interbank information network and the one or more access keys are secured in a key-vault, the client internal system is configured to receive a transaction request; and
a first blockchain node that supports a permissioned shared ledger and a private database that contains transactional, customer and personally identifiable information (PII), the first blockchain node is configured to record and publish to the permissioned shared ledger, inquiry activity based on the transaction request that is encrypted by the interbank information network; and
a second bank node communicatively coupled to a second in-bank system, the second bank node including
a private database that contains transactional, customer and personally identifiable information (PII),
a stager representing an application programming interface and configured to
receive the request from the first bank node, and
represent the request as a smart contract to retrieve information from the private database of the second bank node based on the received request, and
a second blockchain node that supports the permissioned shared ledger, the second bank node configured to:
replicate, via the second blockchain node over direct communication channel, the inquiry activity published by the first blockchain node;
receive, upon a determination by the interbank information network that the second bank node is authorized, a previously generated decryption key for the encrypted inquiry activity based on the transaction request from the administrator node;
determine, via the second in-bank system, an answer to the inquiry activity based on one or more of a fraud check, tracking, and validation processing;
record and publish to the permissioned shared ledger, via the second blockchain node, the answer to the inquiry activity, the interbank information network verifying the answer to the inquiry activity including leveraging a network wide fraudster list, wherein
the first bank node is configured to send a private message directly to the second bank node, the direct private message including a sanction inquiry including a request for beneficiary information to the second bank node,
the stager retrieves the requested information in the sanction inquiry, and
the second bank node is configured to retrieve information answering the sanction inquiry from the private database of the second bank node, and
the second bank node is configured to send a private message directly to the first bank node answering the sanction inquiry and including an account holder's name and address.
2. The system of claim 1 , wherein the first bank node is also configured to send another direct message to the second bank node relating to one of: fraud, validation, tracking, clearing, settlement and advising.
3. The system of claim 1 , further comprising an administrator node that maintains a list of nodes that are authorized to participate in the interbank information network.
4. The system of claim 1 , wherein each bank node in the interbank information network is responsible for in-bank user access to node functions.
5. The system of claim 1 , wherein the private message is encrypted.
6. The system of claim 1 , wherein the private message comprises a request to validate an account associated with the second bank node.
7. The system of claim 1 , wherein the first in-bank system comprises a payment information application, a client information application, a sanctions application, and a known fraudster list.
8. The system of claim 1 , wherein a user associated with the first bank node access the API via a web-based interface from a client device.
9. A method that implements an interbank information network architecture that provides a secure and decentralized network, the method comprising the steps of:
provisioning an administrator node, managed by one of a third-party and a regulator, configured to maintain a whitelist of nodes that may exchange information as well as controlling permissions including sending decryption keys to authorized nodes;
provisioning a first bank node communicatively coupled to a first in-bank system; the first bank node comprises:
a client internal system that communicates with application business logic via an application programming interface (API), the API requiring one or more access keys for access to the interbank information network and the one or more access keys are secured in a key-vault, the client internal system is configured to receive a transaction request; and
a first blockchain node that supports a permissioned shared ledger and a private database that contains transactional, customer and personally identifiable information (PII), the first blockchain node is configured to record and publish to the permissioned shared ledger, inquiry activity based on the transaction request that is encrypted by the interbank information network;
provisioning a second bank node communicatively coupled to a second in-bank system, the second bank node including
a private database that contains transactional, customer and personally identifiable information (PII),
a stager representing an application programming interface and configured to
receive the request from the first bank node, and
represent the request as a smart contract to retrieve information from the private database of the second bank node based on the received request, and
a second blockchain node that supports the permissioned shared ledger, the second bank node configured to:
replicate, via the second blockchain node over direct communication channel, the inquiry activity published by the first blockchain node;
receive, upon a determination by the interbank information network that the second bank node is authorized, a previously generated decryption key for the encrypted inquiry activity based on the transaction request from the administrator node;
determine, via the second in-bank system, an answer to the inquiry activity based on one or more of a fraud check, tracking, and validation processing;
record and publish to the permissioned shared ledger, via the second blockchain node, the answer to the inquiry activity, the interbank information network verifying the answer to the inquiry activity including leveraging a network wide fraudster list, wherein
the first bank node is configured to send a private message directly to the second bank node, the direct private message including a sanction inquiry including a request for beneficiary information to the second bank node,
the stager retrieves the requested information in the sanction inquiry, and
the second bank node is configured to retrieve information answering the sanction inquiry from the private database of the second bank node, and
the second bank node is configured to send a private message directly to the first bank node answering the sanction inquiry and including an account holder's name and address.
10. The method of claim 9 , wherein the first bank node also sends another direct message to the second bank node relating to one of: fraud, validation, tracking, clearing, settlement and advising.
11. The method of claim 9 , further comprising an administrator node that maintains a list of nodes that are authorized to participate in the interbank information network.
12. The method of claim 9 , wherein each bank node in the interbank information network is responsible for in-bank user access to node functions.
13. The method of claim 9 , wherein the private message is encrypted.
14. The method of claim 9 , wherein the private message comprises a request to validate an account associated with the second bank node.
15. The method of claim 9 , wherein the first in-bank system comprises a payment information application, a client information application, a sanctions application, and a known fraudster list.
16. The method of claim 9 , wherein a user associated with the first bank node access the API via a web-based interface from a client device.