Overview

A Debt Algorand Standard Application (D-ASA) is a debt instrument issued as an Algorand Application, that conforms to this specification, and whose operations and cash flows are executed on the AVM.

This specification defines the actors of a D-ASA and the interfaces of the Algorand Application to:

  • Arrange and configure the D-ASA (e.g. principal, interest, time events, etc.);
  • Manage D-ASA accounts (e.g. opening and closing accounts, etc.);
  • Distribute the D-ASA on the primary market (e.g. book building, auctions, etc.);
  • Execute D-ASA cash flows (e.g coupon payments, principal repayment, etc.);
  • Exchange the D-ASA on secondary markets (if any);
  • Query D-ASA information (e.g. due coupons, next coupon due date, etc.).

This specification also provides the interfaces to comply with regulatory requirements, such as defining a role-based access control, suspending D-ASA operations completely or for specific accounts, managing default processes, etc.

The contents are structured on four functional layers:

  1. Trust Model: this layer defines the application role-based access control model to manage the fixed income contract and comply with regulatory frameworks;
  2. Contract: this layer provides the algorithmic definitions of the debt instrument (data model, attributes, and cash flows);
  3. Ownership: this layer defines the tokenization of the contract;
  4. Execution: this layer defines the execution of the contract, both the distribution, cash flows and transfers.