Payment Agent

Debt instruments' cash flows usually involve:

• Principal repayment
• Early repayments
• Coupon payments

D-ASA cash flows might not be executed synchronously for all the Investors. The execution of a given cash flow could last a few blocks¹, depending on the number of payees.

Although a single block proposer could order transactions in a block, in a healthy network block proposers are selected randomly by the Algorand consensus. Therefore, order of payments in a block is random and unbiased, with no systematic advantage or precedence of a payee with respect to others.

D-ASA supports both on-chain and off-chain payment agents, depending on the settlement asset (see Settlement section).

For reference implementations using on-chain payment agents, the AVM fees (ALGO) for the cash flows execution SHOULD be paid by who triggers the cash flows.

A reference implementation of an on-chain payment agent SHOULD NOT require extra fees for the cash flows execution.

The D-ASA payment methods MAY provide additional information about the payment.

The payment information could be used, for example, for:

• Adding unique identifiers or external context to the payments;
• Enabling external payment system integration in the case of off-chain settlement;
• Providing information about the settled amount and conversion rate used with respect to the denomination asset.