Court of Venice 1594 business network
Hyperledger composer experiment in "translating" the "Merchant of Venice" play
It is a business network revolving around a defaulted and then an exonerated bond between a Lender, Guarantor, and Borrower.
Lender: Shylock gives 3000 ducats without usury for 3 months with a collateral (Merry bond).
Notary: Anonymous notary in Venice confirms the contract between Antonio (guarantor) and Shylock (lender) to give a loan to Bassanio (borrower, debtor). Approval of the bond.
Guarantor: Antonio guarantees to repay the loan in 3 months or give one pound of his flesh to Shylock.
Borrower: Bassanio who needs 3000 ducats.
Judge: Doctor Balthasar who notifies the ledger if the bond/loan was repaid or defaulted (received by lender). Holds a rule that if the bond defaults, collateral has to be executed. Holds a rule forbidding a collateral with Christian blood < 0. Triggers a law confiscating the property of a person “conspiring against the life of a Venetian citizen - half of his wealth and property will go to the state and the other half to Antonio”. Executes or exonerates a defaulted bond/collateral rule. Executes a rule on acquiring all assets from Lender if blood is included in a bond.
Loan: 3000 ducats Collateral: Pound of flesh Confiscated property?
Loan is initiated Notary confirms/notifies the ledger: Changes the status of the loan to ‘APPROVED’. Borrower/debtor gets 3000 ducats from the lender. Initiates a rule that in 3 months (DateTime) guarantor will repay the loan to the lender. Guarantor provides a collateral to guarantee the bond (1 pound of flesh) - new asset is created after the signature?
Loan is repaid Guarantor sends 3000 ducats to Lender in <3 months. Lender notifies the ledger and Collateral changes status to ‘ANNULLED’
Loan defaults Guarantor does not send any payment after 3 months (lender account does not get 3000 ducats after three months from “Loan Initiated”). The Judge changes the status of the collateral to “INITIATED”. Lender demands the Guarantor for a one pound of flesh. Judge sends notification that the bond on one pound of flesh does not include blood. Judge executes a rule/law on blood of Venetian citizens. Lender sends notification/request to exonerate the loan.
Loan and collaretral exonerated Judge executes a rule on acquiring all assets from Lender if blood is included in a bond. Lender loses all his property and has to convert to Christianity.