Ledgers - Overview & Guide

Decentro helps businesses simplify their transactions and money movement through a scalable and immutable solution called Ledgers. Decentro's ledger is designed to handle various types of transactions as well as money movement, thus allowing the platform to focus on scale and customer experience without having to worry about handling transaction reconciliation or updates.

Decentro broadly powers the below capabilities for businesses under the ledgers module.

Transaction reconciliation: use the ledger module to create and update the status of transactions
Multiple ledgers: create multiple journals to manage different types of transactions
Source reconciliation: use the ledger-based transactions to collect or pay out funds
Immutable source: use the ledger to fetch the transactions and keep the ledger updated
Dynamic calculations: define calculations at an account for Decentro to handle the same

Use Cases for Ledgers

Ledgers can be leveraged for the below use-cases.

Cashbacks: Merchants can use ledgers to earmark cashbacks in their ledger and provide cashback to accounts or wallets including the conversion rates
Loyalty: Merchants can use ledgers to segregate loyalty points or ‘coins’ that can be used for availing other services within their ecosystem
Pods: Merchants can use ledgers to create pods that can be used to specific use-cases like Savings, Investments, Consumption, etc.
Reconciliation: Merchants can use ledgers to reconcile the actual flow of funds to what they collect from their consumers through payment gateway, etc.
Fees: Merchants can use ledgers to levy fees or charges for specific transactions including items like forex or transfer fees
Repayment: Merchants can use ledgers to facilitate repayments on loans or BNPL like a simple Loan Management system (LMS)

Benefits of Ledgers

Ledgers provide the below benefits to businesses.

Single source of truth for all transactions and calculations
REST APIs that can be used on mobile apps or web applications
Easy to consume APIs that can be used for a variety of scenarios
Multi-ledger support across any currency or merchant
Deeply integrated with Decentro’s payments or card stack
Partner agnostic that can be used standalone as well
Ready to consume reconciliation APIs for all ledgers
Ability to set reminders or recurring ledger entries
Set and modify limits on transactions

Product Setup

Below is the recommended flow for the Ledgers module.

Create a Journal for a specific use case or requirement
Create a ledger account for a specific entity/customer
Create a transaction against an active ledger account
Update the status of a transaction against a ledger account
Transfer the entry from a ledger account to another ledger account
Delete an entry from a ledger account in case of any roll-back
Archive a ledger account to avoid future transactions