Slides from the first face to face ILP workshop, held in San Francisco on 2/25/2016. For more information, visit interledger.org.

1. Interledger Overview
Stefan Thomas • Evan Schwartz
1st Community Group Workshop

2. Why are we here?

3. Payments Work Great!Payments Work Great!*

4. ...until you need to go across systems

5. Payments are easy
within one ledger!

6. The world will never agree
to use one single ledger

7. We need an open protocol for
interledger payments

8. INTERLEDGER
Payments across payment networks
8

9. Ledgers track accounts and balances
Sender RecipientLedger
9

10. But not everyone is on the same ledger
10

11. Connectors relay money
Connector
11

12. Connectors relay money
Connector
Alice 100
Chloe 0
Chloe 110
Bob 0
100 110
12

13. What if the
connector drops it?
13

14. Money would be lost
Alice 100
Chloe 0
Chloe 110
Bob 0
?
100
14

15. Escrow provides security
15

16. Ledger-provided escrow reduces risk
Alice 100
Escrow 0
Chloe 0
Chloe 110
Escrow 0
Bob 0
16

17. Funds are escrowed from left to right
17
Alice 100
Escrow 0
Chloe 0
Chloe 110
Escrow 0
Bob 0
ESCROW

18. Sender puts funds into escrow
Alice 100
Escrow 0
Chloe 0
Chloe 110
Escrow 0
Bob 0
100
18

19. Connectors put funds into escrow
Alice 0
Escrow 100
Chloe 0
Chloe 110
Escrow 0
Bob 0
110
19

20. Transfers are executed right to left
20
Alice 0
Escrow 100
Chloe 0
Chloe 0
Escrow 110
Bob 0
EXECUTION

21. Recipient signs receipt
Alice 0
Escrow 100
Chloe 0
Chloe 0
Escrow 110
Bob 0
21

22. Receipt releases funds from escrow
Alice 0
Escrow 100
Chloe 0
Chloe 0
Escrow 110
Bob 0
110
22

23. How does the connector get reimbursed?
Alice 0
Escrow 100
Chloe 0
Chloe 0
Escrow 0
Bob 110
23
?

24. Connector gets receipt from ledger
Alice 0
Escrow 100
Chloe 0
Chloe 0
Escrow 0
Bob 110
24

25. Connector passes on the receipt
Alice 0
Escrow 100
Chloe 0
Chloe 0
Escrow 0
Bob 110
25

26. Receipt releases funds from escrow
Alice 0
Escrow 100
Chloe 0
Chloe 0
Escrow 0
Bob 110
100
26

27. Payment is complete
Alice 0
Escrow 0
Chloe 100
Chloe 0
Escrow 0
Bob 110
27

28. 28
ESCROW
Transfers are escrowed L2R, executed R2L
EXECUTION

29. Paths can be short
29

30. Or long
30

31. Or even longer
31

32. The Interledger

33. Any ledger can join…

34. Just by peering

35. ILP Value Proposition

36. Everyone has global reach.
OPEN

37. Fit to be a standard.
NEUTRAL

38. Anybody, any currency, any country.
UNIVERSAL

39. Demo Time

40. Questions?

41. Use Case Example + Demo
Content Micropayments

42. Let’s say Robert wrote a poem...
“Two roads diverged in a yellow wood,
And sorry I could not travel both...”

43. And Sarah turned that into a song...
“Two roads diverged in a yellow wood,
And sorry I could not travel both...”

44. And Tracy used that song in a movie....
“Two roads diverged in a yellow wood,
And sorry I could not travel both...”

45. Robert loves other people reading,
sharing, and using his poems

46. Robert loves other people reading,
sharing, and using his poems
...as long as he is paid fairly.

47. Sarah loves other people listening to,
sharing, and using her songs
...as long as she is paid fairly.

48. Tracy loves other people watching,
sharing, and using her movies
...as long as she is paid fairly.

49. What if we could directly pay
Robert, Sarah, and Tracy
at the same time?