This presentation proves a general introduction to the API Economy, to the Blockchain network Alastria, and to the open source WSO2 API Manager. It also includes a demo on how to use API Manager for API consumption management and its integration with a Smart Contract deployed in blockchain for the automatic pricing of this consumption.

1. IT R&D & Innovation / Blockchain Manager
Blockchain in the Business API Ecosystem:
API Consumption Pricing Using Smart
Contracts
Sergio G. Miranda

2. Blockchain
Proof of concept
(PoC)

3. PHASES OF BLOCKCHAIN ADOPTION
Identify the potential of blockchain Identify opportunities
Testing and tech evangelism
Production-ready
Be aware of implications
Not everything is
cryptocurrency
Implies
collaboration
based on
transparency –
decentralization
of data
Internal
promotion of
PoCs
Identify processes,
activities, producst
that can be
optimized with
blockchain
Blockchain
technology is
adopted
Source:
https://www.atsistemas.com/es/blog/

4. BLOCKCHAIN? WHY?
NETWORK
GOVERNANCE
INTEGRATION WITH
LEGACY SYSTEMS
SCALABILITY
INTEROPERABILITY
DATA PRIVACY AND SECURITY
TRACEABILITY
COMPLIANCE WITH LEGAL AND
REGULATORY ISSUES
1
High level of trust
and risk reduction
2
- Reduced –
operating costs
3
Potential to
identify inefficient
processes

5. BLOCKCHAIN? WHY?
TOKENIZATION

6. BLOCKCHAIN? WHY?
TOKENIZATION
IMMUTABILITY

7. BLOCKCHAIN? WHY?
TOKENIZATION
IMMUTABILITY
DECENTRALIZATION

8. BLOCKCHAIN? WHY?
TOKENIZATION
IMMUTABILITY
DECENTRALIZATION AUTOMATION

9. BLOCKCHAIN? WHY?
TOKENIZATION
IMMUTABILITY
DECENTRALIZATION AUTOMATION
AUDITABILITY/PRIVACY

10. BLOCKCHAIN? WHY?
TOKENIZATION
IMMUTABILITY
DECENTRALIZATION AUTOMATION
AUDITABILITY/PRIVACY

11. API Economy

12. Term related to the use of “business APIs” to positively affect the
company. Frequently related to monetary benefits.
Main business drivers:
○ Accelerate time to market
○ Reaching new markets/customers
○ Innovation (at a low cost/risk)
○ Improved sharing of assets across the enterprise (domains) are all
very valuable scenarios for the use of APIs
○ APIs + Cloud = Scalability without limits
API Economy

13. API Business Models
Partner-Only API
Model
“Closed Model”,
where only partners
of the API’s owner
can access and
consume the AP
“Public” Model
where anyone in
the general public
can access and
consume the API,
usually for a fixed
number of
transactions
Internal APIs Model
which are maintained
privately within an
organization and
aimed at
accelerating and
integrating internal
units and processes

14. 5 Steps to Monetize Your APIs
1. Establish your business case and roadmap
2. Ensure you have the right funding and organizational model
3. Treat APIs as products with an Agile API product lifecycle and
governance
4. Ensure you have the right technology platform to build and manage your
APIs
5. Measure and monitor API KPIs (run-time performance, financials and
developer feedback)

15. Use cases 1/2
Stubhub Sales of tickets for events
(stubhub.es / developer.stubhub.com)
Success case with WSO2:
https://wso2.com/casestudies/how-apis-are-driving-stubhubs-business/

16. Use cases 2/2
APIs Mashup
When different APIs from different suppliers are completely necessary to
provide a common service.
e.g.: Mobile payment App for booking parking lots (cameras, IoT,
geopositioning, commercial agreements ...)

17. Summary - API Economy
7
For example, with the use of an API Manager, that allows the management and
publication of data for its use by third parties.
We have more and more data obtained by the interaction of our users with our
website, mobile applications, sensors and connected devices.
It is possible to monetize the value from this data and its processing.
But for this it is necessary to integrate in a satisfactory way the mechanisms of
interaction with this data.
Allowing control of the use for adequate pricing and monetization.

18. Business API – Motivation and requirements
8
Use of the Blockchain technology as a trusted
mechanism for the transparent charging of data
consumption.
Trust must be established between the provider and the
consumer of the data
It’s required the use of an API Manager
and Smart Contracts deployed on a blockchain

19. Implementation Strategy

20. Implementation strategy of API Economy
Definition of Throttling Policies (Client, App ...)
Service Levels (Requests / sq)
API Analytics Information (Authentication, Backend ...)
Management of Subscriptions and Billing Plans.
Definition of data structures (Data
Management)
Documentation based on Swagger, RAML
To provide
EndPoints for
Integrators
(Prototypes).
Security Policies
(OAuth2, JWT ...)Creation of
Backend
Services
Tokens
Emission
Versions
Management
APIs Planning & Design
Integration
and
Management
of
Consumption
Publication
and
Consumption
Exploitation and Monitoring of APIs

21. API Governance 1/2
Monitoring
Resources and APIs definition
Standardization for APIs development
API documentation
Testing

22. API Governance 2/2
Security policies
Monetization
CI and CD strategies
Version policies

23. Market solutions

24. Technology stack

25. WSO2 API Manager
5
It facilitates the development of APIs
by abstracting the security layer. It can
be integrated into the CI/CD Company
and being deployed in Cloud, On
Premise or Hybrid infrastructure
100% Open Source under Apache 2.0
license
It ensures the availability of backends
and facilitates the APIs publication and
their consumption by development
teams.
The WSO2 suite provides a complete
management of the available APIs
(resources) for customer and supplier
systems as well as internal systems of the
company.
It allows analysis and
monitoring of theresources and
design of dashboards and
gadgets

26. WSO2 API Manager - Components
6
Data Analytics: Statistics for published
and consumed resources
Key Manager: Security layer for
accessing resources with OAuth 2.0.
Portal Publisher: Website for publishing
APIs
- Swagger or WSDL contracts -.
API Gateway: Management of requests
between clients and backends.
Portal Store: It offers a
resources catalog and facilitate
the consumption / testing of the
APIs.
Traffic Manager: Rules
definition to manage traffic
between customers and
backends using throttling rules.

27. Blockchain solution
7
Not depending on the infrastructure
Smart Contracts
• Development in Solidity
• OpenZeppelin patterns
API Rest Integration
DApps
Frontend -> Events
Explorer
Explorer of Smart Contract
Transactions and events
Using API JSON-RPC with
web3js to connect to the
working node
Direct filter to the
blockchain network
(there’s no processing in
frontend nor backend)
Interaction with Smart
Contracts using java
(web3j), js(web3js) and
golang
Decoupled Architectures
Blockchain network
• Nodes
• Consensus

28. Blockchain
trilemma
RELEVANT CONSIDERATIONS
Scalability/Speed
Security Decentralization
Distribution of nodes; participant
involvement
Ability to handle a number of transactions
by a number of users on the network
Immutability of the ledger; resistance to
attacks such as 51% attacks

29. Blockchain network
9
Based on IBFT algorithm, instead
of “Proof of work”->better
features (approx 1000 tx/s),
without “forks” in the chain
It adds constellation to
geth, a way to store and
run private Smart
contracts
Designed to build
permissioned networks,
where all the
participants are well
known and have a solid
reputation
A “lightweight” get fork -> fully compatible
with EthereumBased on QUORUM
Alastria

30. Permissioned blockchain network. ALASTRIA Ease of
collaboration and integration of participants
RELEVANT CONSIDERATIONS
Other
participants
Multi-industry national blockchain network…
… to support
transactions with full
legal validity… Physical location of ALASTRIA
nodes

31. Permissioned blockchain network. ALASTRIA Ease of
collaboration and integration of participants
RELEVANT CONSIDERATIONS
Other
participants
Private transaction
among participants
Multi-industry national blockchain network…
… with appropriate levels of privacy:
… to support
transactions with full
legal validity…

32. Architecture Design

33. Demo

34. API Consumption Pricing using Smart Contracts
3- Consuming API
2- New API for that
Application
1- New Application in API
Manager

35. API Consumption Pricing using Smart Contracts
3- Consuming the API
2- New API for that
Application
1- New Application in API
Manager

36. Step 1 – New Application
WSO2
API M
+
FRAMEWORK
API_MONETIZATION
WSO2
API GATEWAY
AWS
LAMBDAS
DYNAMO DB
BLOCKCHAIN
NETWORK
------------
ALASTRIA
AWS
SQS
1
NEW APP
2
REQUEST ACCEPTED
3
NEW
SMART CONTRACT
4
TRANSACTION OK
5
ACTIVATE SMART CONTRACT
6
ACTIVATION OK
7
SC CREATED
8
READ SC
9
ACTIVATE APP

37. API Consumption Pricing using Smart Contracts
3- Consuming the API
2- New API for that
Application
1- New Application in API
Manager

38. Step 2 – New API
WSO2
API M
+
FRAMEWORK
API_MONETIZATION
WSO2
API GATEWAY
AWS
LAMBDAS
DYNAMO DB
BLOCKCHAIN
NETWORK
------------
ALASTRIA
AWS
SQS
1
NEW API
2
REQUEST ACCEPTED
3
UPDATE
SMART CONTRACT
4
TRANSACTION OK
5
UPDATE SMART CONTRACT
6
UPDATING OK
7
API ACTIVATED
8
READ SC
9
ACTIVATE API

39. API Consumption Pricing using Smart Contracts
3- Consuming the API
2- New API for that
Application
1- New Application in API
Manager

40. Step 3 – Updating consumption
WSO2
API M
+
FRAMEWORK
API_MONETIZACION
WSO2
API GATEWAY
AWS
LAMBDAS
DYNAMO DB
BLOCKCHAIN
NETWORK
------------
ALASTRIA
AWS
SES
2
EVENTS
PROCESSED
3
EVENTS SENT
4
UPDATE
SMART CONTRACT
5
EVENTS REGISTERED
6
UPDATE SMART CONTRACT
7
UPDATING OK
8
PDF CREATION
1
PROCESSING EVENTS

41. PDF Bill

42. www.atsistemas.co
m 902 888 902
THANK YOU
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