Bafin compliant securities

This set of smart contracts allow to have Bafin compliant security tokens on Cardano. It follows the latest version of CIP-113 made by Michele Nuzzi and Matteo Coppola: https://github.com/HarmonicLabs/CIPs/tree/master/CIP-meta-assets%20(ERC20-like%20assets)

Bafin requires the user's security tokens to be freezable and to lock them eventually when the user requests to remove his ownership.

Actors

The flow implies the need of the following actors:

• Bafin: declared as an Address
• Issuer: approved by Bafin, the issuer of a certain security token
• Admin: approved by a issuer, admins the users and security tokens for one security
• User: CIP-113 compliant users with a state and any number of utxos containing security tokens

How it works

• Bafin Address can create a new issuer minting an NFT, specifying issuer's stakeCredentials and locking in issuer_manager.
• Bafin Address then can create a SecurityInfo minting an NFT, specifying issuer's stakeCredentials and locking in security_info.
• A issuer can then create a new admin minting an NFT, specifying admin's stakeCredentials and locking in admin_manager.
• A admin can then create a user state minting an NFT, specifying user's stakeCredentials and locking in a dedicated state_manager instance.
• A issuer can then create securities minting them in a dedicated transfer_manager instance.
• Bafin can remove an issuer changing stakeCredentials of his issuer utxo.
• A issuer can edit the security infos for the security_info utxos he controls.
• A issuer can remove an admin changing stakeCredentials of his admin utxo.
• An admin can freeze a user changing stakeCredentials of his state utxo.
• An admin can lock user's securities sending them in a utxo to locked_transfer_manager.
• An admin can lock user's securities and give them to anyone sending them in a utxo to transfer_manager.

For each security, there's 1 issuer utxo, 1 security_info utxo, 1 admin utxo, 1 state_manager SC instance and 1 transfer_manager SC instance. Only 1 locked_transfer_manager SC exists for all the securities, the utxo datum specifies where the securities are coming from.

Following CIP-113, the security tokens can move only inside the transfer_manager and the locked_transfer_manager SCs.

To check if a issuer or an admin is enabled and legit, there must be a utxo in the proper SC with the proper NFT and with the user stakeCredentials. To check if a user is enabled and legit, there must be a utxo in the state_manager SC with a NFT and the user's stakeCredentials in the datum. To invalidate a issuer, an admin or a user, you just need to spend his utxo and remove his stakeCredentials.

Authors

Matteo Coppola, as part of Finest team