Enigio’s solution trace:original makes it possible to create digital promissory notes in accordance with MLETR and contract law though the ePU standard from ITFA's DNI Initiative. The list of benefits that becomes available is long but to keep it short, a digital promissory note is faster, safer, more cost-efficient and more sustainable.
Promissory notes are great, but paper is a limitation
The promissory note is an excellent record of debt – one simple document that is recognised globally and convenient for all parties. However, they tend to be underused and the main reason is that they are predominantly paper-based. This means they must be physically managed and signed in wet ink by all parties in the transaction and they have to be physically delivered by mail or courier.
With trace:original digital promissory notes, this is all a thing of the past. trace:original maintains all the good things of promissory notes, while dropping all the disadvantages of physical paper.
Accessible and interoperable
Only the creator of a trace:original document needs to be a customer of Enigio. Once created the document is fully portable and can be received and managed by anyone and anywere. It is packaged as a PDF that is both human- and machine readable with STP. The only requirements on anyone is a computer with internet connection.
Safe and secure
Traceability – Contains full audit trail of events within the document
Data ownership - no business or personal data shared or stored outside of the trace:original promissory note document.
Transparency – process visibility throughout the transaction cycle.
Storage – digitally stored by the owner and digital back-ups possible
Protection – only the one in possession has the right to add new content, transfer possession or invalidate, no-one can manipulate what has been written.
Authenticity – Document authenticity can be verified by anyone at any time
Evidence – Current or older version of document verifiable via its evidence stored on the block chain (Public Notary)
Cost and time efficient
The business case for trace:original is very simple:
Processing cost (courier cost only) from EUR 150 to EUR 22, and lead times from 12 days to 0 days
MLETR: A law that accepts a digital promissory note
An electronic transferable record is defined as information generated, communicated, received, or stored by electronic means, including, where appropriate, all information logically associated with or otherwise linked together so as to become part of the record.
An electronic transferable record ‘shall not be denied legal effect, validity or enforceability on the sole ground that it is in electronic form’.
Therefore, to maintain its legal enforceability, a digital document must replicate the properties of the paper equivalent regarding:
- its nature as an original
- its function relative to a holder (i.e., the party that has ‘possession’ of the original document)
- its transferability
ITFA's DNI Initiative
In addition to the MLETR, the International Trade and Forfaiting Association (ITFA) has launched the ePU (an electronic payment undertaking) which is a valid and binding equivalent to a promissory note based on contract law. The ePU can be used in any country not yet with an MLETR based legal framework in place.
Promissory notes and trace:orignal – a great combination
Accessible and interoperable
Computer and internet only requirement
Digitally interoperable between anyone and any system
Readable by man and machine
Can contain a standard and/or a schema
Enables straight through processing (STP)
Tamper proof and fraud safe
No sharing of business or personal data outside of document
Full audit trail
Cost and time
Minimal lead times
90% cost reduction
Reduce carbon emissions
Help SMEs growth
Promote infrastructure development
All the benefits
of promissory notes
All the features of digital documents
digital promissory notes
Schedule a one-on-one call to see how trace:original can help you achieve a fully digital end-to-end workflow with digital original documents, without any changes to your existing infrastructure.
In the call we will go through your specific needs and suggest a matching solution. We will also go through a live demo of trace:original, creating your first digital original document.