Integration of Hyperledger-Based Distributed Ledger with Cloud-Native Microservices for Scalable Post-Trade Processing Solutions

Abstract

Capital markets post-trade processes (trade capture, clearing, settlement and reconciliation) are currently limited by excessive data fragmentation, reconciliation lag and high operational expenses. A central architecture creates "data silos" which restricts scalability, transparency and flexibility of integration between disparate financial institutions. This paper introduces a unified, technically advanced framework integrating Hyperledger Fabric (HLF); a permissioned Distributed Ledger Technology (DLT) with cloud native micro services as a means of creating a scalable, fault-tolerant and transparent ecosystem. By implementing Kubernetes based orchestration and Istio service mesh, we have shown how a legacy monolithic system can be replaced with a dynamic, distributed system capable of supporting high frequency transactions. Simulation results on large scale cloud based test beds show that our predictive resource orchestration framework achieves a 5 times greater throughput than a typical standalone DLT deployment and a 26-fold reduction in 95th percentile (p95) latency. The framework offers a scalable way of provisioning AI driven FinTech workloads with significantly increased reliability and decreased Total Cost of Ownership (TCO).