Test Automation for DLT-based Applications in Finance
Iosif Itkin, co-CEO, Exactpro
Alyona Bulda, VP, Senior QA Project Manager, Exactpro
Hyperledger Member Summit
30 - 31 July 2019, Tokyo
Exactpro specialists have conducted a case study on Test Automation for DLT-based Applications in Finance and shared it at the Hyperledger Member Summit on July 30 in Tokyo. Alyona Bulda, VP, Senior QA Project Manager and Iosif Itkin, co-CEO presented the research.
The presentation focused on the Exactpro team’s experience with automating software testing activities around complex hybrid systems containing both traditional and DLT components. The presentation highlighted the challenges of such a system under test, dwelling on ways to find an optimal design for the test automation framework and developing an approach to open-sourcing such a framework. The presentation particularly addressed the question of different levels of integration of SUT’s architecture developed on Hyperledger Fabric.
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Build Software to Test Software
for DLT-based Applications in Finance
Alyona Bulda, VP, Technology, Exactpro
Iosif Itkin, co-CEO and co-founder, Exactpro
● Incorporated in 2009 with 10 people, our company has experienced significant growth; now
employing over 500 specialists.
● Member of Hyperledger since January 2019.
● A specialist firm focused on functional and non-functional testing of exchanges, clearing houses,
depositories, banks and other market infrastructures.
● We provide software testing services for mission critical technology that underpins global financial
markets. Our clients are regulated by FCA, Bank of England and their counterparts from other
● Part of London Stock Exchange Group (LSEG) from May 2015 until January 2018.
The Exactpro management buyout was successfully completed in January 2018.
We are headquartered in the UK and have operations in the US, Georgia and Russia.
Introduction: a few facts about Exactpro
We have a global software Quality Assurance client network
Typical Requirements for an Exchange System
Daily capacity - 100+ mln transactions
Peak rates - 40k+ transactions per second
Average round-trip latency - <100 microseconds
Availability - 100%
3000 trx 2.5 cm <1 mm
Trading vs. Post Trade
The most challenging type of financial platforms is post-trade systems
✓ Clearing and settlement systems
✓ Collateral Management systems
✓ Risk Management systems
✓ Market data systems
✓ Payment systems
Delivering Large Post-Trade Initiatives: Key Challenges
- There is a multitude of components in modern complex post-
- Upstream and downstream system dependency;
- The participant structure is very complex;
- Trade/Xfer/Position/Account life cycle;
- The number of Asset Classes may vary;
- The complexity of the Risk calculation process;
- Access via a set of API endpoints.
The challenges and their parameterizations lead to a significant
number of test scenarios.
Delivering Large Post-Trade Initiatives: Technology Transformation
⇒ Many financial institutions (including Exactpro customers) invest in DLT;
⇒ Traditional platforms undergo transformation;
⇒ The changes are significant, so new infrastructures need thorough testing;
⇒ New platforms -> new test approaches? New testing tools?
⇒ The same complexity of participants/processes/asset classes;
⇒ Hybrid nature: conventional functionality + new business logic involving interactions within a blockchain network;
⇒ High diversity of underlying DLT frameworks;
⇒ New form of business logic execution - smart contracts.
A new smart solution is needed: a multifunctional and multicomponent framework
Delivering large Post-Trade initiatives: key challenges and innovative QA
Case Study: Distributed Ledger Technology in Post-Trade Infrastructure
E2E scenario for Position update flow
Exactpro Test Framework and Test Approach for DLT-based system
3 steps on the ledger side:
1st - Initialisation of positions
2nd - Trade creation and participant notification
3rd - Positions updates
Across each and every step the test framework
provides different methods to validate the
endpoints, inputs and outputs.
The actual business flow steps and validation
check items are transformed into ClearTH
matrix after execution of which the deviations
from the expected behaviour can be analysed.
//Initial state & SODpositions (set of validations for initial states of positions)
RegisterTradeA BankA registers trade
GetTradeA1 Bank A tries to get its own trade
VerifyTradeA1 Verifying that Bank A sees its own trade
GetNoTradeB Bank A tries to get trade registered by Bank B
VerifyNoTradeB Verifying that Bank A doesn't see trade registered by Bank B
RegisterTradeB BankB registers trade
GetTradeB1 Bank B tries to get its own trade
VerifyTradeB1 Verifying that Bank B sees its own trade
GetNoTradeA Bank B tries to get trade registered by Bank A
VerifyNoTradeA Verifying that Bank B doesn't see trade registered by Bank A
GetBalanceA3 Bank A should have updated balance
GetBalanceB3 Bank B should have updated balance
GetTrade_CCP CCP tries to get trade registered by Bank A & Bank B
VerifyTradeA_CCP Verifying that CCP sees trade registered by Bank A
VerifyTradeB_CCP Verifying that CCP sees trade registered by Bank B
GetTradeA2 Getting updated trade of Bank A
VerifyTradeA2 Verifying that status of trade has been changed
GetTradeB2 Getting updated trade of Bank B
VerifyTradeB2 Verifying that status of trade has been changed
Matrix structure for the running example
Exactpro Test Framework and Test Approach for a DLT-based system (Hyperledger)
The video begins with a demo of the case study, with the user interface (UI) of a post-trade
DLT-based platform on the left and the ClearTH framework used on the right. The demo is
followed by a detailed view of the transactions taken place in test execution in the
Hyperledger Explorer UI. In conclusion, a test execution report is generated by the ClearTH
framework for the running example.
Please follow the link to watch the demo
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Join us in discussing the newest fintech trends
and solutions to the challenges in mission-
critical trading and post trade systems!
SOFTWARE TESTING AND
TRADING TECHNOLOGY TRENDS 2019
20 Build Software to Test Software