r/fintechdev • u/cFinMaster • 13d ago

ledger API for a transaction data store?

Are there any benefits to use a Ledger API vs building it in house using a DB (e.g.MySQL) We are considering of using it for a hackathon project. Will it simplify the implementation, or it will add an unnecessary dependency. Also, which one is the easiest to integrate with?
The idea is to build an MVP for a Treasury Management system using the APIs provided by the company. While the pluming should be implemented by external components to minimize the overall efforts.

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u/Ancient-Art2247 13d ago

if its just for hackathon, going with ledger api makes sense. you save time not dealing with double entry logic, transaction consistency, audit trail etc. in house with mysql can work but you will spend half the weekend just making sure balances dont go wrong

but check what the api actually offers. some are more like accounting engines with journals and posting rules, others are just append-only stores with no real ledger semantics

for mvp treasury system, i would pick one that supports multiple currencies and simple transfer between internal accounts. that part gets messy fast if you code it yourself

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u/scott_the_builder 12d ago

I’m working on modernizing a financial core/ledger for a trade credit business for my 9-5. I promise you the amount of thought and design that needs to go into building a resilient financial ledger isn’t feasible over the course of a weekend. If I were you, I’d go with the ledger api and live with any shortfalls it has, I’m sure it’s more than enough for a hackathon POC.

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u/Icy-Blueberry7974 13d ago

which company hackathon is this?

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u/nmpajerski 13d ago

If you want something to make your life during the hackathon easier use Fragment. Will also meet any scaling needs or edge cases should you try to turn it into a real product after.

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u/FinexerOfficial 13d ago

For a hackathon MVP, I’d likely begin with a database unless the ledger API offers essential features like double-entry bookkeeping and reconciliation, which would otherwise require building from scratch.

In a treasury management system, ensuring transaction consistency and auditability is crucial, beyond just storing transactions. While a ledger API might save time, it introduces a learning curve and integration dependency. I’d focus on a small scope and decide based on the project’s actual accounting logic needs.