In addition to blockchain API calls, Tatum introduces the concept of the private ledger. The private ledger is a distributed yet centralized database. It allows you to record FIAT accounts and transactions. To emulate blockchain, you can create virtual currencies.
Tatum Private Ledger can work on top of any blockchain or even without any blockchain at all. Since it emulates blockchain functionalities, it is the first choice for companies or developers who are not yet ready to go live with a blockchain app. It allows them to play around and test it offline until it is ready, at which point it's only a matter of configuration to swap between the private ledger and blockchain implementation.
The private ledger functions using ledger accounts. These are abstract virtual accounts on the ledger with their own balances. It is possible to freeze or unfreeze them, block amounts on the accounts, and set up notifications for incoming transactions, prepared reports, and many other relevant events.
In the private ledger, it is possible to create private virtual currencies alongside the blockchain ones. With this feature, ledger accounts can be in Bitcoin or Ethereum, Euro or U.S. dollar. Using virtual currencies, developers can use Fiat and cryptocurrencies in the same way via the same API calls.
The private ledger supports fast ledger-to-ledger transactions between ledger accounts. It is possible to send funds from one ledger account to another in a matter of milliseconds. What is even better, it is possible to send crypto assets using the private ledger without actually invoking slow and expensive blockchain operations. Everything is settled within the private ledger. The synchronization of the ledger state with the blockchain is an on-demand feature, and it requires only 1 simple API call.
Blockchain and ledger API calls do not interfere with each other at all. To connect blockchain and ledger features, an off-chain layer is used.