Financial Glossary

A set of protocols and tools that allows different software applications to communicate with each other. Sarafa's API enables businesses to integrate payment processing directly into their systems.

Regulations and procedures designed to prevent criminals from disguising illegally obtained funds as legitimate income. Sarafa implements robust AML measures to ensure compliance.

An electronic network for financial transactions in the United States, commonly used for direct deposits and bill payments.

The amount of money available in a financial account at any given time. In Sarafa, you can view balances across multiple currency wallets.

A distributed ledger technology that maintains a continuously growing list of records, called blocks, which are linked and secured using cryptography. The foundation of most cryptocurrencies.

A specialized account type on Sarafa designed for businesses, offering features like team management, multi-currency wallets, and advanced reporting tools.

The electronic transfer of money from one bank account to another, either within the same financial institution or across different institutions.

The primary currency used for accounting and reporting purposes in a multi-currency system.

A digital or virtual currency that uses cryptography for security and operates independently of a central bank. Examples include Bitcoin, Ethereum, and stablecoins like USDT.

A payment transaction where the payer and payee are based in different countries. Sarafa specializes in facilitating efficient cross-border payments in frontier markets.

The act of conforming to rules, regulations, and laws. In finance, this includes adhering to KYC, AML, and other regulatory requirements.

The process of converting one currency into another at a specific exchange rate. Sarafa allows seamless exchange between supported currencies.

Financial services built on blockchain technology that operate without traditional intermediaries like banks or brokers.

An electronic device or online service that allows individuals to make electronic transactions and store digital currencies.

The investigation or exercise of care that a reasonable business or person is expected to take before entering into an agreement or contract.

The value of one currency expressed in terms of another currency. Sarafa provides competitive exchange rates for currency conversions.

A technical standard used for smart contracts on the Ethereum blockchain for implementing tokens. Many stablecoins like USDT and USDC use this standard.

Digital equivalent of cash stored on electronic devices or remotely at servers, used for making transactions.

Government-issued currency that is not backed by a physical commodity like gold or silver. Examples include USD, EUR, KES, UGX, and SSP.

The amount of money available in mobile money wallets or accounts for immediate transactions. Sarafa provides float liquidity services.

Countries with investable stock markets that are less established than emerging markets. These markets often have limited financial infrastructure.

Financial Technology - companies that use technology to provide financial services more efficiently than traditional financial institutions.

A payment gateway is a technology that captures and transfers payment data from customers to acquirer banks for processing.

The fee required to conduct a transaction or execute a contract on blockchain networks like Ethereum.

A type of smart contract used in cryptocurrency transactions that requires the recipient to acknowledge payment within a certain timeframe.

A cryptocurrency wallet that is connected to the internet, allowing for quick transactions but with potentially higher security risks.

The movement of money from one country to another. Sarafa facilitates international transfers across 20+ countries with competitive rates.

The ability of different systems, devices, or applications to work together and exchange information effectively.

A commercial document that itemizes and records a transaction between a buyer and seller. Sarafa's Paylinks feature includes invoice generation.

A lightweight data-interchange format commonly used in APIs for transmitting data between servers and applications.

The process of verifying the identity of clients to prevent fraud, money laundering, and terrorist financing. Required by financial regulations.

The official currency of Kenya, supported by Sarafa for transactions and account holdings.

The ease with which an asset can be converted into cash without affecting its market price. Sarafa provides liquidity services for mobile money platforms.

A record-keeping system that maintains a record of all transactions. In blockchain, it's distributed across multiple nodes.

A service that allows users to store, send, and receive money using a mobile phone. Popular in Africa with services like M-Pesa and MTN Mobile Money.

An account that can hold and manage multiple currencies simultaneously. Sarafa offers multi-currency accounts supporting 20+ currencies.

A mobile phone-based money transfer service launched in Kenya, now operating in several African countries.

A computer that participates in a blockchain network by maintaining a copy of the distributed ledger and validating transactions.

A number used once in cryptographic communications, often used in blockchain mining and transaction verification.

A service that allows users to convert fiat currency into cryptocurrency, providing an entry point into the crypto ecosystem.

A service that allows users to convert cryptocurrency back into fiat currency.

Sarafa's feature that allows users to generate payment links for invoices, donations, or collections, making it easy to request payments.

A service that authorizes and processes payments for online and offline businesses, acting as an intermediary between merchants and banks.

A secret cryptographic key that allows users to access and control their cryptocurrency holdings. Must be kept secure and private.

Quick Response code - a type of barcode that can store information and be quickly scanned by mobile devices, commonly used for payments.

Money sent by foreign workers to their home countries. A significant use case for Sarafa's international transfer services.

Representational State Transfer - an architectural style for designing web services that Sarafa uses for its API endpoints.

A type of cryptocurrency designed to maintain a stable value relative to a reference asset, typically the US Dollar. Examples include USDT and USDC.

The official currency of South Sudan, supported by Sarafa with special considerations for parallel market exchange rates.

Society for Worldwide Interbank Financial Telecommunication - a network that enables financial institutions to send and receive information about financial transactions.

Self-executing contracts with terms directly written into code, automatically enforcing agreements without intermediaries.

A charge imposed by financial institutions or payment processors for processing transactions. Sarafa offers competitive transaction fees.

A security process that requires users to provide two different authentication factors to verify their identity.

A technical standard for smart contracts on the TRON blockchain, used by some versions of USDT.

A stablecoin pegged to the US Dollar, widely used for trading and as a store of value in cryptocurrency markets. Supported by Sarafa.

A fully-backed US Dollar stablecoin that provides detailed financial reporting of the underlying reserves. Supported by Sarafa.

The official currency of Uganda, supported by Sarafa for transactions and account holdings.

The degree of variation in the price of a financial instrument over time. Stablecoins are designed to minimize volatility.

A digital representation of value that can be digitally traded and functions as a medium of exchange, unit of account, or store of value.

A digital tool that allows users to store, send, and receive cryptocurrencies or digital assets. Can be software-based or hardware-based.

A method of augmenting or altering the behavior of a web application with custom callbacks, commonly used in payment processing.

The currency used by six Central African countries, supported by Sarafa for regional transactions.

The income return on an investment, typically expressed as an annual percentage based on the investment's cost or current market value.

A cryptographic method that allows one party to prove to another that they know a value without revealing the value itself.