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Observer nodes
==============

Posting transactions to an observer node is a common requirement in finance, where regulators often want
to receive comprehensive reporting on all actions taken. By running their own node, regulators can receive a stream
of digitally signed, de-duplicated reports useful for later processing.

Adding support for observer nodes to your application is easy. The IRS (interest rate swap) demo shows to do it.

Just define a new flow that wraps the SendTransactionFlow/ReceiveTransactionFlow, as follows:

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    .. literalinclude:: ../../samples/irs-demo/cordapp/src/main/kotlin/net/corda/irs/flows/AutoOfferFlow.kt
        :language: kotlin
        :start-after: DOCSTART 1
        :end-before: DOCEND 1

In this example, the ``AutoOfferFlow`` is the business logic, and we define two very short and simple flows to send
the transaction to the regulator. There are two important aspects to note here:

1. The ``ReportToRegulatorFlow`` is marked as an ``@InitiatingFlow`` because it will start a new conversation, context
   free, with the regulator.
2. The ``ReceiveRegulatoryReportFlow`` uses ``ReceiveTransactionFlow`` in a special way - it tells it to send the
   transaction to the vault for processing, including all states even if not involving our public keys. This is required
   because otherwise the vault will ignore states that don't list any of the node's public keys, but in this case,
   we do want to passively observe states we can't change. So overriding this behaviour is required.

If the states define a relational mapping (see :doc:`api-persistence`) then the regulator will be able to query the
reports from their database and observe new transactions coming in via RPC.

Caveats
-------

* By default, vault queries do not differentiate between states you recorded as a participant/owner, and states you 
  recorded as an observer. You will have to write custom vault queries that only return states for which you are a 
  participant/owner. See https://docs.corda.net/api-vault-query.html#example-usage for information on how to do this. 
  This also means that ``Cash.generateSpend`` should not be used when recording ``Cash.State`` states as an observer

* Nodes only record each transaction once. If a node has already recorded a transaction in non-observer mode, it cannot
  later re-record the same transaction as an observer. This issue is tracked here:
  https://r3-cev.atlassian.net/browse/CORDA-883

* Observer nodes will only record the states of the transactions sent to them, and not any states from any previous
  transactions in the chain. If the observer node is required to follow the creation and deletion of states, then each
  transaction in the chain involving those states must be sent individually. This is because the observer node does not
  necessarily have any visibility into the states of intermediate transactions, and so cannot always determine whether
  a previous state has been consumed when a new transaction is received.