# System Architecture

<figure><img src="https://1066979575-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F8l3YdH6tVVQ04cUai1K2%2Fuploads%2FuwXhpHxOmIDvI8yAr4ag%2F10%20%ED%95%98%EC%9D%B4%EB%B8%8C%EB%A6%AC%EB%93%9C%20%EA%B5%AC%EC%A1%B0%EC%84%A4%EA%B3%84.png?alt=media&#x26;token=79449c23-1614-42cf-b624-40663c830c7c" alt=""><figcaption></figcaption></figure>

### **hybrid system**

The MIH platform is designed as a hybrid system that integrates both on-chain and off-chain components.&#x20;

The on-chain layer consists of the blockchain network where $MIH and smart contracts operate. The off-chain layer includes the PG servers and databases responsible for real-time transaction processing and user authentication.

This dual-layer architecture ensures the trustlessness of decentralization while retaining the speed and performance of centralized systems.

<figure><img src="https://1066979575-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F8l3YdH6tVVQ04cUai1K2%2Fuploads%2FpvBfNkiygFO9RQH9cjsj%2F11%20%EB%A9%80%ED%8B%B0%20%EC%B2%B4%EC%9D%B8%20%EC%A7%80%EC%9B%90.png?alt=media&#x26;token=7bf0973b-d89e-4a8e-9d02-e3b8078fc9de" alt=""><figcaption></figcaption></figure>

### **Multi-Chain Support**

MIH is built on the BNB Smart Chain (BSC), which is compatible with the Ethereum Virtual Machine (EVM). The native token, $MIH, is issued according to the BEP-20 token standard. To support multi-chain expansion, future plans include deployment on Ethereum Layer 2 networks as well.

On the blockchain, key DeFi functionalities—such as token issuance and burning, staking rewards—are implemented as smart contracts, providing full transparency. For example, when a user stakes $MIH, the reward is calculated and distributed automatically based on predefined contract rules, without any centralized involvement.

In actual retail or online merchant environments, off-chain components—particularly the PG server—play a critical role in processing $MIH payments. When a user initiates a transaction, the PG server facilitates blockchain interaction and, if necessary, pre-settles the payment using its internal liquidity while awaiting blockchain confirmation. This ensures a smooth user experience.

The typical payment process is as follows:

1. **Payment Request**: The user selects $MIH as the payment method at checkout. The PG server receives relevant information such as payment amount and wallet address.
2. **Price Conversion**: The PG server calculates the equivalent amount of $MIH in real time using a price oracle or exchange rate API.
3. **Balance Verification & Transaction Creation**: The server checks whether the user’s web wallet or linked wallet has sufficient balance. If so, it calls the appropriate smart contract to create a payment transaction (transferring $MIH from the user to the merchant’s wallet address).
4. **Blockchain Verification**: The transaction is broadcast to the blockchain network, validated by nodes, and included in a block. This ensures immutability and transparency. Initial confirmation is typically completed within a few seconds to tens of seconds.
5. **Confirmation & Notification**: After a sufficient number of confirmations, the transaction is deemed complete. The PG server then sends a callback or notification to the merchant, allowing them to proceed with fulfilling the order.
6. **Settlement Processing**: The merchant can choose to receive settlement either in fiat currency or in $MIH.<br>

<figure><img src="https://1066979575-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F8l3YdH6tVVQ04cUai1K2%2Fuploads%2Fc8kgKMJfTXUiPTWsbwQb%2F12%20%EA%B2%B0%EC%A0%9C%EC%A7%80%EC%9B%90%ED%99%94%ED%8F%90.png?alt=media&#x26;token=6844457c-9221-4f49-b121-8364e052a1e9" alt=""><figcaption></figcaption></figure>

### **Supported Payment Currency**

Currently, payments using $MIH and USDC are supported, and future updates will include support for fiat currency payments as well.

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