diff --git a/coordination-layer/balance_commitment.py b/coordination-layer/balance_commitment.py
new file mode 100644
index 0000000..8ff08f8
--- /dev/null
+++ b/coordination-layer/balance_commitment.py
@@ -0,0 +1,20 @@
+"""
+This module holds the logic for building and verifying homomorphic balance commitments.
+"""
+
+from constraints import Constraint
+from crypto import Field, Point, prf, hash_to_curve, pederson_commit, _str_to_vec
+
+
+def balance_commitment(value: Field, blinding: Field, unit: Point):
+    return pederson_commit(value, blinding, unit)
+
+
+def fungibility_domain(unit: str, birth_cm: Field) -> Point:
+    """The fungibility domain of this note"""
+    return hash_to_curve("CL_NOTE_NULL", birth_cm, *_str_to_vec(unit))
+
+
+def blinding(tx_rand: Field, nf_pk: Field) -> Field:
+    """Blinding factor used in balance commitments"""
+    return prf("CL_NOTE_BAL_BLIND", tx_rand, nf_pk)
diff --git a/coordination-layer/crypto.py b/coordination-layer/crypto.py
index 2b40a6f..af6ca29 100644
--- a/coordination-layer/crypto.py
+++ b/coordination-layer/crypto.py
@@ -1,3 +1,4 @@
+from py_ecc import bn128
 from keum import grumpkin
 import poseidon
 
@@ -5,8 +6,11 @@ import poseidon
 # !Important! The crypto primitives here must be in agreement with the proving system
 # E.g. if you are using noir with the Barretenberg, we must use the Grumpkin curve.
 
-Point = grumpkin.AffineWeierstrass
-Field = grumpkin.Fq
+# Point = grumpkin.AffineWeierstrass
+# Field = grumpkin.Fq
+
+Point = bn128.FQ
+Field = bn128.Point2D[FQ]
 
 
 def fake_algebraic_hash(data) -> Field:
diff --git a/coordination-layer/note.py b/coordination-layer/note.py
index f148657..3d73158 100644
--- a/coordination-layer/note.py
+++ b/coordination-layer/note.py
@@ -76,7 +76,7 @@ class InnerNote:
         return prf("CL_NOTE_COMM_RAND", self.rand, index)
 
     @property
-    def fungibility_domain(self) -> Field:
+    def fungibility_domain(self) -> Point:
         """The fungibility domain of this note"""
         return hash_to_curve(
             "CL_NOTE_NULL", self.birth_constraint.hash(), *_str_to_vec(self.unit)
diff --git a/coordination-layer/notes.org b/coordination-layer/notes.org
index c463464..1e247d0 100644
--- a/coordination-layer/notes.org
+++ b/coordination-layer/notes.org
@@ -1,5 +1,57 @@
 * Open Issues
 
+** Do we need both Public, Secret and Inner Note?
+
+Can't we simply have a Note (currently InnerNote) and the partial transaction will introduce
+a wrapper over the Note struct that will have the extra fields necessary for using notes within
+a transaction system:
+
+#+begin_src python
+
+
+  # ----- note.py -----
+
+  @dataclass(unsafe_hash=True)
+  class Note:
+      value: Field
+      unit: str
+      birth_constraint: Constraint
+      death_constraints: list[Constraint]
+      state: Field
+      nonce: Field
+      rand: Field
+
+      def verify_death(self, death_cm: Field, death_proof: Proof) -> bool:
+          pass
+
+      def verify_birth(self, birth_proof: Proof) -> bool:
+          pass
+
+      def verify_value(self) -> bool:
+          pass
+
+      def fungibility_domain(self) -> Field:
+          pass
+
+  # ----- partial_transaction.py -----
+
+  @dataclass
+  class InputNote:
+      note: Note
+      nullifier: Note
+      death_cm: Field
+      death_proof: Proof
+      balance_cm: Point
+
+  @dataclass
+  class OutputNote:
+      note: PublicNote
+      birth_proof: Proof
+      balance_cm: Point
+
+#+end_src
+
+
 ** provided commitment to zero may removing the blinding of the pederson commitment
 
 Since you can subtract the randomness from the commitment to get just the binding part.
diff --git a/coordination-layer/test_balance_commitment.py b/coordination-layer/test_balance_commitment.py
new file mode 100644
index 0000000..97e14db
--- /dev/null
+++ b/coordination-layer/test_balance_commitment.py
@@ -0,0 +1,30 @@
+from unittest import TestCase
+
+from hypothesis import example, given, settings, strategies as st
+
+from crypto import Field, hash_to_curve
+from balance_commitment import balance_commitment
+
+
+@st.composite
+def field(draw):
+    x = draw(st.integers(min_value=0, max_value=Field.ORDER - 1))
+    return Field(x)
+
+
+@st.composite
+def point(draw):
+    x = draw(field())
+    return hash_to_curve("T", x)
+
+
+class TestBalanceCommitment(TestCase):
+    @given(r=field(), a=field(), b=field(), unit=point())
+    @settings(max_examples=3)
+    def test_value_additive(self, r, a, b, unit):
+        print(r, a, b, unit)
+        b1 = balance_commitment(r, a, unit)
+        b2 = balance_commitment(r, b, unit)
+        b3 = balance_commitment(r, a + b, unit)
+
+        assert b1 + b2 == b3
diff --git a/requirements.txt b/requirements.txt
index e26da00..bd9bf31 100644
--- a/requirements.txt
+++ b/requirements.txt
@@ -12,3 +12,4 @@ toml==0.10.2 # used for noir
 portalocker==2.8.2 # portable file locking
 keum==0.2.0 # for CL's use of more obscure curves
 poseidon-hash==0.1.4 # used as the algebraic hash in CL
+hypothesis==6.103.0