A Novel Hierarchical Multi-Agent System for Payments Using LLMs

LLM-based multi-agent systems are increasingly deployed for payment workflows, yet prevailing metrics, Task Success Rate (TSR) and Agent Handoff F1-Score (HF1), capture only final outcomes or unordered routing decisions. We introduce the Agentic Success Rate (ASR), a trajectory-fidelity metric that compares observed and expected agent execution sequences at the transition level, decomposing performance into Transition Recall and Transition Precision. Applied to the Hierarchical Multi-Agent System for Payments (HMASP) across 18 LLMs and 90,000 task instances, ASR reveals that 10 of 18 models systematically skip a confirmation checkpoint during payment checkout, a deviation invisible to both TSR and HF1, while 8 models enforce the checkpoint perfectly. Notably, GPT-4.1 exhibits hidden workflow shortcuts despite achieving perfect TSR and HF1, while GPT-5.2 achieves perfect ASR. Prompt refinements and deterministic routing guards guided by ASR diagnostics yield substantial TSR improvements, with gains up to +93.8 percentage points for previously struggling models, demonstrating that trajectory-level evaluation is essential in regulated domains.

The rapid expansion of capabilities in Large Language Model (LLM) agents has exposed a critical architectural bottleneck: when agents are given access to a flat, monolithic registry of tools, the model must evaluate hundreds or thousands of options simultaneously. This leads to decision-space explosion, context window saturation, and degraded routing accuracy. To address these limitations, this paper presents a hierarchical, skill-based architecture for agentic orchestration. Capabilities are organized as a rooted tree where internal nodes make routing decisions and leaf nodes execute deterministic tasks. The runtime enforces a single-step execution loop governed by a Last-In-First-Out (LIFO) stack, giving the agent a form of memory akin to a Pushdown Automaton, therefore enabling it to track nested execution contexts and resume deterministically from any depth. Capability discovery follows a manifest-driven, lazy-loading protocol: only the immediate children of the active node are loaded, so memory and prompt costs scale with the explored path rather than the global registry. By replacing global memory with localized stack frames, the architecture prevents outputs from one execution branch from leaking into another, establishing the isolation guarantees required for deployment in regulated enterprise environments. We also discuss UPI Help, an AI-powered digital payments support product, as a motivating production deployment context. We provide a mathematical formalization of the orchestration state, detailed algorithmic analysis of the execution loop, and controlled benchmarks comparing flat and hierarchical routing under increasing tool catalogs, multi-step workflow pressure, and visible schema-token exposure per LLM call.

Recent surges in LLM-driven intelligent systems largely overlook decades of foundational multi-agent systems (MAS) research, resulting in frameworks with critical limitations such as centralization and inadequate trust and communication protocols. This paper introduces the Fetch.ai architecture, an industrial-strength platform designed to bridge this gap by facilitating the integration of classical MAS principles with modern AI capabilities. We present a novel, multi-layered solution built on a decentralized foundation of on-chain blockchain services for verifiable identity, discovery, and transactions. This is complemented by a comprehensive development framework for creating secure, interoperable agents, a cloud-based platform for deployment, and an intelligent orchestration layer where an agent-native LLM translates high-level human goals into complex, multi-agent workflows. We demonstrate the deployed nature of this system through a decentralized logistics use case where autonomous agents dynamically discover, negotiate, and transact with one another securely. Ultimately, the Fetch.ai stack provides a principled architecture for moving beyond current agent implementations towards open, collaborative, and economically sustainable multi-agent ecosystems.