Blockchainbasics

Blockchain News – Education and Law

Heres a roundup of interesting stories on Blockchain that got discussed, debated or worked on. Blockchain news and views that caught the eye.

#1. The Law joins Blockchain!

China’s Supreme Court Rules that Blockchain Can Legally authenticate evidence which is legally binding, as part of newly clarified litigation procedures in the country’s internet courts. The state of Vermont in the USA passed a law that made Blockchain records admissible in court as well.

#2. The education sector is collaborating to bridge the huge gap in supply for Blockchain skills. With a whopping 151% increase in the number of jobs asking for Blockchain/Cryptocurrency skills in the last one year alone, no one is surprised.

Wharton offered its first full-time course on Blockchain for both undergrad and postgraduate students and guess what, it is already booked in full. Wharton also joins 17 other universities around the world in a $50 million, multi-year research and development initiative backed by Ripple (a cryptocurrency payment network).

The Ripple Project” a University Blockchain Research initiative will be an avenue for academic research, technical development, and innovation in Blockchain, cryptocurrency and distributed ledger technology.

Coursera And ConsenSys Partner To Offer A Free Blockchain Course starting September 2018!

Not to be left behind start-ups in Blockchain are climbing the ranks in the Best places to work Survey by LinkedIn this year.

And for all you Blockchain enthusiasts here is a useful link which has collected information on all the Blockchain conferences, meetups and Summit’s across the globe in September 2018. If there are other events that you are looking forward to, leave a comment here or give us a shout @flyntrok on twitter and we will help and spread the word.

Did you read about the Blockchain District? That sighting evoked quite some chatter. Happy to keep the conversation going. So, whats the latest Blockchain News you have heard?

Leveraging the power of blockchain – Transparency & Privacy

The essential dilemma about the internet the way it is this: We have had to give up privacy in order to get productivity. The volume of conversations that stem from privacy concerns and the lack of credible alternatives to remain private yet to be able to connect seems increasing. So much so, that the whole surge towards Blockchain based technology is often touted to hinge on its ability to solve that challenge. That for another day.

In this post, at the center of it all is this question. Is it possible for a technology to promise both transparency and privacy? What is the optimal amount of transparency that’s required that is ‘just required’ for a transaction, without compromising privacy?

Transparency and Privacy in tandem, increase likely solutions to many of the challenges we face today. Especially in the food industry.

Have you looked at the label ‘organic’ on food items and ever wondered if it indeed was organic? Worse even, is it safe? The WHO estimates that 1 in 10 people become ill every year from eating contaminated food. With 4.2 lacs dying each year, as a result.

Case in point: A nationwide outbreak of E coli in the USA (2006) was caused by bagged spinach. It took regulators two weeks to conduct the traceback and determine the exact source of the outbreak, as spinach. During those two weeks, many people got sick and one person died. Another Result: Tons of good spinach was wasted because we couldn’t tell the good from the bad.  Fast forward to 2018 and nothing much has changed, except it’s gotten worse.

Contamination from food has caused more people to get sick and heaps of good food to be wasted, in the effort to ensure more don’t get affected by the contamination.  Product recalls are not very effective- they take time. And a ton of the good food along with the bad gets wasted because we are unable to tell the difference between the good and the bad.

Leveraging the power of blockchain:

Walmart, Unilever, Nestle, etc are collaborating through the IBM Blockchain Food Trust Network. A TRANSPARENT system with supply chain visibility across these members and their ecosystems.  The intent is zeroing down and localising a food contamination.

The network is already showing results. Reducing the impact of food recalls. Limiting the number of people who get sick or die from foodborne illnesses.

Walmart wanted to isolate a batch of mangoes. Trace them from their retail outlet to the farm. Leveraging blockchain it took them 2.2 seconds to do so. Without blockchain, this would take them 6 days, 18 hours and 26 minutes to identify the farm.

Competitors coming together on a common platform to collaborate has always had hesitancy written all over it.  ? After all competing with each other in the marketplace. Dilemmas range from sharing information and practices to exposing their key people to ‘outsiders’.

Blockchain has a snug fit of providing the best of both worlds. Of exposing just enough and not anymore. That means, no compromising of trade secrets of companies while making information transparent.  Blockchain ensures the ‘privacy’ of knowledge / know how/ process.  Competitive advantages of organisations remain well within organisations and are not revealed on the network. This makes collaboration a lot less risky and more inviting.

How can such a transparent system, open and accessible to all, ever be private? The clue lies in an interesting concept called Cryptography. Cryptography gives Blockchain the ability to share relevant inputs without revealing all.

This works across industries and assets. Think of high-value assets, art or diamonds. Owners will go to any lengths to conceal their identity. Yet insurance companies struggle with Insurance fraud of such high-value items. These high-value assets are at times, fraudulently registered as stolen. The insurance companies pay out. The asset resurfaces at a different place. Registered with a new insurer and the same process of fraud repeated.

Tired and at a loss, the Insurance companies have turned to Blockchain! They are leveraging the Privacy feature to conceal the identity of the asset owner. Sharing details of the payout with members of the Blockchain network makes it easy to detect fraud. Each asset is laser-inscribed with a digital ID making it easy to detect. Firms like Everledger have been working on this.

 

The benefits of Blockchain for end users and companies specifically through the twin lenses of Transparency and Privacy are as follows. 

For end users: It gives control of all our information and transactions to us. Who can access our details/what did they access/etc. There is one version of the truth. Which is visible and consistent with all the users.

For companies: Apart from the benefits listed above, it allows them to include the end user in their entire sourcing and manufacturing process. This inclusion builds trust and an unparalleled brand value. Firms which already have a culture of transparency and trust and see the customer as an extension of their internal teams, Blockchain will be a lot natural. If not, there may be a distance to go.

Blockchain Possibilities

A permanent secure digital distributed ledger was the simplest definition of Blockchain that emerged in the previous post from this series. A long conversation on the possibilities with blockchain resulted. As the ideas were wrestled with, the contours for further conversation needed to be sealed. And this post is just that. The contours for further conversation.

Truth be told, none of these above terms are missing in the world of technology today. We have secure databases, digital databases, distributed ledgers even. Why then, is Blockchain considered as the messiah of the internet? Why is it said that the ‘world wide web’ is about the exchange of information and Blockchain will be about an exchange of value?

The industry is expecting Blockchain to be able to resolve world hunger, serious! Proponents claim Blockchain will make it easier to trace ‘blood diamonds’, something that has plagued us for decades. Be able to reduce and even eliminate accounting fraud. Think Enron! Voting in the elections. Moscow and NASDAQ are in the process of deploying Blockchain for electoral and shareholder voting to prevent fraud.

Now take a giant leap across and Blockchain supporters believe that it will make it possible for you and me to borrow from peers and not just depend on a bank. A completely new fundraising mechanism. The currency exchange guys believe that Blockchain will reduce their transfer transaction times from days to seconds. Tough to imagine that level of improvement in productivity and efficiency. Days to seconds! Wow. Artists are singing praises because they believe Blockchain will deliver them from the clutches of record labels who corner more profits than the artists for their work.

Look around you, intermediaries in every industry sector and transaction garner far more value than the buyers and sellers. Think of the farmer getting a pittance for his produce while you pay escalating prices for greens.  With intermediaries a.k.a traders/middlemen earning a significant chunk.

A world without intermediaries. Really?

Summarising the possibilities gets this list below to emerge. A broad cull from all the herd of hype about Blockchain.

• Transparency and Privacy (yup together!)
• Improved Traceability
• Immutability
• Enhanced Security
• Decentralized
• Faster Transactions with reduced costs
• Trust or rather Trustless

The above possibilities emerge in the way many of these existing technologies of Digital databases, distributed ledgers have been intertwined with newer concepts such as Consensus Protocol, Smart contracts, Proof of Work, cryptography to create the Blockchain framework. Thereby unleashing immense possibilities and benefits.

Each of these sits well for deeper conversation and exploration. And will soon come here too.

There are much jargon and ‘big’ words in the post. Thereby straying a distance from a key objective of keeping it simple. That is part of the challenge that is being wrestled with.  With time, practice and deeper conversation and real work, this space will read better.

Jump in. Let’s keep the conversation going. In our own small pockets and larger forums. We’ll get somewhere.

 

Blockchain Basics

Well if you are like me, you have heard this word ‘Blockchain’ bandied about. You have read and heard so much about it in the news yet you wonder if you really do understand it. It can seem that everyone is talking about blockchain and ledger technologies, but the truth is most of us are not yet up to speed, just like me! What Blockchain is and ‘could be’ is fuelling industries the world over. Everyone seems to be seeking possibilities. So, what are some ‘Blockchain Basics’? 

In this space, I along with a colleague, will try and explore an understanding of the technology and possibility called Blockchain. We invite you to join us. We will attempt to understand Blockchain and it’s many terms in as simple a manner as possible, through this series. 

‘What is Blockchain’, is a good place to start.

In a nutshell, Blockchain is; A permanent secure digital distributed ledger.

Am sure that meant nothing! It didn’t when we read it the first time and was trying to understand what Blockchain was about.

Let’s see if an example makes it any better. Something we can relate to, an excel sheet?

Think of Blockchain as an excel sheet which is open on all computers in the network. Any changes being made to the excel will be visible to all in the network as it is being made. It hence always is transparent and in a state of consensus. To be clear, it is not one excel in a central location shared by hundreds of computers. It is hundreds of copies of the same excel stored on hundreds of different computers across the world.

It also makes the data secure. Think of a hacker who has to erase the data from hundreds of systems to alter anything; earlier all he had to do was change it on ‘one’ master system.

Let’s try another example exploring why the world is falling over itself imagining the immense possibilities Blockchain holds.

Blockchain Basics with an example

Let’s assume that ‘you’ have a file of financial transactions on your computer. Three accountants have the same file stored on their computers. As you make another transaction buying something, your computer sends an email to each of them informing them of the transaction.

All three accountants rush to be the first one who will verify if the transaction is correct and you can afford the ‘buy’. The first one who verifies the transaction shares the logic with all the other accountants and gets paid a salary. If the other accountants agree that the transaction is correct and you can afford it, then everyone updates their excel sheet automatically.

This whole concept is nothing but Blockchain Technology.

If you wanted to indulge in tech-geek speak, here is your way to do it. 

And voila you got geeky! Next time let’s explore some of these terms Proof of Work, Distributed ledger, Consensus Protocol, Smart contracts and see what we see…

 

Until then here are some links for you to explore what Blockchain is, one is a video featured on OWL (Our Work is Learning) Newsletter which explains Blockchain to a toddler and professional.

Another one I found useful which explained Blockchain in simple English is here

What do you think? Your comments would be great to help evolve an understanding. Thanks much.