How Blockchain Will Reinvent How We do Business€¦ · Enterprise Ethereum Alliance ConsenSys is a...

© 2017 consensys.net

How Blockchain Will Reinvent How We do Business

11

Presented by:

Dr. R. Tyler Smith

Director of Energy


Data is

DistributableThe explosive growth of the internet has helped us distribute information and content all over the world, but

Data is

RecordableMainframe computing opened the doors for the recording and use of mass quantities of data in a digital fashion.

2

History of the Database and Network

Blockchain is the natural next progression in database and networking technology

Paper & Mainframes1950’s

SQL Database1970’s

Data is

SearchableWith the invention of SQL information became more searchable, thereby making it more accessible and user friendly.

Networks / Internet1990’s

BlockchainToday

Data is

ShareableBlockchain shifts the paradigm of computing, allowing us to transfer value and run applications on a shared platform.

Blockchain technology, like mainframe, SQL, and the internet will revolutionize how we consume and use information.

© 2017 consensys.net 3

Blockchain - A Trust Framework

Blockchain provides a trust framework that allows systems to be developed for actors to interact reliably and securely

CRYPTOGRAPHICALLY SECUREUses tried and true public/ private signature

technology. Blockchain applies this

technology to create transactions that are

impervious to fraud and establishes a shared

truth.

DECENTRALIZEDThere are many replicas of the blockchain

database and no one participant owns nor can

tamper with it. Consensus among majority

participants is needed to update the database.

SMART CONTRACTThe Ethereum blockchain can store both data

and Smart Contract (“Business Logic”) in the

blockchain.

IMMUTABLE LEDGERBlockchain is a write-once database, so it

records an immutable record of every

transaction that has occurred since its

inception.


Next Generation “DISTRIBUTED” Database

4

Data

Code

Peer to Peer Network


The internet has evolved!

We can now use the internet to create:

● Trusted money without nation states (Bitcoin, Ethereum, ZCash)

● Legal contracts which are self executing

● Transparent operations of public services

● Provable fair voting

● Global registries (think carbon credit tracking, stock exchanges or genealogy)

● Self sovereign identity (billions of people lack forms of identification)

● Privacy of personal data (avoid hacks like Yahoo, Target, LinkedIn, Adobe, FaceBook)

● Immutable histories (trustable audits)

What does this mean?

5

Examples to give context


The America Online Moment

6

When crypto-currencies reach mainstream adoption

About to happen! Anyone’s guess


The Zeitgeist: Token fundraising for startups

7

Liberating locked capital for speculation in early stage ventures


Filecoin sale (opened 8/10/17)

8

Filecoin is the latest and greatest of the token sale launches

After < 1 hour

© 2017 consensys.net/enterprise Confidential

Enterprise Ethereum AllianceConsenSys is a founding member of the Enterprise Ethereum Alliance whose goal is to lead the development and improvement of the Ethereum platform in response to enterprise needs.

9

EEA Members: A community of Ethereum early adopters and innovators

Key enterprises from diverse sectors and with global reach

No “pay to play” and robust governance setup to ensure

progress and alignment

Permissioned blockchain focus, public blockchain expertise

and interoperability - support public Ethereum roadmap

Participants from the most innovative fintech companies

and deep connectivity with the core Ethereum development

team

Option to build and expand applications on top of the open

source code

Commitment to open source code


Art of the Possible

10

A real move towards “ industry-wide” infrastructure

Risk ManagementPrediction markets can revolutionize our approach to properly characterizing risk

and improve investment decisions.

IoTBlockchain used as a means to connect and audit IoT, machine-to-machine value transfer

Company-Wide IdentityIncreased security across all access points:

Person to Person, Person to Machine, Machine to Machine

Regulatory ComplianceCompanies and governments can collaborate in

real-time on blockchains to maintain transparency.

Supply ChainProvenance of assets become verifiable and traceable leading to the revolution of supply

chains and transparency

$


Examples:

● BHP Billiton: Wellbore samples

● Maersk: Shipping containers

● Trafigura: Oil trading

● Mercuria: Oil trading

● Walmart: Food tracking

● Wells Fargo & CBA:

Commodity (cotton) tracking

Supply Chain

11


Track and Trace

12

Asset tracking for any industry

Weight

Name

Address

Cost

Business Processes

● Progression of assets through various steps of a business process(s) is recorded on chain for lookbacks and evidence of trail

● Smart contracts enforce the business process(s) on chain curbing rogue actions

Business Actions

● User or machine initiated action that allows assets to progress from one process state to the next

● User actions unrelated to process state required for performing administrative and corrective functions

Actors

● Users that interact with the asset to perform process actions and transform the asset from one state to next

● Users that have ownership or custody of the asset

● Users that participate in audit, review and attestation of the asset to validate history

Role Permissions

● A class of users performing similar actions or functions are grouped into Roles

● Permissions to perform business actions are assigned by roles

● The web interface and smart contracts enforce the permissions preventing rogue users from tampering

Assets

● Any Physical or Digital entity that requires to be tracked

Attributes

● Asset attributes of interest (what), ownership (who), time (when), location (where) etc.

Small Business

Front Desk Clerk(Shipping Company)

Logistics Operator(Shipping Company)

Truck Operator(Shipping Company)

Customer


uPort is an open source software project to establish a

global, unified, sovereign identity system for people,

businesses, organizations, devices, and bots.

● Currently in alpha (Available on iOS and Android)

● Integrates solutions for physical and digital identity

● Unparalleled security for remote operations

● Authorizations, Certifications, Contract signing

Self-Sovereign Identity

13

uPort - Global identity system

Recent Headline: Swiss "Crypto Valley" to Create Digital Identities for Its Citizens with uPort


Regulatory Compliance

14

Reporting public regulatory data on a blockchain



15




16




17




18




19




20




21



Risk Management

22

Project risk management through prediction markets

Next generation prediction market platforms enable

access to the wisdom of the crowd otherwise known

as the “big brain”

● Can be applied to Exploration and Development risk management

○ Eliminate leader bias

○ Aligns incentives with technical staff

● Transformative application of proven theory

$


Internet of Things

23

Reduce operational risk through smart contracts

Trust


● Digital Signing

● Privacy

● Transparency

● Security

● Repeatability

● 100% Uptime

Internet of Things

24

Reduce operational risk through smart contracts

Trust


Naval Ravikant - CEO and a co-founder of AngelList

Blockchains will replace networks with markets.

Overlapping networks create and organize our society. Physical, digital and mental roads connecting us all.

Money is a network. Religion is a network. A corporation is a network. Roads are a network. Electricity is a network…

Parting thoughts

25

The blockchain transforms business models as well as creates back office savings


R. Tyler Smith PhD

[email protected]

Twitter - @R_Tyler_Smith

LinkedIn - Tyler Smith, Director of Energy and Consulting https://www.linkedin.com/in/tyler-smith-970a559/

Houston Ethereum Meetup Organizer

Next meetup: Early October

Please reach out!

26

I can help you or your company become a leader in the blockchain space

mailto:[email protected]

How Blockchain Will Reinvent How We do Business€¦ · Enterprise Ethereum Alliance ConsenSys is a...

Documents

Transcript of How Blockchain Will Reinvent How We do Business€¦ · Enterprise Ethereum Alliance ConsenSys is a...