powerpoint presentation · distributed system of record shared across businessnetwork business...
TRANSCRIPT
Dr S B Goyal
[email protected] ; [email protected]
Dean, City University, Malaysia
Blockchain provides a fundamental shift from the Internet of information/communications to the internet value.
Assess Requirements to Apply Blockchain In Enterprises
The Blockchain Revolution(Digital Revolution is Underway)
Layout
• About Blockchain
• Why Blockchain
• Blockchain Components
• Questionnaire Before Selecting Blockchain
• Assess Requirements of Blockchain
• Types of Blockchain in Enterprises
• Myths about Blockchain
© 2016 IBM Corporation | 3
“Blockchain is a peer-to-peer distributed ledger technology for a new generation of transactional applications that
establishestrust, accountabilityand transparencywhilestreamliningbusiness processes”
Distributed ledger ≠ Blockchain; Blockchain ⇒ Distributed LedgerBitcoin ≠ Blockchain; Blockchain ⇒ Bitcoin
About Blockchain
Behind the Blockchain ProtocolProperties Blockchain Traditional Database
Operations Only Insert Operations Can Perform CRUD Operations
Replication Full Replication of block on every peer
Master-Slave; Multi-master
Consensus Majority of peers agree on the outcome of transactions
Distributed transactions (2 Phase Commit)
Invariants Anybody can validate transactions across the network
Integrity Constraints
WhyBlockchain Technology
Trusted Transaction
No third party involvement
Unalterable copied only
Real-time tracking only
Reduced Cost
No single point of failure Security
WhyBlockchain Technology
Blockchain ComponentsBlockchain for business…
Append-only
distributed system of
record shared across
business network
Business terms
embedded in
transaction database
& executed with
transactions
All parties agree to
network verified
transaction
Ensuring appropriate
visibility; transactions are
secure, authenticated
& verifiablePrivacy
Shared ledger
… Broader participation, lower cost, increased efficiency
Smart
contract
Consensus
Questionnaire Before selecting Blockchain
Network
A significant number of participants will be transacting on the network (>100)
You don’t trust the participants in the network and don’t need/ want to know them
PerformanceA limited amount of data needs to be stored for every transaction
The business process doesn’t requires a high throughput (scalability)
Business Logic
The business logic is simple
Privacy of transactions is not an important feature
The system will be standalone, it doesn’t need to access external data or be integrated in the IT legacy
Consensus
No arbitrator shall be involved in case of a dispute
All/ group participants can be involved in the validation of transaction
You need strict immutability of the record (no amend & cancel, even by admin)
Assess Requirements of Blockchain for Enterprises
Types of Blockchain In Enterprises
Public Private Consortium
Organization Type Individual Single Multiple
Permission Permission Less Permissioned
Participants Anonymous, could bemalicious
Identified and trusted
Mechanisms
Large Energy consumptionNo finality51% attack
Lighter, fasterLow Energy consumptionEnable finality
Mining (Proof of work) Voting/ Multi-party consensus algorithm
Transaction Approval Frequency
Long (e.g. 10 min) Short (100xmsec)
Use cases Crypto Currency Transactions in business networks, e.g. cross border payment, security transactions..
Criteria to take decision to choose public and private Blockchain
Blockchain Myths
• A magical database in the cloud
• To change the world
• Free
• Only one Blockchain
• Used for anything and everything
• The backbone of a global economy
• Locked and irrevocable
• Never be hacked or altered
• Used in the financial sector
• Bitcoin
• Designed for Business interactions only
• Smart contracts have the same legal value as regular contracts
Questions and Discussion
Dr S B GoyalDean, City University, [email protected]
Ji ShengResearcher, Trive Academy, [email protected]+60162857260