tapping the trust value of the blockchain - show
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Tapping the Trust Value of the BlockchainCardware Bootcamp – June 13, 2016By Alex Todd of Trust2Pay
Blockchain Bootcamp
• What is blockchain technology?
• How is blockchain technology being used?
• Is blockchain technology valuable for me?
What is blockchain technology?
Blockchain is infrastructure that allows individuals to trust consequential information without relying on trusted institutions!
Individuals
Institutions
Applications
Infrastructure(Internet and Blockchain)
Value
Trust is integral to every transaction and is the foundation for business success. It drives the volume, velocity and value of every business transaction, and accounts for 40-80% of a company’s market capitalization.
Valu
e
1. Blockchain technology enables a distributed database (or ledger).
Data Data & Logic (smart contracts)
Unilateral & Opaque
Collaborative & Transparent
2. Blockchain technology enables an immutable record of entitlement.
Source: http://sammantics.com/blog/2016/5/18/immutable-me-a-discussion-paper-exploring-data-provenance-to-enable-new-value-chains
3. Blockchain technology enables autonomous automation.
DAO
Source: http://sammantics.com/blog/2016/5/18/immutable-me-a-discussion-paper-exploring-data-provenance-to-enable-new-value-chains and https://www.pinterest.com/pin/439734351088583336/
Ethereum is a decentralized platform that runs smart contracts.
Ethereum Foundation
Ether valued at $1B, second to Bitcoin at $8B.
TheDAOLargest ever crowdfunding project raised $150M
Trust TheDAO?
The world’s first Decentralized Autonomous Organization based investment fund with 100% participatory governance – more than 20,000 token holders.
Source: http://www.ubergizmo.com/2010/08/couple-builds-a-robot-child-companion-called-aimec/
Where would value reside in a DAO-based eBay?
People(minimal trust in people)
Institutions
Applications
Infrastructure(Internet)
People(or legal persons)
Institution(minimal role)
Application(Smart Contracts)
Infrastructure(Internet & Blockchain)
Escrow
Feedback
ForumPro
duct
Authentic
ation
ID Ver
ifyPr
oduc
t O
pini
ons
& G
radi
ng
Prod
uct
App
rais
al
TR
UST
e Se
al
Reliability of feedback
Policies
Safe Harbour
InvestigationsDisallow
ed
Products
Dispute Resolution
Notice of IP
Infringement
Security
User
Agreem
ent
Frau
d
Insu
ranc
e
PayPal Buyer
Protection
Escrow
ID Verify
Product
Appraisa
l
Fraud Insurance
Product Authentication
PayPal Buyer Protection
Policies
Safe Harbour Investigations
Dispute
Resolution
Disallowed
ProductsNotice of IP
Infri
ngement
User Agreement
Relia
bilit
y of
feed
back
Today Tomorrow
Security
TRU
STe
Seal
Feedback Forum
Product Opinions
& G
rading
How is blockchain technology being used?
Absolute and conditional entitlement.
Source: http://www.slideshare.net/RedChip/btcs-201507
Blockchain ecosystem
Source: https://schobinger.files.wordpress.com/2015/12/firstpartner-blockchain-market-map_evaluation-v1-0-30-11-15.jpg
Is blockchain technology valuable for me?
Is my product or service suitable for blockchain technology?
Primary Considerations YES NO
Do third parties rely on the output?
Does the output convey an entitlement or attribute?
Could it run autonomously?
People
Organization
Application
Infrastructure
My Product / Service:
My Current Product / Service:
People
Organization
Application
Infrastructure
Competitor’s Future Product / Service:
Transparency
•Reporting of anomalies•Transaction tracking•Feedback forums•Escrow services•Performance Verification• Identity verification•Support responsiveness•Fulfillment metrics•Tracking status of
applications/proposals•Satisfaction with funding
process•Comparative economic
impacts•Privacy protection
experiences•Confirmations of
transactions•Access to person offline•etc.
Promises / Assertions
•Provision of adequate information
•User awareness program•Seals of approval•Known merchant seals•Security and Privacy seals•Brands•Security & Privacy policies
on web site•Presentation•Regional/cultural
perspectives•Service/performance
opinions and grading•Value appraisals•Quality of service rating•Fair, ethical and
responsible business principles assertions
•Published FAQ/Help•Available technical
support•Rating of site and services•Assurance rating•Disclosure of funding
sources•Supporting brands•Co-branding•Frequently Asked
Questions•Assertions of competence•Assertions of fairness•Associations and
affiliations•Reputation•etc.
Empowerment / Choice
•Reliable providers of feedback
•Referral to other sources•Evaluating recommenders•Links from other trusted
sites•Recommendations from
other sources• Introduction & matching
services•Voting•Opting out•etc.
Reliability
•Redress mechanisms•Rules for information
protection•Laws and/or regulations
that protect privacy•Governance structures
and practices•Recourse mechanisms•Business policies and
practices•Safe harbour
investigations•Disallowed conduct and
services•Dispute resolution• IP Infringement policy•Commitment•Organization’s integrity•Values of participants•Ethical standards•Enforceability of conduct•Regulations•Culture•Common social or legal
code•Community member
interdependence (continuity)
•Motivation to deliver value
• Individual ethics•Organizational charter• Incentives•etc.
Integrity
•Security controls•Current technology• IT scalability•Privacy controls•Dependable technology•Knowledgeable and
competent staff•Operational resources•Reliable processes• Information protection
functionality• Information validation
functionality•Secure infrastructure•Operational resiliency•Ability to deliver expected
value•Controls on use of
information•etc.
Risk Transference
•Contract formation•Liability protection•User agreement•Fraud protection
insurance•Satisfaction guarantee•Warranties• Insurance•Credit protection•Fiduciary responsibilities•Privacy guarantee•Confidentiality guarantee• Identity theft guarantee•Accountability• Inducements•etc.
Common trust enabling mechanisms
Is my product or service suitable for blockchain technology?
Primary Considerations YES NO
Do third parties rely on the output? Does the output convey an entitlement or attribute? Could it run autonomously?
People
Organization
Application
Infrastructure
• Identity verification• Co-branding• Dispute resolution• User agreement• Privacy guarantee
• Confirmations of transactions• Presentation• Links from other trusted sites• Security controls• Dependable technology
My Product / Service: Loyalty
My Trust Enabling Mechanisms
People
Organization
Application
Infrastructure
• Co-branding• Dispute resolution
• Confirmations of transactions• Presentation• Links from other trusted sites• User agreement• Privacy guarantee
• Identity verification• Security controls• Dependable technology
Competitor’s Trust Enabling Mechanisms
Blockchain suitability exercise results.
Primary Considerations YES NO
Do third parties rely on the output?
Does the output convey an entitlement or attribute?
Could it run autonomously?
People
Organization
Application
Infrastructure
My Product / Service:
My Current Product / Service:
People
Organization
Application
Infrastructure
Competitor’s Future Product / Service:
Thank you!Alex Todd – your blockchain [email protected]@gmail.comhttps://ca.linkedin.com/in/alextodd