OMM Solutions
TECHtalk #4
1< OMM Solutions GmbH >28.06.2017
www.tech-talks.eu

Einmal im Monat ist TECHtalk Zeit! First come first served!
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Talk: Smart Contracts - Can you digitize trust?
Speaker: Olaf Horstmann
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Basic Blockchain
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e.g. Bitcoin
Block
1
Block
2
Block
3
Block
n
…
$ / i
Hash from last block
$ / i
• verifies Transactions
• “builds” Block
28.06.2017

Blockchain with Compute-Capabilities
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e.g. Ethereum
Block
1
Block
2
Block
3
Block
n
…
$ / i / <>
Hash from last block
$ / i / <>
$ / i /
<>
• verifies Transactions
• executes Code (Smart Contracts)
• bundles additional Transactions
initiated by SCs
• “builds” Block
$ / i /
<>
$ / i /
<>
SC-execution
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Example: Betting-Contract
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0x90c63c3d1110Ea49….
Bookie publishes betting-rates to a smart contract
Together with depositing an initial betting-pool
0x90c63c3d1110Ea49….
Gamblers look at the rates
Placed bets are automatically limited to what the pool
could pay out – this limit is adjusted with every bet
0x90c63c3d1110Ea49….
Some source of information
- “oracle(s)” - feeds the
results into the contract
The contract automatically
evaluates the payouts and
initiates the transactions
$ +
i
$ +
i
i
$i
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Demo
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• “programmable number account”
• mediator of trust
• applications are mostly finance-related
• A tool for automated/event-based...
• decentralized information evaluation
• transaction initiation
What a smart Contract is
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• Source of information
• Source of trust
• Simple to understand
• Error-Proof
• Written by humans
• Easy-To-Use
• As for the current state of the technology
What a Smart Contract NOT is…
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• Deposits
• When renting an appartment, a car, an expensive machine
• Allowance-Contracts
• e.g. for kids to allow them to spend X€ / week
• Investments in Companies
• no need for „manually“ run Stock-Markets
• Auctions
• the bid is done with sending money and the contract
will automatically refund the money or forward it to the
seller
• Betting, Gambling
Applications for consumers
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• Monetary “rule-sets”
• e.g.: Transactions of >10000€ must be approved by 3
out of 5 authorized instances
• Automated execution of payments on certain
“events”
• e.g.: goods from a supplier arrive → worker confirms
the receipt on the blockchain → payment is initiated
Applications for Companies
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• Insurace-claiming
• e.g.: drought-/flood-information provided by several
weather-stations could automatically trigger a payout
to insured farmers
• A verified doctor could issue information to the
blockchain, that automatically triggers a payout
• The government could issue a death-certificate to the
blockchain, that could automatically trigger the payout
of a life-insurance
Applications for Insurances
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• replace any „manually“ initiated transaction
Applications in Banking
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• Applications
• digital currency
• Identification
• Smart contracts for automated tax-calculation and
transactions
• Chances
• Almost everything could be automated
• Less fraud, less errors, better transparency
• Risks
• System could be abused by the few “in power” (but so
could other systems)
Applications in Government
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• Public (current state)
• The Ethereum-Network is currently pretty much at its transaction-limit already
• Blockchain will grow very large very quickly → very difficult to maintain such
a node as an average user
• Closed
• Could decrease cost through automation
• If the technology is used at many companies → could decrease cost of
communication
• Easier to include additional “oracles” and contact-points than with a custom
system
• Widely used technology
• more developers
• less error-prone than a custom system
Public vs. Closed System
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• Automated execution
• Save money & time
• Transactions are final
General Benefits
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• Very young technology
• To really trust the contract, you would have to read AND
understand the source-code
• Contracts can be published without the source-code (you
should not blindly trust those)
• You still need to trust the “oracle”
• Even accidentally false information provided by an oracle
could cause irreversible transactions
• Who is liable for errors/bugs in an SC
General Drawbacks
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• Ethereum
• Etherscan (Adressen, Transaktionen, Tokens im Browser Suchen)
• Mist (Official Ethereum Wallet)
• Alternatives: Jaxx, MyEtherWallet, imToken (Mobile), and more…
• Geth (official go-ethereum client)
• Solidity (Ethereum’s SmartContract programming language)
• Parity (Ethereum Browser)
• ERC20 Token Standard (Standard for custom Tokens)
• Golem Network (Distributed Super-Computer-Network)
• Status Network (Mobile Ethereum Platform)
• Gnosis (“Crowd Sourced Wisdom”)
• Brave Browser
• Rinkeby (Ethereum Test-Network)
Stuff to google
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Vielen Dank für Eure Aufmerksamkeit!
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Ihr persönlicher Ansprechpartner
Fragen oder Interesse?
< OMM Solutions GmbH > 20
Olaf Horstmann
Technology & Innovation
OMM Solutions GmbH
Vor dem Lauch 4
70567 Stuttgart
Germany
oh@omm-solutions.de
+49 (0)711 75 86 46 04

Ihre persönliche Checkliste…
21< OMM Solutions GmbH >
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Quelle:
https://www.bitkom.org/noindex/Publikationen/2016/Leitfaden/In-10-Schritten-digital/In-10-Schritten-digital-Praxisleitfaden.pdf
28.06.2017

22< OMM Solutions GmbH >
www.omm-solutions.de
OMM Solutions GmbH
Vor dem Lauch 4
70567 Stuttgart
Geschäftsführer
Martin Allmendinger
Malte Horstmann
Olaf Horstmann
Kontakt
Telefon: +49 711 6747 051-0
E-Mail: info@omm-solutions.de
Umsatzsteuer-ID: DE295716572
Sitz der Gesellschaft: Stuttgart
Amtsgericht Stuttgart, HRB 749562
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