This presentation is about blockchain evolution from recent past. Its main focus is understanding ecosystems, challenges and opportunities

1. Presentation at BCIC event on 27/06/2018
AKNR Chandra Sekhar

2. Digital Transformation is pivot for present customer centric business
ecosystem. It is bring customer, product, services, stakeholder and
shareholder on to the same platform.
In advent of, Internet, Smartphone, Cloud Computing, Big Data,
Deep Learning initiator trends, now Augmented Reality, Autonomous
vehicles, Internet of Things and Blockchain are enabling businesses
to transform at rapid pace.
Today, “Blockchain”, also called as Web 3.0 or Decentralized Web is
pitching for next wave of business buzz.
Foundation is laid by Satoshi Nakamoto in his paper in 2008 on
Bitcoin focusing on characteristics – decentralization, immutable,
secured and consensus.
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3.  A block is a logical unit containing :
 Version number
 Timestamp of creation
 Nonce (Number used for mining)
 Previous block hash
 Its own hash
 Transactions data (represented in Markel tree)
 Blocks are linked to each other and shared across the network
 Every block is :
 secured (using cryptography)
 immutable (same copy on P-2-P Network)
 verified by a group of individuals in the network (game theory)
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Generic Block
Version
Time
stamp
Previous block
hash
Markel root hash Nonce
Transaction 1
Transaction 2
Transaction 3
This block hash

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 Public: Open and fully decentralized read and write access to all in the network
 Private: Decentralization limited to organization network, write access to few and read access to all
 Permission: Decentralized with write and read access for preselected participants
Source: Blockchain Types (Pavel Kravchenko)
* Practical Byzantine Fault Tolerance (PBFT)
* Federated Byzantine Agreement (FBA)
Note:
Proof of work, Proof of stake,
FBA and PBFT are consensus
algorithms

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 Distributed ledger technology (DLT) is the ability to store and access data from a shared
database (i.e., the ledger). Data is maintained by a distributed network of participants
(known as “nodes”) rather than a centralized entity. DLTs uses cryptography as a means of
storing and validation.
 Data is replicated at each node and thus distributed
 All blockchains are built on DLT but not every DLT is blockchain. There is opportunity to
explore new functionality and features using DLT

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 Architecture of blockchain has different implementations while keeping the basic principles
same and adding new features or services
IBM Hyperledger – Fabric
Ethereum – Smart Contract
Microsoft – Project Bletchley

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 Biological definition of ecosystem is “All plants and animals that live in a particular area together with the complex
relationship that exists between them and their environment” (https://www.collinsdictionary.com/dictionary/english/ecosystem)
 Biological definition of evolution is “The process by which the physical characteristics of types of creatures change
over time, new types of creatures develop, and others disappear” (https://dictionary.cambridge.org/dictionary/english/evolution)

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Gartner Blockchain hype curve
Electricity costs/1 Bitcoin mining/Country

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Blockchain X.0 (Next Generations…)
Speed of transaction processing
Consensus algorithms
Simplified delivery and implementation
Integration with cloud computing with distributed computing
Quantum computing

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 Change in Organizational processes :
 Distributed Ledger will change the workflow systems of present day
 Knowledge is cut across horizontally on multiple verticals
 Change from Fiat money to Digital money :
 Governments across will evaluate options to introduce digital currencies with enhance security
 Money supply equations will change and more asset based
 Change in Accounting and taxation processes :
 Book-keeping, smart contract based invoicing and trusted peer-to-peer integration
 Automated tax calculations and secured peer-to-peer links to government
 Change in raising funds (ICO vs IPO) :
 Raising funds from public based on assets
 Asset valuation and risk models
 Change in internet :
 Decentralized web content and media
 Filesystems (IPFS) and cloud computing and mobiles
 Technological opportunities :
 Strong use cases, Transaction throughput, Semantic P2P web, Quantum computing
 Linking legacy systems, Migration of existing data, Lack of skilled resources, Branding

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Thank you