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Blockchain Consensus Protocols

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Innovation in Byzantine consensus protocols is helping decentralized networks scale up and become highly performant, possibly faster than centralized networks. Investment growth in Bitcoin and FinTech startups, and enterprise blockchain applications in development in multiple sectors

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Blockchain Consensus Protocols

  1. 1. Bitcoin Meetup, May 6, 2015 Slides: http://slideshare.net/LaBlogga Melanie Swan melanie@BlockchainStudies.org www.BlockchainStudies.org Blockchain Consensus Protocols
  2. 2. May 6, 2015 Blockchain Consensus 1 Melanie Swan, Blockchain Scholar  Founder, Institute for Blockchain Studies  Singularity University Instructor, EDGE Contributor IEET Affiliate Scholar  Swan, M. Blockchain: Blueprint for a New Economy. Sebastopol CA: O'Reilly Media, 2015.  Swan, M. We Should Consider The Future World As One Of Multi-Species Intelligence. Response to The Edge Question 2015: What do you think about machines that think? John Brockman, Ed., 2015.  Swan, M. Cognitive Applications of the Brain as a DAC. Cognitive Science 2015: The Annual Meeting of the Cognitive Science Society: Mind, Technology, and Society, Pasadena CA, July 2015. submitted.  Swan, M. Philosophy of Big Data: Expanding the Human-Data Relation with Big Data Science Services. IEEE BigDataService 2015, Redwood City CA, Mar 31-Apr 2, 2015.  Swan, M. Blockchain Thinking: The Brain as a DAC (Decentralized Autonomous Corporation). Texas Bitcoin Conference, Austin TX, March 27-29, 2015.  Swan, M. Machine ethics interfaces: An ethics of perception of nanorobot-aided cognition. Journal of Responsible Innovation. submitted. Traditional Markets, Science, Arts Background New Vision Source: http://melanieswan.com/publications.htm
  3. 3. May 6, 2015 Blockchain Consensus 2 Blockchain (non-technical overview of blockchain possibilities)  What people are saying…  #mindblowing – SD  Intriguing - JH  Great to read your book! Willing to transform your ideas to real life – AW  I find it amazing … a good mix of explanation about state-of-the-art products as well as visionary ideas. I was waiting for awhile for this kind of book – JM  A compelling and unique overview of the possibilities – DC  Thank you for helping bring about a new era in finance – JW http://www.amazon.com/Bitcoin-Blueprint-New-World-Currency/dp/1491920491
  4. 4. May 6, 2015 Blockchain Consensus Diverse Protocols 3 https://twitter.com/matteastwood/status/594603199685926913/photo/1
  5. 5. May 6, 2015 Blockchain Consensus Future: Diverse Consensus Protocols, why? 4  Key cryptography problems in distributed networks remain unsolved or solutions untested at a robust scale  BFT (Byzantine fault tolerance): network coordination despite faulty nodes  Sybil attack: distributed network flooded with forged identities  One size consensus does not fit all apps  POW mining not the best consensus protocol for enterprise blockchain apps that need  Faster, cheaper settlement  Legal identity verification  Greater scalability, performance
  6. 6. May 6, 2015 Blockchain Consensus Bitcoin/FinTech Investment Growth 5 https://angel.co/bitcoin, http://thefinanser.co.uk/fsclub/2015/02/the-fintech-scene-is-so-hot-its-boiling.html http://thenextweb.com/insider/2015/04/16/bitcoin-is-the-worlds-most-dangerous-idea/ Silicon Valley Bank: Global investment in FinTech is set to double from $10 billion in 2014 to $19.7 billion in 2015, and reach $46.1 billion by 2020 2012 $2m $96m $350m $106m 2013 2014 1Q2015
  7. 7. May 6, 2015 Blockchain Consensus Gartner Emerging Technology Hype Cycle 6 http://thenextweb.com/insider/2015/04/16/bitcoin-is-the-worlds-most-dangerous-idea/ Cryptocurrencies added July 2014
  8. 8. May 6, 2015 Blockchain Consensus Enterprise Blockchain Apps by Sector (selected) 7 http://www.amazon.com/Bitcoin-Blueprint-New-World-Currency/dp/1491920491 Crucial Blockchain Properties • Cryptoledger • Decentralized network • Trustless counterparties • Independent consensus-confirmed transactions • Permanent record • Public records repository • Notarization time- stamping hashes • Universal format • Accessibility Government & Legal • Transnational orgs • Personalized governance services • Voting, propositions • P2P bonds, land titles • Tele-attorney services • IP registration and exchange • Tax receipts • Notary service and document registry Markets • Currency • Payments & Remittance • Banking & Finance • Clearing & Settlement • Insurance • FinTech • Trading & Derivatives • QA & Internal Audit • Crowdfunding IOT • Agricultural & drone sensor networks • Smarthome networks • Integrated smartcity, connected car, smarthome sensors • Self-driving car • Personalized robots, robotic companions • Personalized drones • Digital assistants • Communication (messaging) • Large-scale coordination • Entity ingress/egress • Transaction security • Universal format • Large-scale multi- data-stream integration • Privacy and security Real-time accessibility Health • Universal EMR • Health databanks • QS Data Commons • Big health data stream analytics • Digital health wallet • Smart property • HealthToken • Personal development contracts • Large-scale infrastructural element for coordination • Checks-and- balances system for ‘good-player’ access • Community supercomputing • Crowd analysis • P2P resourcenets • Film, dataviz • AI: blockchain advocates, friendly AI, blockchain learners, digital mindfile services Science, Art, AI
  9. 9. May 6, 2015 Blockchain Consensus Byzantine Empire (height AD 555) 8
  10. 10. May 6, 2015 Blockchain Consensus Byzantine Generals Problem  Several divisions of the Byzantine army are camped outside an enemy city, each division commanded by its own general. The generals can communicate with one another only by messenger. They must decide upon a common plan of action. However, some of the generals may be traitors, trying to prevent the loyal generals from reaching agreement. The generals must have an algorithm to guarantee that  A. All loyal generals decide upon the same plan of action  The loyal generals will all do what the algorithm says they should, but the traitors may do anything they wish. The algorithm must guarantee condition A regardless of what the traitors do. The loyal generals need to reach agreement and agree on a reasonable plan that also insures that  B. A small number of traitors cannot cause the loyal generals to adopt a bad plan 9 Lamport, Shostack and Pease, "the Byzantine Generals Problem", ACM Transactions on Programming Languages and Systems,Vol.4, No. 3, July 1982, Pages 382-401. http://dl.acm.org/citation.cfm?id=357176
  11. 11. May 6, 2015 Blockchain Consensus Byzantine Generals Problem, Byzantine Fault Tolerance (BFT), Byzantine Agreement (BA)  Distributed network security problem  Problem: achieving consensus in a distributed network with potentially faulty nodes; how to coordinate among distributed nodes to come up with a consensus (common view of the world) that is resistant to attackers trying to undermine that consensus  Important consensus system properties in a distributed system or distributed algorithm  Safety: require that “something bad will never happen”  Liveness: require that “something good will eventually happen,” the system makes progress (example: eventual consistency) 10
  12. 12. May 6, 2015 Blockchain Consensus Approaches to Consensus/BFT 11  Byzantine Agreement Protocol (synchronous)  Microsoft/Lamport: Paxos (state machine replication)  Google: Chubby (serve strongly consistent files)  POW (Bitcoin) ‘Nakamoto Consensus’ – expensive, high latency  POS (Tendermint) – requires resource ownership, risk of ‘nothing-at-stake’ attacks per revoked escrow  Pebble: ARBC (Asynchronous Randomized Byzantine Consensus)  UT: BAR (Byzantine, altruistic, rational) protocol  Stellar: SCP Quorum Slicing  Other: Prediction Markets (Augur), Meta (Factom) http://research.microsoft.com/en-us/um/people/lamport/pubs/paxos-simple.pdf http://www.cs.utexas.edu/users/lorenzo/papers/sosp05.pdf
  13. 13. May 6, 2015 Blockchain Consensus POW ‘Nakamoto Consensus’ Shortcomings  Sybil attack-resistant compromise for decentralized consensus but not the final solution for distributed network fault-tolerant security for scalability and performance, key issues: 1. Expensive, excessive energy consumption 2. Poor scalability for widespread blockchain use especially for IOT 3. Slow: high latency (1-10 minutes to confirm transactions); only eventually consistent 12 https://medium.com/a-stellar-journey/on-worldwide-consensus-359e9eb3e949 http://crypto.stanford.edu/seclab/sem-14-15/williams.html
  14. 14. May 6, 2015 Blockchain Consensus Pebble: Asynchronous Randomized Byzantine Consensus (Concept) 13 http://crypto.stanford.edu/seclab/sem-14-15/williams.html https://www.youtube.com/watch?v=8iEgjqIMtVQ  Asynchronous Byzantine consensus for decentralized networks using cryptographic randomness, combine  Nakamoto chains (randomness source, Merkle roots log) with …  conventional consensus techniques (produce consensus by agreeing upon data transitions through a new generation of highly-tuned and optimized conventional consensus protocols) to …  produce fast and scalable decentralized networks
  15. 15. May 6, 2015 Blockchain Consensus Pebble: Asynchronous Randomized Byzantine Consensus (Method features) 14 FLP: Fischer, Lynch and Patterson Friedman et al. 2003. Simple and efficient oracle-based consensus protocols for asynchronous Byzantine systems. http://ieeexplore.ieee.org/xpl/articleDetails.jsp?arnumber=1353024 Maji et all. Exploring the limits of common coins using frontier analysis of protocols. 2011. http://dl.acm.org/citation.cfm?id=1987298  Asynchronous (resist attack)  Fully asynchronous (no timing assumptions) and leader-free (no one node orchestrates)  Randomized (improve efficiency)  Address FLP impossibility result (in asynchronous networks, if only one node fails, cannot be sure remaining nodes will reach consensus)  Randomized protocols get around this by terminating with a probability approaching 1  Need a common source of randomness, so use blockchains (constant source of randomness; cannot predict who finds the next hash) to organize the network  Use deterministic homomorphic threshold signatures to create cryptographic randomness without having a trusted dealer
  16. 16. May 6, 2015 Blockchain Consensus Pebble: Asynchronous Randomized Byzantine Consensus (Example) 15 http://crypto.stanford.edu/seclab/sem-14-15/williams.html https://www.youtube.com/watch?v=8iEgjqIMtVQ  Fast-throughput (achieve scalability)  Run massive numbers of binary leader-free asynchronous randomized consensus protocols in parallel to quickly agree a combined data set from the inputs of large numbers of processes  Proof of concept  Focus on messaging efficiency, decentralized network scalability and confirmation speed  Enable 500 distributed processes to simultaneously present their data sets to the group and quickly reach strongly consistent agreement on an accepted superset  Pass only 0.5-1MB of protocol messages  A network reaching consensus every 5 seconds would have spare bandwidth to process many thousands of transactions per second
  17. 17. May 6, 2015 Blockchain Consensus UT BAR (Byzantine, altruistic, rational) 16 http://www.cs.utexas.edu/users/lorenzo/papers/sosp05.pdf  Concept: granular model of good agent behavior  Altruistic and rational nodes participating in a cooperative system will try to maximize their utility, and broadcast information in predicable, reliable phases  No node is guaranteed to follow the suggested protocol  The actions of most nodes are guided by self interest  Some nodes may be categorically broken  Objective: develop Byzantine, altruistic, rational fault- tolerant system for cooperative services
  18. 18. May 6, 2015 Blockchain Consensus Stellar: Quorum Slicing (Concept) 17 https://medium.com/a-stellar-journey/on-worldwide-consensus-359e9eb3e949  Objective: distributed consensus  Nodes update their states/ledgers  Avoid Byzantine failure (when individual nodes act arbitrarily, maliciously or not)  Distinguish between  Quorum: the set of nodes required to reach agreement across the whole system  Quorum Slice: the subset of a quorum that can convince one particular node of agreement  Result: federated network of quorum slices, continually testing the network  Do not need to trust the whole system/network, just your neighbors, you do not know who to trust initially, join the network, and try before you trust, the system grows organically, each party makes a slice of others from the whole to trust
  19. 19. May 6, 2015 Blockchain Consensus Federated Quorum Slice Network 18 https://medium.com/a-stellar-journey/on-worldwide-consensus-359e9eb3e949  Resilient network  Overall network health is preserved even if there are a few bad nodes, and some good nodes slicing the bad nodes  Unanimous consent from the complete set of system nodes is not required to reach agreement, or tolerate faulty nodes
  20. 20. May 6, 2015 Blockchain Consensus Stellar graphic novel explains Quorum Slicing 19 https://www.stellar.org/stories/adventures-in-galactic-consensus-chapter-1/
  21. 21. May 6, 2015 Blockchain Consensus Stellar: Context of Byzantine Agreement 20 https://medium.com/a-stellar-journey/on-worldwide-consensus-359e9eb3e949  Traditional Byzantine agreement protocol (BAP)  Membership is set by a central authority or closed negotiation (Sybil attack-resistant)  Update BAP for decentralized group admission  Ripple: publish a ‘starter’ membership list that participants can edit for themselves  Divergent lists invalidate network safety; users fail to update  Tendermint: base membership on proof of stake  Ties trust to resource ownership; revoked escrow attacks  Stellar: open membership, participants affirm trust  Quorum is still vulnerable to Sybil attack, malicious parties can join many times and outnumber honest nodes. So majority-based quorums do not work, but a federated network of quorum slices can  Each node selects and tests quorum slices based on safety and liveness; voting to accept statements (of network state)
  22. 22. May 6, 2015 Blockchain Consensus Stellar: Consensus Protocol Comparison 21 SCP: Stellar Consensus Protocol https://medium.com/a-stellar-journey/on-worldwide-consensus-359e9eb3e949
  23. 23. May 6, 2015 Blockchain Consensus Prediction Market Voting as Consensus 22 http://tendermint.com/posts/security-of-cryptocurrency-protocols/ http://tendermint.com/docs/tendermint.pdf  Concept: achieve agreement through human voting via prediction markets - not just a betting tool, a wisdom-of-crowds opinion- logging tool, collect millions of opinions in RT  Bitcoin/Blockchain Prediction Markets  Fairlay  Augur (all contracts live on Ethereum testnet)  Trustless Oracle/Event Derivatives  TruthCoin  Governance Prediction Markets  Futarchy: 1) vote on outcome 2) run prediction market to vote on plans for achieving the outcome
  24. 24. May 6, 2015 Blockchain Consensus Derrida: Ontology of Joycean Consensus 23 Derrida. Ulysses Gramophone: Hear Say Yes In Joyce. Pp. 267, 296. http://www.amazon.com/Bitcoin-Blueprint-New-World-Currency/dp/1491920491  Affirmation is not solo, “saying yes” is dependent upon another to hear it and acknowledge receipt  The affirmation relation is totalization-resisting, the affirming and acknowledging parties, and the yes itself, remain distinct  “The two responses refer to each other without having any relationship between them. The two sign yet prevent the signature from gathering itself together [totalizing].”  The yes “addresses itself to some other which it does not constitute”  The yes avoids its own totalization, “The yes, by responding and countersigning, does not let itself be counted or discounted [totalized].”  Well-formed consensus: preserve the integrity of entities in network of ad-hoc reciprocal relations
  25. 25. May 6, 2015 Blockchain Consensus 2 Groups of Crypto Projects and Consensus: Permissioned and Permissionless Ledgers 24 Swanson, T. (2015). Consensus as a service: a brief report on the emergence of permissioned, distributed ledger systems http://www.ofnumbers.com/wp-content/uploads/2015/04/Permissioned-distributed-ledgers.pdf Enduser • Censorship-resistant • ‘Brave new world’ apps • Anonymous validators (network vulnerable to anonymous attack) Enterprise • Identity-confirmed • ‘Reinvent the existing world’ efficiency improvement apps • Official legal registry Stellar
  26. 26. May 6, 2015 Blockchain Consensus Evolving Dapp Ecosystem 25 Dapp: Decentralized Application http://www.amazon.com/Bitcoin-Blueprint-New-World-Currency/dp/1491920491 Project Name and URL Activity Centralized Equivalent OpenBazaar https://openbazaar.org Buy/sell items locally Craigslist Twister http://twister.net.co, Gems http://getgems.org Reveal http://rvl.rvl.is/, BitCloud http://bitcloudproject.org/ RetroShare http://retroshare.sourceforge.net/ Project Groundhog https://www.youtube.com/watch?v=WFeJYv3PSaI Social networking, peer-to-peer microblogging, messaging; private token-based social messaging Facebook, Twitter Bitmessage https://bitmessage.org Secure messaging (individual or broadcast) SMS services LaZooz http://lazooz.org On-demand ride service Uber, Lyft Storj http://storj.io/ Maidsafe http://maidsafe.net/ IPFS http://ipfs.io/ File storage, file serving Dropbox, Google Drive Onename https://onename.com/ BitID https://github.com/bitid/bitid Bithandle http://www.hackathon.io/bithandle Digital identity verification VeriFone, Verisign, Facebook Provenance https://www.provenance.org/ Supply chain management Oracle, SAP Mist (Ethereum) https://www.youtube.com/watch?v=IgNjs_WaFSc ProTip Add-on https://www.indiegogo.com/projects/protip-peer- to-peer-tipping-for-the-web Dapp browser Chrome, Firefox, Internet Explorer
  27. 27. May 6, 2015 Blockchain Consensus Enterprise Blockchain Apps by Sector (selected) 26 http://www.amazon.com/Bitcoin-Blueprint-New-World-Currency/dp/1491920491 Crucial Blockchain Properties • Cryptoledger • Decentralized network • Trustless counterparties • Independent consensus-confirmed transactions • Permanent record • Public records repository • Notarization time- stamping hashes • Universal format • Accessibility Government & Legal • Transnational orgs • Personalized governance services • Voting, propositions • P2P bonds, land titles • Tele-attorney services • IP registration and exchange • Tax receipts • Notary service and document registry Markets • Currency • Payments & Remittance • Banking & Finance • Clearing & Settlement • Insurance • FinTech • Trading & Derivatives • QA & Internal Audit • Crowdfunding IOT • Agricultural & drone sensor networks • Smarthome networks • Integrated smartcity, connected car, smarthome sensors • Self-driving car • Personalized robots, robotic companions • Personalized drones • Digital assistants • Communication (messaging) • Large-scale coordination • Entity ingress/egress • Transaction security • Universal format • Large-scale multi- data-stream integration • Privacy and security Real-time accessibility Health • Universal EMR • Health databanks • QS Data Commons • Big health data stream analytics • Digital health wallet • Smart property • HealthToken • Personal development contracts • Large-scale infrastructural element for coordination • Checks-and- balances system for ‘good-player’ access • Community supercomputing • Crowd analysis • P2P resourcenets • Film, dataviz • AI: blockchain advocates, friendly AI, blockchain learners, digital mindfile services Science, Art, AI
  28. 28. May 6, 2015 Blockchain Consensus Financial and Public Records Applications  Financial instruments 1. Currency 2. Private equities 3. Public equities 4. Bonds 5. Derivatives Commodities 6. Spending records 7. Trading records 8. Mortgage/loan records 9. Servicing records 10. Crowdfunding 11. Microfinance 27 http://forum.ethereum.org/discussion/1402/how-to-get-started-your-first-dapp-under-one-hour  Public Records 1. Land titles 2. Vehicle registries 3. Business incorporations 4. Criminal records 5. Passports 6. Birth certificates 7. Death certificates 8. Voter Registration 9. Voting Records 10. Health/safety inspections 11. Building permits 12. Court records
  29. 29. May 6, 2015 Blockchain Consensus Blockchain Insurance  Argument  Most of world is underserved  Current insurance is inaccurately expensive and payout is unpredictable (when/whether/to what extent claim is accepted)  Smart contract-based insurance  Financial security: predictable payout terms and timing  Peer-to-peer insurance  Peer-evaluated and peer-adjudicated health claims  Dynamis www.dynamisapp.com, BitSilk https://twitter.com/bitsilk  Collaborative risk modeling  Drought experts invest in peer-based crop insurance pools (unites wisdom-of-crowds expertise) 28
  30. 30. May 6, 2015 Blockchain Consensus What is Smart Property?  Register assets to blockchain via unique key  Real-time GPS ‘LoJack’ tracking for any asset  Blockchain becomes an inventory, tracking, and exchange mechanism for all hard assets  Smart Property Applications  Drug and equipment inventory (example: Blocktrace ledger tracks diamonds); equipment servicing records  On-demand real-time equipment inventories  Supply chain provenance (provenance.org)  Test results logged as smart property  Digital authentication and real-time keyless entry  OpenBazaar health exchange markets (equipment) 29 https://openbazaar.org/, http://www.edgelogic.net/blocktrace, Provenance: https://www.youtube.com/watch?v=SqIUBn80pg4 A decentralized CraigsList
  31. 31. May 6, 2015 Blockchain Consensus What is are Smart Contracts? 30  Agreements between parties posted to the blockchain for automated execution  Examples  Bet on high temperature tomorrow  Inheritance pay-out at age 21 or death of benefactor  Mortgage with automatic interest-rate resets  Blockchain-based Greek tax receipts in Ricardian Contracts (Yanis Varoufakis)  Code: Ethereum and Eris  https://github.com/ethereum/  https://erisindustries.com/ https://eng.erisindustries.com/smart%20contracts/2014/12/17/dennys-smart-contracting/ , http://forum.ethereum.org/discussion/1402/how-to-get-started-your-first-dapp-under-one-hour, http://financialcryptography.com/mt/archives/001555.html
  32. 32. May 6, 2015 Blockchain Consensus Blockchain IOT 31 http://www.zdnet.com/article/internet-of-things-market-to-hit-7-1-trillion-by-2020-idc/, http://www.amazon.com/Bitcoin-Blueprint-New-World-Currency/dp/1491920491 https://gigaom.com/2014/09/09/check-out-ibms-proposal-for-an-internet-of-things-architecture-using-bitcoins-block-chain-tech/  M2M/IOT Bitcoin payment network to enable the machine economy & mThings  The economic layer the web never had  IOT 2020: 26 bn devices in a $7 tn market  IOT agricultural and environmental sensors posting to blockchains  Quantifying processes; insurance data  Smartcity orchestration  Example project: IBM Adept  Blockchain + Messaging + BitTorrent  Communication + coordination mechanism  Scale from thousands to millions of sensors Smartcity Infrastructure and Connected Car Orchestration IOT Sensor and Drone Agricultural Monitoring
  33. 33. May 6, 2015 Blockchain Consensus Blockchain Smarthome IOT 32 http://www.amazon.com/Bitcoin-Blueprint-New-World-Currency/dp/1491920491  Smarthome IOT networks  Tool for managing device proliferation  Provide security and privacy of sensitive smarthome data: physical and mental health, product consumption  Devices: personal robotics, digital health assistants, artificial companions, health optimizers, quantified self-tracking wearables, smartwatch, Fitbit, health tracker  With permissioning, smarthome, connected car, smartcity infrastructure to provide daily health check for the whole populace, including quality-of-life mental state Personal Robotics Coordination Smarthome IOT: Hue Go Wireless Smartlighting and Amazon Dash Button
  34. 34. May 6, 2015 Blockchain Consensus Blockchains: Global and Liberty-enhancing 33  Global governance for transnational organizations  WikiLeaks, ICANN, Wikipedia  Benefits of blockchain administration  Uplift to cloud from local jurisdictional regulations  Universal administration mechanism for global organizations  Structure promotes transparency, accountability, freedom  Namecoin: decentralized DNS http://www.forbes.com/sites/andygreenberg/2010/12/07/visa-mastercard-move-to-choke-wikileaks/ Snowden Affair
  35. 35. May 6, 2015 Blockchain Consensus Blockchain Government  Opt-in Personalized Government  Composting vs education  Smart property land-titling, reputation- based ID system, voting, dispute resolution, national income distribution, public documents registry  Neighbor.ly  Self-directed community bonds  Precedentcoin  Crowdsourced legal services, justice entrepreneurs, blockchain arbitration  Sidekik  On-demand tele-attorney, private police 34 http://www.bitnation.co/, https://bitcoinmagazine.com/17066/first-blockchain-wedding-2/, https://bitcoinmagazine.com/19813/sidekik-decentralized-video-streaming-storage/ World’s First Blockchain Marriage: David Mondrus and Joyce Bayo, October 5, 2014, Disney World FL, Coins in the Kingdom Bitcoin Conference, Jeffrey Tucker (Liberty.me) presiding
  36. 36. May 6, 2015 Blockchain Consensus Blockchain Representation and Voting  Futarchy, two-step program 1. Traditional vote on outcomes (ex: GDP) 2. Prediction markets to determine specific proposals for achieving the outcome  Delegative democracy (Liquid Democracy)  Voting power temporarily vested in delegates not long-term representatives  Group proposition development  Random Sample Elections  Randomly selected individuals vote on a single issue, blockchain orchestration 35 https://bitcoinmagazine.com/17066/first-blockchain-wedding-2/, http://www.bitnation-blog.com/latest-update-dec-22nd-2014/
  37. 37. May 6, 2015 Blockchain Consensus Blockchain Legal  Notary Service, Attestation  Register contracts, agreements, wills (Proof of Existence, Factom)  Register, protect, and transact IP (Monegraph, Ascribe)  How it works  Hash + timestamp + blockchain record 36 http://www.proofofexistence.com/
  38. 38. May 6, 2015 Blockchain Consensus Blockchain Science  Distributed computing community collaboration projects  FoldingCoin (protein Folding@home)  GridCoin (SETI@home)  Community supercomputing resource access  Zennet  ‘Green’ mining projects  Primecoin  FoldingCoin  GridCoin 37 http://www.righto.com/2014/02/bitcoin-mining-hard-way-algorithms.html, http://codinginmysleep.com/bitcoin-mining-in-plain-english/
  39. 39. May 6, 2015 Blockchain Consensus Blockchain Health  Universal EMR: finally ‘health XML’?  Personal health records stored and administered via blockchain  Users key-permission doctors and other parties into records  Apple HealthKit, Bluehub Health, Google Health (concept)  Health Databanks and Research Commons  Aggregated personal medical records, quantified self data commons, genome and connectome files  Health Document Notary Services  Proof-of-insurance, test results, prescriptions, status, diagnoses, conditions, treatments, physician referrals  Doctor Vendor RFP Services  Doctors and health practices bid to supply medical services; automated bidding via health exchanges (OpenBazaar) 38 http://futurememes.blogspot.fr/2014/09/blockchain-health-remunerative-health.html
  40. 40. May 6, 2015 Blockchain Consensus Blockchain Big Health Data  Proprietary genomic datasets and cloud-based tools  Baylor College of Medicine (3,751 whole human genomes (of 7 bn) and 10,771 exomes (440 terabytes) as of 2013)  Decentralized projects: big data access + query tools for scalability, practicality, privacy, liberty, and RT availability  DNA.bits (www.dna-bits.com) blockchain-based  Large genetic dataset access with correlated clinical records  Dexter (dexter.stanford.edu)  Enduser-targeted, browser-based, domain-independent, structured- data explorer; run big data queries from browser  CrowdMed (www.crowdmed.com) crowdsourced disease diagnosis  Enlitic (http://www.enlitic.com/) disease diagnosis via deep-learning 39 http://futurememes.blogspot.fr/2014/09/blockchain-health-remunerative-health.html
  41. 41. May 6, 2015 Blockchain Consensus Digital Health Wallet 40  Private key identity card + EMR + health insurance info + payment data  Use HealthToken to pay for services
  42. 42. May 6, 2015 Blockchain Consensus Blockchain Literacy  ‘Bitcoin MOOCs,’ ‘Kiva for literacy’  Peer-to-peer learning contracts; technical, agricultural, vocational literacy certification  Global P2P giving: CommonCollection  Chain-based personal development contracts  QS-biometric utility function imputation and tracking  Maslow chains, subjectivation and actualization chains  Development Economics 2.0  Literacy contracts, remittances, blockchain-tracked aid, microcredit, decentralized credit bureaus  Open-source FICO scores  Peer-vouching reputation communities  Most of world: inadequate banking, insurance, credit 41
  43. 43. May 6, 2015 Blockchain Consensus Blockchain Art 42 Rio, Tel Aviv, Hamburg, Barcelona, Seoul, Tokyo, New York http://bitfilm.com/festival.html
  44. 44. May 6, 2015 Blockchain Consensus Blockchain Art 43 http://cryptoart.com/  Fine art paper wallets
  45. 45. May 6, 2015 Blockchain Consensus Summary 44  Current status of blockchain industry development…  …investor interest shifting from speculative to strategic  …innovation in Byzantine consensus protocols to help decentralized networks scale up and become highly performant, possibly faster than centralized networks  …articulation of sector-specific enterprise blockchain applications in markets, finance, banking, clearing, trading, insurance, and supply chain tracking; government and legal services; IOT; science and health
  46. 46. Bitcoin Meetup, May 6, 2015 Slides: http://slideshare.net/LaBlogga Melanie Swan melanie@BlockchainStudies.org www.BlockchainStudies.org Blockchain Consensus Protocols Thank You! Questions?

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