The implementation of a blockchain platform may facilitate the exchange of information among the parties involved in the process. This can be achieved by storing the cargo information on the ledger. Instead of exchanging documentation, the parties involved in the process are granted permission to access the block where the information is stored. This leads to the creation of a unique, shared piece of information which can be accessed in real-time and with lower transaction costs. The process can be further accelerated by including parties that are currently external to the process (banks, insurance companies).
1. What is Block Chain
2. How Does it Work
3. What are the key attributes of Blockchain
4. What are applications areas for Block Chain
5. What are the advantages and Disadvantages of Block Chain
In this presentation there will be brief overview on what is Blockchain Technology?
What are the components in a block?
what are the applications of BlockChain technology?
Blockchain is a system of recording information in a way that makes it difficult or impossible to change, hack, or cheat the system. A blockchain is essentially a digital ledger of transactions that is duplicated and distributed across the entire network of computer systems on the blockchain.
1. What is Block Chain
2. How Does it Work
3. What are the key attributes of Blockchain
4. What are applications areas for Block Chain
5. What are the advantages and Disadvantages of Block Chain
In this presentation there will be brief overview on what is Blockchain Technology?
What are the components in a block?
what are the applications of BlockChain technology?
Blockchain is a system of recording information in a way that makes it difficult or impossible to change, hack, or cheat the system. A blockchain is essentially a digital ledger of transactions that is duplicated and distributed across the entire network of computer systems on the blockchain.
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Next generation IoT data marketplace using blockchain technology
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6. Live Use Case
7.Strategy
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Blockchain can be used across the whole manufacturing industry to address all different types of projects and stakeholders. Its value to the manufacturing vertical is promising as Industry 4.0 continues to grow.
Foreword
This paper is the result of a research project carried out by Labs
in EVRY Financial Services during the fall of 2015. The content of
this report is the result of a comprehensive study, featuring online
sources, literary works, as well as recordings of financial
conferences such as Consensus 2015 and Fintech Week 2015.
We aim to provide a comprehensive report detailing the
opportunities, challenges and key success factors for financial
institutions looking to leverage the opportunities presented by
blockchain technology.
We hope you enjoy this study and that it helps give you greater
understanding.
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2. Block Chain
Our aim: We want to make a common language across business
and technology w.r.t the Block Chain.
Albert Einstein once said:
“If you cannot explain it simply,
You do not understand it fair enough”.
The goal today to explain the block-chain in a simple manner,
sothat everyone of us can understand it very clearly.
3. Two major things
BIT COIN BLOCK CHAIN
A digital coin
A money which is digital
A technology that enables
moving digital coins/assets
from one individual to
another individual.
4. Basic Concept
3rd
Trusted
Party
3 DAYS….
Service fees = 2$
Here we are not going to explain the implementation details …..
“How it is done in practice !!!”.
Our goal is to understand the basic concept only. For better understanding, we would like to
explain the basic concept of Block Chain in terms of Monetary transaction.
5. Basic Concept
But the Block Chain is concept that
enables to transfer money without
any trusted entity at the middle.
Secondly, it does it
faster than 3 days,
actually immediately.
And thirdly in
cheaper than the
3rd party charges
as fees.
6. How block chain addresses transaction problem
OPEN
LASER
A
10$
C
B
D
5$
A – B = 5$
A = 10$
3$
B – C = 3$
1$
C – D = 1$15$
DISTRIBUTE
D
7. What we learn
Block chain is a
1. Distributed database whose contents are stored on a number of different
computers, or nodes.
2. It is open and public to all participants.
3. Everyone can see the validity of the modification of database.
4. Since any modification to the database is recorded simultaneously, it is
practically impossible to hack the system.
5. Not controlled by a single, central party: instead it's controlled by everybody
on the network.
6. It remove the dependency on the party.
7. Miners who are the special nodes in the network whose role is to validate the
database in the reward of economic incentives.
10. Port Community System
A neutral and open electronic platform that
- enables intelligent and secure exchange of information
- between public and private stakeholders
- in order to improve the competitive position
- of the ports’ communities.
It optimizes, manages and automates
- port and logistics processes
- through a single submission of data and
- connecting transport and logistics chains.
11. Typical PCS Services
Easy, fast and efficient EDI information exchange, re-use and
centralization
24/7/365 service
Electronic handling of all information regarding import and
export cargo.
Customs declarations
Status information and control, tracking and tracing through
the whole logistics chain
Processing of dangerous goods
Processing of maritime and other statistics etc…
12. Present working style of PCS
When a carrier enters the port, the cargo documentation is
generally handled by the ship agent and sent to the Port
Community System (PCS).
The PCS enables the information distribution among the parties in
the network to facilitate the container movement throughout the
process.
However, the process steps are not systemically connected across
parties and not all the parties involved are included in the
network.
This process breakdown sums up the inefficient means of
communication, leaving a room for improvements that obviously
Blockchain can fulfil.
13. Introduction of Block-chain in PCS
The implementation of a block-chain platform may facilitate the
exchange of information among the parties involved in the
process.
This can be achieved by storing the cargo information on the
ledger.
Instead of exchanging documentation, the parties involved in the
process are granted permission to access the block where the
information is stored.
This leads to the creation of a unique, shared piece of information
which can be accessed in real-time and with lower transaction
costs.
The process can be further accelerated by including parties that
are currently external to the process (banks, insurance companies).
14. Application
The database can be further improved by implementing
Internet of Things (IoT) devices and connecting them as block-
chain nodes.
For instance, trackers can be mounted on containers so that
smart devices can automatically record information on the
block-chain without any user input.
Moreover, sensors installed in the container can monitor the
status of goods, providing information to the insurance
company.
Furthermore, by linking smart devices with smart contracts, it
is also possible to fully automatize the process.
17. Conclusion
Blockchain technology is a promising development that can support both
the digitalization of the port and enhance the efficiency of current supply
chain processes.
However, a number of questions and general concerns became apparent.
1. First, port logistics companies must clearly understand the benefits of block-
chain technology and determine whether it is really necessary for them to
have a database based on block-chain principles.
2. Second, a block-chain IT system should be fully understood. It is important
to consider alternative IT systems as well.
Once the decision has been made to invest in block-chain technology,
operating a block-chain on a low complexity level is preferred.
Further extensions could be developed afterwards to increase the network
size and complexity.
Editor's Notes
We want to make a common language across business and technology wrt this issue.
Here we are not going to explain the implementation details “how it is done in practice”. Our goal is to understand the concept only. To understand it better, we are going to explain the basic concept of BC in terms of money transaction.
Party A wants to transfer fund from china to the party B in Japan. This is typically done using third trusted party. For example 100$, 3rd party transfer the money after taking some fees say 2$, and the entire process takes 3 days/more.
But the BC enables to transfer money without trusted entity at the middle. Secondly, it does it faster than 3 days, actually immediately. And thirdly in cheaper than the 3rd party charges as fees.
Lets drive in into “How BC addresses this money transfer problem”. The first principle that we are going to talk about the “open laser”. I am going to illustrate the concept using an example. Let’s say we have a network of four people that actually wants to move money from one another. And lets assume, A has 10$ at the beginning, now lets see the concept of the open laser and how it is implemented in BC. Let say A wants to move money to B 5$. What is going to happen, we have to add a transaction that A moves to B 5$, and we are going to linked it with the already existed transaction. Then lets assume that B wants to move money to C 3$, so will do the same, link another transaction into the laser that B moves to C 3$. Finally, if we want to move 1$ from C to D, again we will do the same process. C moves to D 1$ and we link it to the open laser.
So, this is the concept of open laser. It is essentially a chain of transaction. And this is one of the reason, this is called BLOCK CHAIN.
Here, this is a chain of transaction that is open and public to everyone. What is give us it that, everyone within the network can see “Where the money is, how much each one in his pocket. Therefore, everyone can decide, whether a transaction is valid or not valid.
For example, if A wants to move 15$ to D, everyone in the network can immediately can see that this is not a valid transaction. Because A started with 10$, move out 5$ to B, A does not have 15$, therefore this transaction is not valid and will not be added to the open laser. So this transaction will be not the part of the chain.
Now we can move to the second principle of the BC. Look that we have a centralized place now, that managing the laser. But remember, the BC goes to get rid of the centralized system. So, the second principle is a “Distributed laser”, which means BC is going to take the place of centralized one and to be distributed across the network. D for example can have a copy of the laser and hold it in his note. A can do the same and has a copy of the laser. And anyone else participating in the network can hold the open laser and note all the event that happened in the laser. Now we got the laser is distributed and essentially we don’t need anymore the centralized place that hold the laser. We achieves the goal of getting rid of centralized trusted party.
However, we created another problem or a new problem. Now when there are vaious copes of laser in the network, we need to make sure that all these copies are synchronized and all the participents in the network see the same copy of the laser, same version of the laser.
And this means the sub-principle of the BC and which is probably the most interesting one.
We are understood already that the laser is open and everyone can see it. The laser is distributed across various nodes. And now what we need to understand is "how in this kind of distributed laser is synchronized across various nodes. Now lets we get an example. Let’s say, B wants to move D 5$. What B is going to do, B is going to publish and broadcast this intended transaction to the network, everyone in the network will see immediately that B wants to move 5$ to D. Since it is an unvalidated transaction, it is not getting yet into the laser. In order to get into the laser, we need to understand the concept of MINORs in BITCOIN. Minors are the special nodes which can hold the laser and in this case say A & C are the minors. Minors are going to do the following thing. Minors are going to compete among themselves who will be the first to take this transaction unvalidated one and put it into the laser to validate. The fisrt minor that will do that will get a financial reward, in this case BITCOIN. And try to understand, what it means to win the competition. In order to be the first that is to take the transaction and add it to the laser , a minor needs to do two things. First thing is to validate the new transaction, this is easy, the laser is open, and you can immediately calculate whether B does have the funds to make the transaction, this is easy. Second thing is that a minor needs to do is “to find a special key that will enable this minor to take the previous transaction and to this previous transaction lock the new transaction. In order to find this key, this minor needs to invest computational power and time, because the search for the key is random. The minor is repeatedly guessing new keys until it finds the first key that match this kind of random puzzle. The first one who will do that will get the financial reward.
Let see how the laser is synchronized across the laser. Say, C a minor will able to solve the puzzle, and be able to take this transaction and add it to its own laser. C will publish the solution to the entire network to broadcast. Others in the network will see immediately and understand the puzzle is already solved, the transaction is alrady validated and can be add to the laser and no point to solve the puzzle of transaction again, as there will be no financial reward. Then what all other minors will do. Say A for example, will immediately add this transaction to its own laser and will look for another transaction to work on and hopefully will get the financial reward next time.