ThynkBlynk is creating ChainTrail.com, an online subscription service powered by blockchain that enables identity-attribute based transactions to be executed securely, efficiently and digitally. Co-founded by executives with over 60 years of combined international experience, ChainTrail.com will offer a global marketplace with local solutions. The presentation discusses what blockchain is, how it differs from traditional databases, examples of public and private blockchain applications, and how ChainTrail.com aims to change transactions by providing a unified network for storing and transacting with digitally verified credentials.

1. Verifiable Claims, Seamless Transactions
BLOCKCHAIN DEMYSTIFIED – AN INTERACTIVE SESSION

2. About ThynkBlynk
◉ Incorporated in India and US, ThynkBlynk is creating
ChainTrail.Com, a subscription based online service on
the Blockchain that enables identity attributes based
transactions to be executed Securely, Efficiently and
Digitally
◉ Co-Founded by a team of executives with
combined international & cross-industry
experience of over 60 years with business
relationships in over 20 countries, our service is for
the Global Marketplace, offering Local Solutions

3. Today’s Discussion
◉ Blockchain – What is it really?
◉ Is BITCOIN and BLOCKCHAIN the same thing?
◉ What is a Distributed Database? Is Blockchain really a database?
◉ What is ThynkBlynk & rest of the world doing with Blockchain?

4. Introduction to Blockchain

5. What is Blockchain?
Definition taken from Blockgeeks.Com
The blockchain is an undeniably ingenious invention – the brainchild of a person or group of
people known by the pseudonym, Satoshi Nakamoto. By allowing digital information to be
distributed but not copied, blockchain technology created the backbone of a new type of
internet. Originally devised for the digital currency, Bitcoin, the tech community is now
finding other potential uses for the technology.
IMMUTABLE VERIFIABLE

6. New type of internet
The Blockchain is a distributed database or ledger that anyone
can connect to either publicly or by being a part of a
consortium. It rides the internet backbone and is like the
internet itself - An information super highway except that you
can rely on the information, can transact with it securely and
exchange value or data with parties who you do not know but
can Trust - Establishing ‘Inter-Party Trust’ that is difficult to
achieve with the open internet. Hence the ‘New type of
Internet’ emerges.
What is Blockchain?

7. Is BITCOIN & BLOCKCHAIN the same thing?
One Simple way to answer the question is this: The Bitcoin cannot exist without the Blockchain.
Blockchain of course, is doing other things and will outlive the BITCOIN.

8. TRUST = EMPOWERMENT
Credit: https://www2.deloitte.com/content/dam/Deloitte/au/Images/infographics/au-deloitte-technology-bitcoin-blockchain-distributed-ledgers-180416.pdf
Distributed Ledger or Database
Hosts in the Blockchain context
are called ‘Nodes’. The common
rules that all nodes follow to
establish validity of incoming data
is called ‘Consensus’. The process
of validating incoming data using
consensus rules is called ‘Mining’.

9. Is Blockchain really a database?
One Way Hash Function
No – At least not in a conventional way! You can’t store large amounts of data on the
Blockchain. Ever wonder why? But you can do clever things to ensure any amount of
data is made immutable and verifiable

10. Blockchain applications

11. Public Vs Permissioned (Private) Blockchain
Public blockchains: a public blockchain is a blockchain that
anyone in the world can read, anyone in the world can send
transactions to and expect to see them included if they are
valid, and anyone in the world can participate in
the consensus process
Consortium blockchains: a consortium blockchain is a
blockchain where the consensus process is controlled by a
pre-selected set of nodes; for example, one might imagine a
consortium of 15 financial institutions, each of which
operates a node and of which 10 must sign every block in
order for the block to be valid.
Fully private blockchains: a fully private blockchain is a
blockchain where write permissions are kept centralized to
one organization. Read permissions may be public or
restricted to an arbitrary extent.
Privacy is a universal human
right & data confidentiality
standards are well defined laws
in most jurisdictions
https://blog.ethereum.org/2015/08/07/on-public-and-private-blockchains/

12. Ecosystem confirms claims of Individuals
& Institutions empowering users &
enabling Faster & Cheaper transactions
Blockchain ensures data is digital,
100% authentic, immutable and
detailed data trail lasts forever
Online Secure Service to store & transact with digitally original
credentials + 100% verifiability + keep immutable history

13. Chaintrail.Com – How does it change things?
Online Storage
Solutions
eSignature
Solutions
Ecosystem &
Networking =
Social Media
Transactions
= eMail
Claims need 3rd
party verification
Current
Context
Different Systems,
No Trust
Online Storage of Transact-able, eSigned & Verifiable
Credentials Issued by Ecosystem. All in One Place.
Blockchain enables TRUST
operated by Ecosystem
New CHAINtrail
driven context
Ready to use transaction templates + Custom Transactions

14. Chaintrail.Com – How does it change things?
People, Businesses &
Institutions generate,
store, issue & transact
with Authenticated Digital
Credentials using
enforceable eSignatures
Receiving parties
will be empowered
with verifiability
from within or
outside Chaintrail
All Chaintrail users, Businesses & Individuals, can access a pre-populated
global transaction library to create & execute transactions at lightening
speed
Authenticity Verifiability
One Stop Shop
Empowerment
Life-time credentials in
one place ready to be
transacted. Not spread
across eMails, online
boxes, drives & hard
copy briefcases.
ONE UNIFIED
NETWORK OF TRUST
Powered by Businesses
& Individuals. Globally.
Plug-n-Play
Transactions’ Library

15. Use-Cases: Government
• Blockchain Notarization Services to e-Residents
• Estonian settling and clearing business by Nasdaq
• Land Registry on Blockchain
• UK Gov’t is Trialing the Blockchain for Welfare & Pensions
• Identity - Immigration
• Australian Securities Exchange (ASX) considering migration to a
Blockchain-based settlement system by the end of 2017
• Dubai Wants All Government Documents on Blockchain By 2020

16. Use-Cases: Private Sector
• First Real Property Ownership Transfer Recorded on the
Blockchain with Ubitquity
• ICICI Bank executes India’s first banking transactions on
blockchain in partnership with Emirates NBD
• Santander Becomes First U.K. Bank to Introduce Blockchain
Technology for International Payments
• Everledger: blockchain-based diamond fraud detection
• Blockchain for Open Sharing of Academic Proficiency and Progress
Records

17. Smart Contracts
Credit: http://www.kwm.com/en/au/knowledge/insights/10-things-you-need-to-know-smart-contracts-20160630,
http://www.blockchaintechnologies.com/blockchain-smart-contracts
A smart contract is an agreement that is fully or partially automated using software to
facilitate execution, enforcement and performance underlying that contract.
Key Benefits
• Contracts become Efficient, Faster and Improve Underlying Performance
• An agreement does not need to be completely automated to be a smart contract.
• Combined with other technology like Blockchain, smart contracts have transformative potential
• It is still early days. Really early days.
Smart contracts for the music industry - In this use case, a public blockchain could
keep track of ownership rights. These rights & usage conditions could be publicly
accessible to all. Furthermore, the transfer of royalty payments could be real time
and the smart contract could ensure that each time a payment is generated for a
given work, the money would be automatically split according to the set terms, and
each party’s account would instantly reflect the additional revenue.

18. Q & A

19. Any remaining questions ?
You can find us at
◉ www.thynkblynk.com
◉ parag.jain@thynkblynk.com
Thanks!

20. More Information

21. Distributed Ledgers, Systems
TRUST = EMPOWERMENT
Credit: https://www2.deloitte.com/content/dam/Deloitte/au/Images/infographics/au-deloitte-technology-bitcoin-blockchain-distributed-ledgers-180416.pdf

22. Distributed Ledgers’ Landscape
Credit: https://assets.kpmg.com/content/dam/kpmg/pdf/2016/06/kpmg-blockchain-consensus-mechanism.pdf

23. Cryptography
Cryptography is the science of using mathematics to encrypt and decrypt data.
Conventional
Cryptography
Public Key
Cryptography
Credit: ‘The Basics of Cryptography’, Phil Zimmermann
Digital Signatures
One Way
Hash Function

24. Cryptography
Cryptography is the science of using mathematics to encrypt and decrypt data.
An extremely simple example of conventional cryptography is a substitution
cipher. A substitution cipher substitutes one piece of information for another.
In conventional cryptography, also called secret-key or symmetric-key
encryption, one key is used both for encryption and decryption.
Public key cryptography is an asymmetric scheme that uses a pair of keys for
encryption: a public key, which encrypts data, and a corresponding private, or
secret key for decryption. You publish your public key to the world while keeping
your private key secret. Anyone with a copy of your public key can then encrypt
information that only you can read. Even people you have never met.
Credit: ‘The Basics of Cryptography’, Phil Zimmermann

25. Digital Signatures & One way Hashes
A major benefit of public key cryptography is that it provides a method for employing
digital signatures. Digital signatures enable the recipient of information to verify the
authenticity of the information’s origin, and also verify that the information is intact.
Thus, public key digital signatures provide authentication and data integrity. A digital
signature also provides non-repudiation, which means that it prevents the sender from
claiming that he or she did not actually send the information.
The system described above has some problems. It is slow, and it produces an
enormous volume of data—at least double the size of the original information. An
improvement on the above scheme is the addition of a one-way hash function in the
process. A one-way hash function takes variable-length input—in this case, a message
of any length, even thousands or millions of bits—and produces a fixed-length output;
say, 160-bits. The hash function ensures that, if the information is changed in any
way—even by just one bit—an entirely different output value is produced.
Credit: ‘The Basics of Cryptography’, Phil Zimmermann

26. Merkel Tree
A Merkle tree is a hash based data structure that is a generalization of the hash list. It is
a tree structure in which each leaf node is a hash of a block of data, and each non-leaf node is a hash of
its children. Merkle trees are used in distributed systems for efficient data verification – Merkel Proofs
In the figure alongside, a node can prove that a
transaction K is included in the block by producing a
merkle path that is only four 32-byte hashes long (128
bytes total). The path consists of the four hashes (noted
in blue) HL, HIJ, HMNOP and HABCDEFGH. With those four
hashes provided as an authentication path, any node
can prove that HK (noted in green in the diagram) is
included in the merkle root by computing four
additional pair-wise hashes HKL, HIJKL, HIJKLMNOP, and the
merkle tree root (outlined in a dotted line in the
diagram).
Root Hash: Public & Trusted
Credit: https://www.weusecoins.com/what-is-a-merkle-tree/, http://www.blockchaintechnologies.com/blockchain-mining

27. Consensus Mechanism
In distributed ledgers, a consensus mechanism
is the way in which a majority (or, in some
mechanisms, all) of network members agree
on the value of a piece of data or a proposed
transaction, which then updates the ledger. In
other words, a consensus mechanism is a set
of rules and procedures that maintains a
coherent set of facts among the participating
nodes.
How consensus mechanisms work
Basic parameters that define a consensus mechanism:
Decentralized governance: A single central authority cannot provide
transaction nality.
Quorum structure: Nodes exchange messages in prede ned ways, which
may include stages or tiers.
Authentication: This process provides means to verify the participants’
identities.
Integrity: It enforces the validation of the transaction integrity (e.g.,
mathematically through cryptography).
Nonrepudiation: This provides means to verify that the supposed sender
really sent the message.
Privacy: It helps ensure that only the intended recipient can read the message.
Fault tolerance: The network operates efficiently and quickly, even if some
nodes or servers fail or are slow.
Performance: It considers throughput, liveness, scalability, and latency
Credit: KPMG Paper on Consensus Mechanism

28. Consensus Mechanisms’ Landscape
Credit: KPMG Paper on
Consensus Mechanism

29. Transactions & Mining
Mining refers to the distributed computational review process performed on each "block" of data in a
"block-chain". This allows for achievement of consensus in an environment where neither party
knows or trusts each other. The process is carried out by Miners
Credit: http://www.blockchaintechnologies.com/blockchain-mining#sthash.cc3W9Ie1.dpuf, http://www.coindesk.com/information/how-bitcoin-mining-works/
When a block of transactions is created, miners put it
through a process. They take the information in the
block, and apply a mathematical formula to it, turning
it into a Hash. The bitcoin protocol won’t just accept
any old hash. It demands that a block’s hash has to
look a certain way; it must have a certain number of
zeroes at the start.
Miners continually change the data they’re using to create a different hash without meddling with transaction
data. They do this using another, random piece of data called a ‘nonce’. This is used with the transaction data
to create a hash. If the hash doesn’t fit the required format, the nonce is changed, and the whole thing is
hashed again.