This presentation gives a short introduction into the design-patterns that are used to create crypto-currencies and describes 4 basis-applications the technology can be used for: Oracles, decentralized payment systems, token-systems and identity systems

1. Things to do with a blockchain

2. Evolution of the
blockchain

3. Blockchain 1.0

4. Blockchain 2.0

5. Blockchain 3.0

6. Basics
Blockchain-Design

7. Basic Design
Alice Bob
Create
Read
Update
Delete
1 btc

8. Decentralized payment systems
Alice‘s
bank
Bobs
bank
Alice Bob
Edmund
Alice sent this
coin to me!
Alice
Bob
priv
pub
What if I send the
same coin to both
Edmund and Bob?

9. Consensus-Algorithm
PoW-Mining
▪ External resource (calculation power)
is used – the reward is the underlying
cryptocurrency
▪ Finality is achieved after ~ 6 blocks (in
Bitcoin)
▪ Randomness of participants due to the
mathematical problem
▪ Faster block solving times result in
less security
PoS-Mining
▪ Internal resource (relative stake of
coins) is used
▪ Randomness needs to come out of the
system
▪ Block solving times are limited by the
speed of the participants network
Choose a participant who creates the next block

10. Basic applications
Oracles, decentralized payment systems, token systems and identity systems

11. Oracles
Decentralized data stream
▪ Parties „bet“ on a specific result
▪ Median is defined and set as the
correct result
▪ All parties inside of a certain quantile
of the median get a reward
Central service provider
▪ A trustworthy third-party delivers
data to the blockchain
▪ Can be used by other programs on
the blockchain
Provide reliable external data to the blockchain

12. Decentralized payment systems
Oracle
4. Delivery confirmation
2 of 3
Oracle can be used if problems arise.
The tracking ID could bes used as a
proof that the delivery happened
Smart
contract
Buyer Seller
1. Payment of goods
2. Verification of the
payment
5. Allow transaction
to the seller 5. Allow transaction
to him or herself
6. With two of three
confirmations: Payment
goes to the seller
3. Delivery of goods

13. Token systems
Way of
minting
Automated
Directly
controlled
Tradeability
Freely Not tradeable
Divisibility
Freely divisible Not divisible
Amount
Fixed amount
Variable
amount

14. Identity systems
1. Data to service
2. Verification
3. Confirmation /
Denial
Smart
contract
pub pub
User Service
User
pub
KYC-Provider
Smart
contract
Website
1. Data to KYC-Provider
2. Post card with
verification code
3. Enter the
verification code
4. Confirmation
5. Registration

15. Thank you!
felix.albert1409@gmail.com
LinkedIn: Felix Albert