Blockchain

Question 1

As an example - what problem does blockchain solve

Answer 1

Blockchain technology solves the problem of transfer of value between internet users without to rely on a third party, e.g., sending of Bitcoin or digital currency.
In addition, also record keeping.

Question 2

What is a distributed ledger

Answer 2

A distributed ledger, or shared ledger is a consensus of replicated, shared and synchronized digital data, geographically spread across multiple sites, countries and institutions. No central administrator or centralized storage - but data is synchronized across multiple nodes.

Question 3

What is a blockchain

Answer 3

Blockchain is a database or ledger, that maintains a continuously growing list of data records or transactions. The blockchain is a decentralized online record keeping system, or a public ledger of all transactions that have ever been executed. This is maintained b a network of computers that verify and record the transactions using established cryptographic techniques.

The chain contains all the blocks, from the start - genesis block, to the latest completed block. Blocks are added to the blockchain in a linear, chronological order.

Blocks are linked using cryptography. Each block contains a hash pointer or digital fingerprint as a link to the previous block, a timestamp and the transaction data itself.

Question 4

What are some of the advantages of putting transactions or data on a blockchain

Answer 4

1. data is immutable - cannot be changed
2. creation of world wide ledgers, e.g., intellectual property and land titles.
3. full transparency for every transaction.

Question 5

What is a smart contract?

Answer 5

Smart contracts allows for logic to be programmed ontop of the blockchain transactions. When a transaction takes place, the smart contract seamlessly executes the contract, e.g., derivatives contract.

Contract represents a series of If-then statements
Contract is self-governing and self executing

Smart contracts are immutable and transparent. Contract execution and fulfillment are automated.

Question 6

What are Oracles

Answer 6

Smart contracts are valuable because they can be executed depending on inputs from various sources. These in-puts may not be programmed into blockchain on which the smart contract reside. A smart contract can be programmed to receive input from outside the blockchain - from an oracle(trusted external source of data).

These Oracles can deliver information such a weather, prices and signify success or failure of execution for a specific smart contract.

For example, a biomedical firm hires a shipping company to transport its vaccines and requires
them to be kept at a certain temperature range during transit to ensure viability. Now adding an RFID thermometer, that accompanies its shipment, can serve as an oracle for the shipping smart contract.

If the temperature kept within the specific range,
as recorded by the thermometer, the thermometer can then sign the contract and transfer that information.
And therefore be the oracle that is executing the smart contract, and releasing the funds to the shipping company. No human intervention needed,
just a combination of blockchain technology and IoT.

Many believe that smart contracts will be the backbone of our global
transaction system in the not so far future

Question 7

What is an ICO

Answer 7

Initial Coin Offering - similar to crowd funding.
Works like IPO to raise capital. Used to raise funds for development of New Blockchain project. Distributing a % of the initial coin supply among early supporters

Question 8

How can organizations build TRUST via blockchain

Answer 8

1. Live up to unquestionable trust via blockchain based proof.
2. Inspire belief in the core vision and mission of product and your customer engagement model
3. Create circular economy of value with vision and mission by getting customer input and providing blockchain based proof to show it is possible.