Identifying the Unidentified

Identity access and management (IAM) is perhaps one of the areas where Blockchain Technology (BCT) could make a real difference. Research I am currently undertaken indicates that over one hundred BCT startups around the globe are focusing on this area. Add to this number the many other startups and organizations who have been engaged with digital identity for many years now but do not use BCT.1 See this report by OneWorld Identity for details and examples.

Also, factor in target 16.9 of the UN Sustainable Development Goals (SDGs) that explicitly calls for universal legal identity provision, including birth registration for all children around the globe.2 Links to other SDG targets are listed here. The ID2020 global public-private partnership is now spearheading these efforts.

IAM

Read More

Endnotes   [ + ]

1. See this report by OneWorld Identity for details and examples.
2. Links to other SDG targets are listed here.

Blockchain Technology and Human Development

The blockchain tsunami has reached the shores of all seven continents in the world.  It would be fair to say most Capitals have been flooded, slowly coming to terms with the potential impact of the new technology. Cryptography, hashing, Merkle trees, peer-to-peer networks, distributed trust and governance, proof of work and stake algorithms, and smart contracts are a few of the buzzwords that many if not most are still trying to fully grasp. They come with the territory.

I started to follow Bitcoin from a distance in 2011. At the time, the cryptocurrency was closely associated with the Dark Web and dubious financial transactions. Two years later, blockchain technology (BCT) started to gain ground as perhaps the most relevant and innovative technology supporting cryptocurrencies. The creation

Read More

Blockchain ICOs Revisited

A couple of weeks ago, Coindesk launched an ICO tracker which seems quite comprehensive and includes data starting in 2014. It has information on 164 ICOs1 I downloaded the data on 18 August but was unable to replicate some of the charts Coindesk has on its web site. The data I downloaded ends on 27 July of this year whereas the  Coindesk site includes data until 31 July. and the data is expected to be updated every week or so.

In a recent post,  I shared some insights on the nature of ICOs. In a nutshell, ICOs should not be equated with crowdfunding nor are they comparable to the more traditional IPOs. What has really changed since my initial posting is the fact that SEC is now planning to get involved in the process and will soon start to regulate how ICOs are run and managed. In the

Read More

Endnotes   [ + ]

1. I downloaded the data on 18 August but was unable to replicate some of the charts Coindesk has on its web site. The data I downloaded ends on 27 July of this year whereas the  Coindesk site includes data until 31 July.

ICOs: Crowding-in Blockchains?

Nowadays, ICOs (or Initial Coin Offerings) are all the rage. Unlike traditional IPOs, ICOs allow startups to streamline the capital raising process while at the same time enhancing the number of potential investors.  While venture capital is still part of the equation, other non-traditional investors and stakeholders are more than welcome to join. How is this possible? Is venture capital being democratized?

By default, blockchain technology (BCT) has built-in financial incentives. In the now classic case of Bitcoin, such incentive is the generation of a cryptocurrency. Users mining the Bitcoin blockchain to process network transactions get rewarded a certain amount of Bitcoins for their efforts which are computationally expensive and power hungry. Without such incentive, Bitcoin network

Read More

Cryptocurrencies and WannaCry

I have been doing extensive research on Blockchain Technology (BCT) focusing on its potential impact in developing and emerging economies. In particular, I am exploring BCT role in tackling the most vexing socio-economic gaps in these countries. One of my early findings suggests that BCT usability might prove to be a formidable challenge for the billions of people sitting at the bottom of the pyramid.
Both cryptocurrencies and BCT use cryptographic tools with public key cryptography being at the core. The advantages are clear: These technologies enhance privacy, security and transparency, among others. From the end user perspective, however, using such tools in effective fashion might not be that simple. Recall how Snowden had a difficult time getting journalists to use encrypted channels

Read More

Blockchain Mining: Competition and (de)Centralization

“One-CPU-one-vote”.1 CPU stands for Central Processing Unit, nowadays also known as microprocessor. From a governance perspective, this is perhaps one of the most interesting phrases included in the original Bitcoin paper penned by a still anonymous author. Could we then say the goal is to build a democracy of devices, a CPU-democracy where each node has the same “power”, so to speak?

The phrase is part of the paper’s discussion of the so-called proof-of-work (PoW) algorithm.2 Needless to say, PoW is not the only algorithm used to add records to a blockchain. Others such as proof-of-stake and proof-of-value for example have been developed. As a decentralized peer-to-peer network, blockchain allows any CPU to run PoW. In principle, any network node could be a blockchain miner. Attaching

Read More

Endnotes   [ + ]

1. CPU stands for Central Processing Unit, nowadays also known as microprocessor.
2. Needless to say, PoW is not the only algorithm used to add records to a blockchain. Others such as proof-of-stake and proof-of-value for example have been developed.

Blockchain and the Future of Society

Alongside artificial intelligence and robotics, Blockchain technology is enjoying widespread popularity around the globe. The surrounding hype seems to increase by the minute. Pundits and supporters see a plethora of applications for the technology not limited just to the financial sector. But to the average person, Blockchain technology is mystifying, given its technical complexity. If you do not know what a nonce is, then you are not as cool as those who do.

blockchain2There are now plenty of books, papers and newspaper articles dealing with Blockchain. One of them, by Don Tapscott and his son, caught my attention. This book is a sound attempt to make a case for Blockchain as a disruptive technology that will impact most aspects of our lives – and not just financial services as first Read More

A “social” history of Bitcoin?

A recent article by one of its lead developers argues that Bitcoin, defined as an experiment, has utterly failed. While the initial concept was to develop a form of digital money that was completely decentralized and autonomous from any bank or institution, today Bitcoin is controlled by a few people. In addition, Bitcoin technology has now reached serious limitations that will prevent it from expanding in the near future. Is this really the case?

bitcoin1Created in late 2008 right after the bank bailouts by a still anonymous geek that used a Japanese-like name as an alias, Bitcoin has quickly gone from geekdom to stardom. The number of books published on the subject has grown exponentially since 2014. At the same time, banks and other financial institutions are now seriously thinking about adopting

Read More