Dr. Craig Wright on smart contract registries

Dr. Craig Wright took to one of his favorite stages recently to talk about Bitcoin BCH and smart contract registries. In a Medium post, Wright set out to detail how smart contracts could be introduced successfully on the blockchain and did an incredible job breaking down the specifics of any registry platform.

Wright points out that one of the major issues with contract management is the overwhelming amount of redundancy. Copies of the same contract are kept in a number of different locations, which is a logistical nightmare when any change or addendum is needed. Since contracts are often written in natural language, they can also be open to interpretation if not properly dissected during the drafting phase.

These obstacles, among several others, are the reason smart contacts make sense. However, several steps must be followed to have them implemented properly.

Some of the main requirements include formal definition of the contract so that it “can be formally interpreted and implemented by a machine, as well as converted into natural language,” explains Wright. Additionally, it’s important to be able to publish a contract so that everyone knows it exists, while not divulging any of the details, except to those with the need to know.

It is also important to consider including mechanisms that allow the contracts to be configured based on time and/or conditions. Perhaps a contract is only valid for 18 months or expire once the contract’s target has been fulfilled. Smart contracts will need to know what actions to take based on these criteria if they are to be effective.

The Bitcoin BCH blockchain already includes a number of features that make contract creation a breeze. Once the proper controls are added to the contract and it is registered in a repository, “the associated URI and hash can be used in accordance with using metadata within a Blockchain transaction to associate the transaction on the chain with the controlling contract itself,” explains Wright.

To ensure that any machine-readable contract can also have a human-readable version, Wright points out that he and the group at nChain are already working on a tool that will generate a readable document. This version would be delivered in in pdf format, or something similar that doesn’t allow for easy editing.

To ensure that only authorized individuals have access as appropriate to the contract, it can be secured by several means. The most basic security is offered through a hash check to ensure that there haven’t been any alterations. Additionally, the repository itself can be locked down and the contract can be digitally encrypted to limit access only to those who have the corresponding decryption keys.

Says Wright, “In many cases, the Contract itself will have partial protection on it. For example, some sections within the file are protected but the overall content is public. For example, the details of how to implement a fixed rate loan are published but the knowledge of who took out the loan, for how much and at what rate is known only to the contracting parties.”

Wright provides further details on the intricacies of contract creation and manipulation using the Bitcoin BCH blockchain, but it’s evident from the insightful piece that Bitcoin BCH already has everything it needs to facilitate contract creation and storage, and doesn’t need any modifications to enhance the platform.

Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.

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Marks Jewelers now accepts Bitcoin BCH, other cryptocurrencies

One of the most enduring jewelry retailers and designers in the US has decided to embrace cryptocurrencies. Pennsylvania-based Marks Jewelers announced in a press release yesterday that it has partnered with Shopping Cart Elite, an eCommerce payment platform, to give customers the ability to pay for their fine jewelry purchases with a variety of digital currencies.

Marks now accepts Bitcoin BCH, Bitcoin Core (BTC), Bitcoin Diamond (BCD), Bitcoin Gold (BTG), Ether (ETH), Litecoin (LTC), ZCoin (XZC) and Dash (DASH). It is the first time a major US-based retailer with a large physical presence has embraced cryptocurrency and shows how crypto is continuing to expand to fulfill its intended purpose – to be used as currency.

According to Marks Jewelers Director of Marketing Joshua Rubin, “We’re very excited to begin accepting cryptocurrency payments from our customers around the world. This will allow us to make our fine jewelry available to the global market while paying lower fees and avoiding chargebacks. Marks has long been known for our meticulous craftsmanship and curated selection, and we are thrilled to open our store to the world.”

Opening up its payment capabilities to crypto gives Marks’ customers access to its large portfolio of fine jewelry “with lightning-fast transactions that take just minutes to process.” Since cryptocurrency transaction fees are substantially lower than those associated with bank transfers and credit cards, “Marks Jewelers is able to pass on even more savings to customers buying their next dazzling piece of jewelry,” according to the announcement.

Marks has been around for over 35 years. The company doesn’t just provide resale options for jewelry; it designs jewelry, as well. The company has five gemologists that graduated from the Gemological Institute of America on its payroll to ensure that the quality of diamonds and gemstones is a cut above the rest. It is partnered with Forevermark, a company under the DeBeers umbrella of jewelers.

Shopping Cart Elite is an eCommerce platform that gives companies the ability to automate their businesses. It is gaining traction as a crypto payment facilitator and is capable of being integrated into any eCommerce platform, including those that are listed on large retail sites such as Amazon, NewEgg, Etsy and Walmart, among others.

Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.

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An evening of blockchain and Bitcoin Cash with nChain and Dr. Craig Wright recap

On the evening of October 4th at the St. David’s Hotel in Cardiff, nChain’s Jimmy Nguyen and Dr. Craig Wright keynoted an evening of Blockchain and Bitcoin BCH education, hosted by IP law experts, UDL.

After enjoying a happy hour session of cocktails, nibbles, tea and coffee, Blockchain and Bitcoin BCH enthusiasts from across the UK, Spain, Slovenia and beyond gathered for a short refresher on why Blockchain and Bitcoin BCH are set to change the world with Nguyen, a lesson on economics and how BCH fits in with Dr. Wright and a fruitful Q&A session with both experts covering more specific topics of interest from the audience.

Nguyen’s “The Power of Blockchain and Bitcoin Cash” presentation was high-energy and entertaining as always, highlighting the point that companies want to be the Netflix and not the Blockbuster of their industry and the key in doing so is by staying on top of the latest technology.

Nguyen walked the audience through Blockchain basics, explaining how Blockchain tech is a ledger system or a record keeping system, but without the intermediaries.

“Think of it is a big, giant excel spreadsheet in the sky, maintained by nodes and servers that are distributed throughout the world,” Nguyen explained.

He then went on to explain why Bitcoin Cash is going to be the leading, if not the only, Global Public Ledger. “Bitcoin BCH is the true Bitcoin and should be used every day, its fast, cheap and easy to use,” he said.

With Smart Contracts and Tokenization on the way, Bitcoin BCH is the “all-in-one” coin, the ledger of the future, Nguyen explained. Use cases for BCH and smart contracts include:

-IP registry

-Music & Content Rights Management

-Insurance information

-Property titles

-Smart insurance policies- no need to submit a claim!

And nChain is creating the building blocks to accomplish the above, he said.

Towards the conclusion of Nguyen’s presentation, he touched on Bitcoin SV, a new software implementation publicly supported and spearheaded by CoinGeek and nChain, a software implementation that is unique in fulfilling Satoshi’s vision.

“We believe Bitcoin needs an open protocol that is stable, scalable and secure,” Nguyen explained.

“We believe that path to that is Bitcoin SV. We want to put the control in the hands of the miners. Lets stop playing around and experimenting with the Bitcoin protocol. If we do that, we will unlock the full power of Blockchain. The BCH protocol needs to be built on solid rock, not sand, for global businesses to build on top,” he said.

Wright’s presentation echoed Nguyen’s call for Bitcoin SV support, explaining if you want to build a stable business, you need a stable protocol. He said a business needs certainty and if you create an app, a smart contract as a service, you need to know if will be valid in three, five or even ten years.

“Bitcoin is not just money…it is the foundation for everything that we see. Bitcoin was always the future—some want to stop this, it cannot be stopped. It’s a better technology—we’re going to stop it where it is and let businesses grow,” Wright said.

During the Q&A session with Nguyen and Dr. Wright, the role of miners in the Bitcoin BCH ecosystem was mentioned throughout with both parties emphasizing the vital importance of “miners choice” in bringing the Bitcoin BCH chain forward.

In response to concern from the audience that there could be a chain split due to disagreements over the direction of Bitcoin BCH, Both Dr. Wright and Nguyen independently said nChain does NOT want a chain split and Bitcoin SV’s intent is NOT to create a new token or a new coin.

“We are doing this to create a new choice for miners for implementation for Bitcoin Cash, one that doesn’t change,” Nguyen explained.

Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.

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ViaBTC mining pool captures $30M in ICO—and that’s a bad thing

A couple of days ago, word got around that one of the world’s largest cryptocurrency mining pools had conducted an initial coin offering (ICO) and had raised $30 million in a little more than two hours. It was the first time an ICO had been held on the Bitcoin BCH network and should be seen more as a failure than a success.

ViaBTC introduced a new cryptocurrency token, the VIAT, ahead of the ICO. The company has billed the token as a “value-added service privileges” coin that can be used as a tool of value transfer. There will be a fixed supply of 2 billion coins, of which 250 million will be shared among the company’s partners and 250 million will be distributed through community support. The remainder will be released over time to reward miners.

Per the coin’s white paper, “ViaBTC will buy back and “burn” VIAT with 20% of its quarterly revenue at the end of each quarter. This will reduce the total amount of VIAT steadily on a benign deflation model.” It would seem that the minds behind ViaBTC don’t fully comprehend the burn process or, if they do, are prepared to destroy the network. When you burn an asset, it becomes destroyed and, as such, means that any return seen on the asset is subsequently worthless.

The idea of burning is tied closely to the idea of Wormhole, the highly debated omni layer protocol that has already been shown to be less than beneficial for the Bitcoin BCH network. It’s no surprise that ViaBTC got its start thanks to a large investment by crypto mining company Bitmain, which supports Wormhole.

There are concerns that VIAT could be an unregistered security per China’s securities laws. Ultimately, this will depend on how ViaBTC uses funds collected from the ICO and whether or not holders of the digital currency earn dividends that might be considered as giving those investors a vested security interest in the company or its CoinEx exchange.

Referring to the distribution of tokens, there is a glaring red flag that pops up. ViaBTC indicates that it will give 250 million tokens to the platform’s partners. This equates to 1/8 being shared among the individuals. Given that ViaBTC has a substantial connection to Bitmain, it isn’t unrealistic to imagine that Bitmain will receive a significant amount of coins.

There are a couple of issues with this scenario. Bitmain has already been outed for questionable financial stability and, possibly, illegal activity—it announced that it was backed by several banks when it wasn’t and, according to internal documents, lied about its finances to investors. Additionally, any collaboration between Bitmain and ViaBTC can undoubtedly be viewed as collusion and will result in lack of decentralization.

Apart from these issues, in reviewing the white paper, there seems to be one important piece of information missing. Out of everything ViaBTC says of VIAT, there simply doesn’t seem to be any tangible utility of the coin.

Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.

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Pure profit and no risk: My first BCH transaction

At some point if you’re interested in crypto you have to jump in and start using it. This morning I jumped—albeit a little nervously. Here’s what happened.

I began by studying CoinGeek’s onboarding page:

Pure profit and no risk: my first BCH transaction

Since I hadn’t got a crypto wallet, I let CoinGeek help me set one up. After I’d agreed that I was in the UK, the next screen asked me to confirm I was using a Macbook. After a couple more pages like that, I was invited to create a wallet. I was shown a list of eight wallet-providers to choose from. I picked Bitcoin.com—for no particular reason—and downloaded the app on my phone.

Pure profit and no risk: my first BCH transaction

Great. I have an empty wallet. It’s just like real life!

Before I can start using it, there’s some housekeeping to do—which is to back up the wallet. Why? Well, as the app warns you “if this device is lost, it is impossible to access your funds without a backup”. That sounded like a good reason, so I went ahead.

Pure profit and no risk: my first BCH transaction

The backup turns out to be a string of ordinary words, which you are asked to write down (don’t screenshot as that wouldn’t be secure). I can’t show them here, obviously, but they’re the kinds of words an average Scrabble player might be quite pleased with. They look like some kind of puzzle or psychological test.

Pure profit and no risk: my first BCH transaction

The app won’t just take your word that you’ve written down the secret string of words. On the next screen, you have to reproduce them in the right order by tapping each in turn. If you don’t make a mistake, the app confirms that your wallet is now backed up.

So now you’ll all ready to go—except that you don’t have any money. I’m still a bit wary of using real money in the Bitcoin Cash world, but I remembered a screen I saw on the Bitcoin.com website:

Pure profit and no risk: my first BCH transaction

“Receive some free Bitcoin Cash in 3 easy steps”. I’ve already downloaded the wallet so there are only two steps left. I need to show Bitcoin.com how to send money to my wallet—by signing in with a Google account—and then going back to my phone, copying a QR code and tapping the Receive button at the bottom of the screen—like this:

Pure profit and no risk: my first BCH transaction

All that worked as predicted on the Bitcoin wallet. So then I opened Bitcoin.com to the same page on my phone—because that made it easy to paste the very long code I’d copied from the wallet.

And then, hey, free money appears in my wallet:

Pure profit and no risk: my first BCH transaction

I’m excited …until I see the next screen:

Pure profit and no risk: my first BCH transaction

Five cents. Well, it’s a start. And I’m in the crypto world.

Next time I’m going to learn how to get serious money into my wallet, and how to transfer BCH from one wallet to another.

Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.

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SVPool成功挖掘出首个比特币现金区块

比特币现金(BCH)公共矿池——SVPool于本周三正式挖掘出其首个比特币现金(BCH)区块,因此本周成为SVPool里程碑的一个重要节点。

10月10日下午2点12分(UTC时间),一个大小为7.15MB、高度为55185的区块被挖出,该区块包含25笔交易。根据Coin DanceBitfire公布的数据,尚无法正式确定SVPool是该笔交易的执行矿工,但是Coinbase上显示的付款地址为SVPool.com 

SVPool mines first Bitcoin BCH block

SVPool是由nChain的首席科学家克雷格·怀特博士(Dr. Craig Wright)以个人名义发起的一项计划,截至10月底,本计划尚处于上市测试阶段,仅限受邀人士参与。从11月份开始,SVPool将对公众完全开放。您可以点击本处注册报名加入矿池。

截至发稿时间,全球各地的数百位矿工已注册加入SVPool——人数远远超出9月份预注册的233位。这些报名加入SVPool的矿工大多来自美国、中国、英国、加拿大、澳大利亚与印度。矿池中还有一些矿工来自其他国家和地区,包括西班牙、南非、巴西、德国、韩国、日本、马来西亚、瑞典、委内瑞拉、俄罗斯、瑞士以及荷兰。

SVPool提供PPLNS(根据过去的N个股份來支付收益)作为初始模式,目前,正在努力开发更多功能以及PPS+(Pay-per-share plus)选项,预计将在十一月份正式推出。

CoinGeek Mining将负责SVPool的运营管理,为大大小小的矿工提供帮助并支付报酬,从而确保比特币现金真正实现去信任、去中心化系统属性。这一公共矿池与CoinGeek团结一心,坚信比特币现金是唯一一种可以实现中本聪愿景的、真正的比特币。

无独有偶,矿工们还受邀于2018年11月28日参加CoinGeek周的矿工日,该日将作为在伦敦举行的CoinGeek周大会的一项重要活动,届时SVPool团队与CoinGeek团队将亲临现场并与参会者共同探讨如何能帮助比特币现金发挥全部潜能。您可以通过Eventbrite预订参会席位,这次为期三天的盛大会议将成为今秋最为重要的一场比特币现金大会。

Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.

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Alexander Shulgin joins bComm Association as founding director

Musician turned cryptocurrency investor Alexander Shulgin has joined bComm Association as a founding director.

The multi-awarded Russian Siberian composer, with more than 50 No. 1 hit songs, is probably best known for “successfully walking the line between rock and classical music.” After the fall of the Berlin Wall, however, Shulgin has spread his wings, becoming an entrepreneur and investor in new technologies.

Shulgin currently manages Gruppa Kompaniy Familia, which specializes in investments in blockchain technology, new media, publishing, and entertainment sectors. The 54-year-old is considered one of the global experts in topics such as Transformation of Global Economy, Creative Economy, blockchain tech, and media, entertainment and sports (MES) sector, and takes part in exhibitions and conferences around the world.

Now, the world-famous Russian composer, not to mention Russia’ most prolific investor in new technology, adds a new feather to his cap—becoming a founding director of the bComm Association, a global network that brings together merchants, developers, miners and exchanges in the Bitcoin BCH community creating the first dedicated platform for bCommerce.

Shulgin joins other bComm Association founding directors: nChain CEO Jimmy Nguyen, Rawpool founder David Li, and Ayre Media Europe General Manager Emmanuel Duran Campana.

All founding members are leaders in various areas of the BCH community; however, the membership is open to more than BCH proponents and businesses. The bComm Association is free to join and open to all crypto enthusiasts and laypeople who want to learn and explore Bitcoin BCH with the hopes of bringing people together and facilitate communication.

Interested in learning more about bComm Association and Bitcoin BCH? Meet with the founding members at the upcoming CoinGeek Week Conference, happening in London on Nov. 28-30, and learn more about how you can help spread the adoption of crypto as a legitimate alternative to fiat currency. Tickets to the three-day conference are still available via Eventbrite.

Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.

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BitPay now accepts Bitcoin BCH payments through CoinText

The CoinText Bitcoin BCH wallet was only introduced a few months ago. However, it has continued to innovate and gain a significant user base, most recently expanding into Israel, Palestine and Hong Kong. Now, the wallet’s developers have taken things a step further and have announced that users can make BitPay invoices payments with the wallet.

CoinText works differently than other wallets. It allows a wallet user to send Bitcoin BCH to anyone using either a Bitcoin BCH address or a telephone number. It has received substantial praise for being able to provide cryptocurrency functionality to those where the Internet is not present and for providing a method for individuals to still be able to conduct business in the event that the Internet goes down.

With the latest integration, Bitcoin BCH adoption and acceptance gets a little easier. Any time there are more options to make payments, the ecosystem benefits. Typically, making BitPay payments isn’t a hassle, but having the CoinText option ensures that there is more flexibility and a secondary system in place, should it be needed.

Through the new feature, CoinText wallet users can freely spend Bitcoin BCH at any retailer that uses BitPay through a simple SMS text message. Depending on where the user and retailer are located, this is a huge advantage, as some malls in certain countries, for example, have no Internet access, or a saturation issue that makes it difficult to connect in a timely manner.

An individual doesn’t need to have a CoinText wallet to receive a transfer. If Bitcoin BCH is sent to a phone number that’s stored in a smartphone’s address book, CoinText will automatically create the wallet and deposit the currency. From there, that user will also be provided a link to instructions on how to use cryptocurrency and the wallet.

The addition of the BitPay support may not seem like a big deal to crypto enthusiasts in Western countries, but it should definitely be a huge success in developing and third-world countries. It’s another example of how cryptocurrencies – especially Bitcoin BCH – are continuing to develop and an important step to expand adoption of Bitcoin BCH, the only cryptocurrency that has maintained a retail focus among the digital currencies now available.

CoinText is now available in the US, 16 countries in the European Union, South Africa, Mexico, Chile, Hong Kong, Israel and Palestine. Its beauty is in its simplicity and the ability to literally reach anyone, anywhere in the world with nothing more than a phone number.

Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.

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Blockchains in the enterprise: The different types of blockchains

This is a guest contribution by Jeri DeBitto. If you would like to submit a contribution please contact Bill Beatty or submission details. Thank you.

In this series, I’d like to evaluate and explore the value of blockchains in the enterprise, and the obstacles that most enterprises face in adopting a blockchain strategy. This will be a comprehensive study of all the issues that surround the adoption of blockchains in the enterprise.

Enterprises have very unique requirements when it comes to blockchains. Of course the appeal of having a shared ledger in which one party does not need to be the sole administrator nor supporter of the network is very appealing. There is much potential to saving costs and also removing a whole class of errors that could occur in a system that is centrally administered.

This article will discuss the considerations of enterprise blockchain use, starting with the general classes of blockchains and distributed ledgers that are under consideration and their ideal use cases, the tradeoffs that the different blockchains make in comparison with traditional databases, and finally, the unique considerations that any enterprise must consider when evaluating whether or not to utilize a blockchain strategy.

The different types of blockchains

Private or public ledger?

The issue of whether or not to use a public or private ledger is the most fundamental question that your enterprise needs to grapple with. They are fundamentally different in terms of the use case that they address. Private blockchains or permissioned blockchains (shared within a group of trusted parties) are more synonymous with a multiparty shared database, with a signed transaction history. Therefore we will mostly be speaking about permission-less blockchains, such as Bitcoin, Ethereum or Ripple. It is worth mentioning that each of these blockchains have different degrees of permission-less participation, which we will speak more on later.

Do you need your data to be publicly verified? Or do validators need to be approved by a central authority? The answer depends on whether or not you want to have central administrative control over the ledger, shared control, or no control? Are you interested in blockchains simply because of their fail-over data resiliency? Should the costs of the infrastructure be shared between participants? Or run for free by the network itself?

Permissioned vs permission-less blockchains

Most of the time when dealing with enterprises with an existing association of partners, a permissioned blockchain is sufficient as the information need not be trusted beyond the closed circle of validators.

In the case where the information needs to incorporate outside information or tokens, then the use of a permission-less blockchain is more appropriate as the possibility of atomic swaps between asset tokens on the public blockchain will greatly simplify settlement in tokens other that the native one.

What are the benefits of permissioned blockchains? For one they have very fast transaction finality. Ledger inconsistencies can be resolved by a quorum of the validators.

By comparison, permission-less blockchains due to their lack of coordinated governance, their consistency is only eventually guaranteed, but not immediately guaranteed. Some permission-less blockchains have come very close to rivaling the finality of permissioned ones, by way of sacrificing some other aspects of the design.

As all of the aforementioned blockchains (or more correctly termed distributed ledgers, as Ripple and Stellar are not blockchains) are ostensibly permission-less to a degree, we should examine the differences between each in terms of their permissioned status.

Bitcoin (Bitcoin Cash):

1. Permission-less validation
2. Permission-less participation
3. Infrastructure is self-supported by validators through built-in economic model
4. Highly available
5. Highly partition resilient
6. Eventually Consistent (~10m)
7. Highly Scalable

Ripple (Stellar)

1. Somewhat Permission-less validation
2. Permission-less participation
3. Infrastructure is funded by participants and validators alike.
4. Highly available
5. Somewhat partition resilient
6. Highly consistent
7. Somewhat Scalable

Ethereum:

1. Permission-less validation
2. Permission-less participation
3. Infrastructure is self-funded by validators through built-in economic model
4. Highly available
5. Highly partition resilient
6. Very good consistent (~30sec)
7. Poor Scalability

In a chart summary:

You can see that depending on the needs of the enterprise, the different blockchain technologies may be appropriate. All of the above technologies are permission-less, but they all make some tradeoffs to achieve this. If your enterprise needs a solution that is highly available, consistent, partition resistant and scalable then the best solution is to run a completely private database system, which is accessible only by permissioned users.

Bitcoin:
Bitcoin is the base line for comparison as it was the first blockchain. It sacrifices some consistency for the fact that only validators need to run full network nodes and the fact that the validators need not coordinate with each other. It sacrifices scalability in exchange for keeping the requirements for running a full network node low, so that participants still have the option to keep the whole ledger, without being validators for the network. Attempts to make up for the scalability sacrifice by pushing transactions to off-chain payment channel networks such as Lightning.

Bitcoin Cash:
Bitcoin Cash is largely the same model as Bitcoin with the exception that it does not sacrifice forward scalability for the option to cheaply run full network nodes by network users. Instead it focuses on the use of SPV (light) clients which only validate their own transactions, for users, and only network miners need to run full nodes (although many businesses such as exchanges may still opt to).

Ripple:
Not a blockchain proper, but a distributed ledger. Partition resistance is sacrificed for high consistency (within a partition). Nodes keep a list of the other nodes that it knows about and trusts and only messages from those nodes which are on the trusted list are validated and further passed along to a node’s peers. Therefore, the most efficient network topology of a Ripple network would be a group of nodes which all trust each other. (This is the same for a Bitcoin network of miners). Scalability suffers somewhat by the fact that there are no light clients, and all clients need to be consistent and in sync with the rest of the network in order to create a transaction. There is no such thing as an offline transaction creation. (Therefore removing some use cases where the offline creation and private sharing of transactions may be useful). Ripple is unlike the other blockchains evaluated because it does not have a native economic model. Its native token is a virtual token created privately and distributed to partners of Ripple Labs directly.

Ethereum:
A cross between Bitcoin and Ripple, it shares the same general validation model as Bitcoin (mining) though developers want to transition it to be a staked system. (With time locked bonded stakes earning the right to validate and earn inflation interest). Ethereum was initially planned to be a smart contract layer on top of Bitcoin, but due to the restrictions that the BTC core developers put onto the system the founders of Ethereum decided to create their own blockchain and fund the development with an ICO of its own token network instead. Ethereum sacrifices forward scalability for flexibility in smart contract expressivity, enforcing that every validator execute every smart contract code independently and redundantly.

Economic model? Or just a ledger infrastructure?
Does it matter if the blockchain has its own economic model? Most permission-less blockchains come with their own economic model, that is because of the decentralized nature of the validators (miners in a PoW system) there must be a way for the validators to be reimbursed for their resources committed to building out the network infrastructure. For a permissioned blockchain this is not necessary, nor even desired. Any economic model (such as controlled distribution of native tokens) is normally controlled out-of-system. This is acceptable because there is an implied level of trust between the validators and their cohorts. Normally the native token in such a system, has little intrinsic value beyond that of a utility token for the use of the network paid by the participants who do not contribute infrastructure themselves.

Transaction immutability or reversibility
Do you need the transactions to be irreversible? (If no, then evaluate whether or not your business case can be served with just a database. If you need immutability then the permissioned blockchain will do if you are okay with the notion that transactions are only as immutable as having the verifiers of the blockchain agree on changes. Permission-less blockchains will have validators or miners which are operating under their own economic model which is separate from your business, and thus would be effectively immutable.

Validators vs miners
Distributed ledgers have validators. The same role is performed by miners in a blockchain. The difference between the 2 is that validators are necessarily participants in the network as primarily users, (albeit likely large ones), while miners operate as their own businesses with their own economic model.

This provides for a measure of isolation for the businesses that want to use the blockchain, because you can be relatively certain that the miners will act independently and in their own best interests, instead of interfering with users. In fact, the economic model of mining on blockchains is such that miners which are seen to be violating the consensus rules or even social ones can be easily identified, and the network will penalize them. This is much harder to detect in distributed ledger systems, as the validators do not publish a proof of their work in a form which is public and transparent for the world to see. It would be much more difficult to determine if a cartel of validators were to deliberately censoring certain transactions from certain users.

This concludes the overview of the blockchains technologies which are popular considerations for enterprises, and gives a sufficient introduction to the general characteristics of each. In part II of this series, I’ll explore some of the common application use cases that enterprises look for and evaluate how each of the technologies fairs in these applications in turn.

Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.

The post Blockchains in the enterprise: The different types of blockchains appeared first on Coingeek.

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London Bitcoin Cash Speaker Series II returns on Oct. 25

The Bitcoin Cash Speaker Series is back, and it promises to be better than ever.

On Oct. 25, members of crypto community will gather again in London for another evening of discussions on the developments in the Bitcoin BCH ecosystem. According to event co-organizer Cryptartica, one of the goals of the London Bitcoin Cash Speaker Series II—the follow-up to the first Speaker Series event in July—is “to nurture the local BCH community in London.”

Among the lineup are Kenneth Haugaard, director of business development at CoinGeek, and Gabriel Cardona, senior BCH developer at Bitcoin.com and founder of BitBox, who will discuss how their companies and projects are helping spread Bitcoin BCH adoption.

Martin Dempster, VP of innovation at BrewDog UK, will also speak about the company’s experience in adopting BCH. The bar will be accepting Bitcoin BCH as payment at its Canary Wharf bar starting Oct. 19, but BrewDog is looking at expanding its BCH acceptance beyond just that location. On its website, the company said, “[W]e hope to eventually roll out this way of paying into all of our UK BrewDog Bars.”

The second half of the evening will see the focus of the discussions shift towards wallets. Alex Agut and Rafael Seibane, founders of HandCash, will talk about their journey towards creating a user-friendly wallet. In an interview with CoinGeek, Agut said the goal of HandCash is to create a Bitcoin BCH wallet that works the same way as cash would.

“Already, using Bitcoin Cash is an incentive. Because of low fees and instant transactions, they are more reliable and so we are working on a very, very secure zero-confirmation protocol so merchants can be secure that all the funds are in place and they get the money,” Agut said.

Alejandro de la Torre, VP for business and operations at BTC.com, will close the night.

The London Bitcoin Cash Speaker Series II is co-organized by Cryptartica and CoinGeek, and supported by partners Bitcoin Cash Association (BCA) and Bitcoin.com. The event will take place on Oct. 25 at Huckletree, located in the trendy Shoreditch ditch, from 6 p.m. to 9 p.m.

The event is free, but RSVP is required given the limited space. Register here and secure your seat now.

Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.

The post London Bitcoin Cash Speaker Series II returns on Oct. 25 appeared first on Coingeek.

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