PowerPoint

The Future of Fintech and Blockchain

Speaker: Prof David Lee Kuo Chuen

Stone Age

In 1946, the birth of ENIAC ( the 1st generation computer)

Agriculture Age

In 1991, the birth of the first web site (Internet).

Industrial Age

Cloud computing framework taking over of the client/server framework.

Bronze/Iron Age

In 1977, the birth of Apple II, and in 1981 the birth of IBM (Intel 8088 )- PC

sourcehttp://www.wtoutiao.com/p/156D8bB.html

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Industrialisation Manual labour replace by Machine productionThe development of the modern computers and internet is a proven fact.

Centralization of authority Key characteristic of feudalism The essence of cloud computing is to provide a single platform to consolidate the hardware, and software resources administered by different groups in different regions.

Why cloud computing belongs to the Feudal Industrial Age

Althoughcloud computing has brought down the cost of operation efficiently butCentralisation "has its shortcomings too

Data security.Disconnection between cloud computing and terminal server.Challenges to data accountability & trust mechanism. sourcehttp://www.wtoutiao.com/p/156D8bB.html

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2. 800

3. PKI / SSLIT

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Is there a technology to overcome these shortcomings ?One of the answers is Blockchain

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In October 2015, the 1st Global Blockchain Summit was held in Shanghai. Geeks, entrepreneurs, academic experts, investors, corporate executives, and regulatory policy makers gathered and discussed the business applications and opportunities of blockchain technology in industry, such as Payment, Internet of Things, securities trading, digital assets management. Over 200 guests from the financial industry, including banking, payments, securities and commodities attended the summit.sourcehttp://www.8btc.com/wanxiang-blockchain-labs-20151015

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In a 20th January release, The Peoples Bank of China (PBoC) said that it is moving toward the launch of its own cryptocurrency. The bank wants to use its control over the currency to reduce money laundering, tax evasion and other criminal acts. Blockchain will form the backbone of its cryptocurrency.sourcehttp://www.wtoutiao.com/p/156D8bB.html

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An Intro to Blockchain

BlockchainDecentralised Database- First used in Bitcoin

Encrypted transactionStep 1Block

Every online transaction is represented in a blockStep 2Each block record, is distributed to all the participants

Step 3Participants validate the block - transaction record

Step 4Step 5The block is added to the block chain- the transaction is recordedStep 6Transaction completed

Encrypted transaction

BlockchainPublic chainsPrivate chainsConsortium ChainsFully Private ChainsE.g.R3 CEVE.g.BitcoinTypes of BlockchainFeatures of BlockchainDecentralisedData is replicated on all the nodes in a P2P network, and each nodes copy of the data is identical to every other nodes copyConsensus mechanismAll users in the network can come to collectively agree on the validity of the data recordedIrreversibility and crypto securityOne would need to command at least 51% of the computing power of all mining nodes to take control of the block chain -to overturn the consensus blockchain.OpennessData is open to all on the P2P networkAnonymityIndividual parties are never identified. Instead, security keys (public and private key pairs) are required to gain access to transaction output.MultiplatformEvery blockchain node has the same calculation and data structure. Any platform will be able to compute the node.sourcehttp://www.8btc.com/what-is-blockchain; http:// community.qingcloud.com; https://blog.ethereum.org

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Bitmain introduce dedicated mining device AntMiner S7, and AntRoutersourcehttps://www.bitmaintech.com/product.htmAntMiner S7 with 4.73th/sLess energy, more efficientAntRouter is a wireless networking device containing a bitcoin mining chip

Telecommunications

Voting

Healthcare

Nortarizastion

Banking

Equity brokerage &Exchanges

Insurance

Web Domain

Internet ofThingsMorearecomingApplications of Blockchain in different Domains

Stock/Securities Exchange1 Bitshares system2 Blockchain Equity Exchange System.Real-time exchange; total transparencyAll corporates can self issue their securities.Open source systemenable tens of thousand of transactions per second.Use mainly for the transactions of Private companies shares.Overstock and project Link by NASDAQ are developing this system.

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BankingE.g. Cash transferPresentYou>bank>friendFutureYou>friendBIS research reportThe development of block chain technology will change how central banks operate. Benefits of block chain that banks can leverage onSecurity: irreversible, immutable, traceableEase of governance : Utilises name base block chain, every node will be identified, e.g. alliances, issuers, general usersLow operating cost : Reduce the cost of transactionsShortened the settlement time of financial transactions: UBS white paper: business process time can be reduced to 15 seconds.Santander bank: using blockchain technology will help the banking sector to reduce expenses by 20 million USD.Lower counter party risks

sourcehttp://www.businessinsider.sg/11-banks-in-r3-consortium-use-blockchain-technology-to-trade-2016-1/?r=UK&IR=T

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Banking R3

Blockchain applications for bankingFrom vision to realisationR3 (R3CEV LLC) leads a consortium of 42 financial companies in research and development of blockchain usage in the financial system.11 banks conducted trials on transactions through distributed ledger using Ethereum and Microsoft Azure.

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InsuranceTraditional coverage systemDecentralised coverage systemAll data is recorded into the blockchain.Any user can start and end their insurance coverage at anytime.No need for insurance funding pool.Mode of insurance coverageIrreversible, immutable and impartial, ensure self authentication and fairness.

The decentralised system remove the need for middleman, which ensure high utilization of the fund.Advantages

P2P lending

MoneyCircles is a mobile-decentralised P2P Savings & Loans marketplace built on private blockchain technology.

Through smart contract, MoneyCircles let people with a common bond, save & borrow from each other -a kind of credit union in the cloud, but without the usual costs and restrictions. Core Advantage*No black box mechanism or money pool issues. *Transaction flows are open and transparent. *All users can monitor where the funds are transferred to and how the fund will be used.

Millions of savers have money trapped in low interest savings accounts with institutions who want to lend, but may not be profitable for these institutions. Savers desire better rates and want their money put to better use. MoneyCircles.com aims to reconcile these two parts of the market, by making saving and lending more socially based, to better deploy deposits which will help significant parts of the society.

sourcehttp://moneycircles.com/

CommunicationDesign flow of traditional communication devicesAll nodes will connect through the shortest or the most efficient route.Bitmessage as a central link for message delivery Message is sent to users of the network, and users can only access using their private key.Avoid being trackEnsure data security and data transfer securityGetGems a decentralised hubcommunication function is similar to that of BitmessageEquip with Bitwallet Transact and earn cryptocurrencygems.Users can click on advertisements for monetary rewards.

Bitmessage

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VotingOld, requires high maintenance , inefficient, and not fraud proofWhat does the blockchain means for voting?:Verifiable source code for voting machinesPrevent voter fraud by eliminating the possibility of more votes than registered voters.Instant, transparent and incorruptible voting data.Very low cost, easy to implementVoting system that utilised block chainComplete voting systemSecureInnovativeBlockchain Apparatus Voting System:Complete voting systemFocused on security: multiple audit trails, including paper and the blockchain.Uses innovative techniques that are not present in any other voting systemCustomizable ballots provide a familiar interface for voters.Friendly admin interface.source:http://blockchaintechcorp.com/blockchain-apparatus/blockchain-voting-machine/

USA Current Voting system

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Voting

source https://followmyvote.com/

Open sourceConvenientLow costSecure

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Internet of Things (IoT)

Today supply chain: buyers, sellers and their banks are link with one another

Tomorrows supply chain: maintains the same direct connections, plus complete trustable visibility into the flow of goods and the flow of transactions.

IBM and Samsung Electronics jointly developed the Autonomous Decentralized Peer-to-Peer Telemetry (ADEPT) ADEPT has several capabilities that are fundamental to building a decentralized (Internet of Things) IoTADEPT operates on three open source protocols: Telehash for messaging, BitTorrent for file sharing and Ethereum, a blockchain protocol for autonomous device coordination functions. Once a product is assembled, the manufacturer will register the product into the production system blockchain. When a consumer purchases the product, he or she can register the product into the manufacturer regional blockchain for authentication purpose.sourcehttp://www.skuchain.com/http://www.8btc.com/ibm-ethereum

Notarization

Blockai aims to develop a new tool that enable artist to prove and state their copyright to their artworks.

Uproov will explore utilisting the blockchain potential optimization of time stamp ability. Stampery wish to use blockchain to replace notarizers, and provide authentication for legality of sensitive information.Chronicled utilized blockchain technology to authenticate collectibles sports shoes.Irreversibility and incorruptibility allow Blockchain to be widely utilised for notarization purposessourcehttp://www.8btc.com/blockchain-item?tagname=%E5%85%AC%E8%AF%81%E9%98%B2%E4%BC%AA

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Bitproof innovated a blockchain solution to setup a one stop service to notarise Education certificates.

BitSE develop Vechain the first blockchain-based anti-counterfeiting technology.

Factom utilize blockchain to help businesses and government to simplify records management, record business processes, and address security and compliance issues.sourcehttp://www.8btc.com/blockchain-item?tagname=%E5%85%AC%E8%AF%81%E9%98%B2%E4%BC%AANotarizationIrreversibility and incorruptibility allow Blockchain to be widely utilised for notarization purposes

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Medical Healthcare

A collaboration between Estonia government and guardtimeHealthbankutilised blockchain technology that enable patients to management and share personal medical data with clinicians and researchers.

ApplicationsPopulation Health, medical records, patient dataStrengthsIncrease the transparency of healthcare servicesProtect patient privacy (Insurance , credit providers, and patients can utilised the blockchain solutions to manage claims and payments.)Major data leak e.g. Anthem 80 million patients and employees records ; UCLA Health 4.5million patient records.Increase the efficiency of bills payments process.

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Visa/DocuSign)The project is in the proof-of-concept stage. It brings DocuSigns Digital Transaction Management (DTM) platform and eSignature solution together with Visas secure payment technology (via Bitcoin blockchain). Users, through their Cars, will be able to pay for toll fees, buy pizza ,or subscribe for satellite broadcast programs.Consumers can hop into a car in a showroom, configure the lease, insurance and other expenses such as parking and tolls, DocuSign it, pay via Visa, and drive off.

sourcehttps://www.docusign.com/blog/the-future-of-car-leasing-is-as-easy-as-click-sign-drive/Contract:Utilise Docusign to verify lease and insurance. Report:Check driving recordsIn car payment:Use Visa cardService:Connections through Apps.

sourcehttp://www.wanbizu.com/fazhan/201512015809.htmlhttp://www.wanbizu.com/news/201602186602.html http://www.wanbizu.com/news/201602186602.html

Government Administration

Ukraine will be the first to employ blockchain technology in its government administration system..Bitnation is collaborating with Estonia to utilise blockchain to administer government affairsA new political party in Australia is advocating for the use blockchain as the mechanism for voting.

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More Domains are coming on board

AntShares

Blockchain in ChinaMany more projects are in the pipeline

WanXiang Blockchain Labs is a frontier research lab focusing on blockchain technology. The lab will gather experts in this field to work on technological development, business applications, industrial strategy and other aspects.The lab will also guide entrepreneurs, and provide reference for the development of the industry and policy making. Its overall aim is to benefit the society and economy with blockchain technology.ProductsWanXiang Blockchain Labs

sourcehttp://www.blockchainlabs.org/Bitcoin blockchain based development platformEthereum blockchain based development platformBitshares blockchain based development platformfactom blockchain based development platform

AntShares utilised blockchain technology to digitise physical real world assets and ownership rights. Through the node to node connection in the network, Antshares decentralised financial service processes, such as registrations, security issuances, assets transfers, and settlements administrations.Areas for applications

Equity Crowdfunding

P2P Online lending

Employee Shares Issuance

Authorisation of e-contractAntSharessourcehttps://www.antshares.com

Jingtum BeiJing and HNA collaborate through blockchain

1 Corporate WalletProcurement detailscash transfersettlementUtilise blockchain to develop a low cost settlement system.Increase efficiency of information dissemination2 Supply chain financingHNA award employees with product discounts, rewards, and bonuses through the blockchain application developed by Jingtum.

Ensures confidential information of employees are secured, and allows employee to enjoy more discounts rewards.3 Awarding of Welfare bonusesUtilise the encryption technology that is based on Jingtum block chain.

Aims to solve the difficulties in cashflow and financing ,and in high loan interest faced by suppliers. sourcehttp://www.8btc.com/jingtong-hna

BuBi BlockchainApplications

EquitySecured Private equity transactions

Reward pointsManagement of customer rewards points

Supply chainimmutable data management Supply chain managementValue Propositions sourcehttp://www.bubi.cn/#page4

Efficient verifications of transactions

Multiple signatories authorisation Efficient access to accounts ledgerMultiple assetsIssuanceSmart contractBlockchainExchanges

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ViewFinCustomised Blockchain solutionsAccreditation of digital assets, Risks management,

Products SnapshotsProject Prometheus - Equity ManagementSolutions: Private or Permissioned Blockchain for Equity ManagementUsesEquity registration, transfer, or OTC trades.Clients: Crowd-funding, Equity Exchanges , P2P Leading, Private Equities ,and clients requiring OTC trades.

Project Gaea - Land RegistrationSolutionsPrivate or Permissioned BlockChain for Land RegistrationUsesProvide trustless proofs for cross-regional land rights-transfer , real time information validation, decentralised immutable data storageand instant settlement for digital transactions.

Project Hermes Royalty/reward Points management.SolutionsManage customers reward points through Permissioned Blockchain.UsesManage multiple reward points programs .ClientsAll B2C businesses and services.

Project Themis - RegTech ChainSolutionsPrivate Chain Solution for Governments /NGOs to implement effective regulatory governance.UsesImmutable and time stamped record management. Improve integrity of information and increase transparency.ClientsGovernments, NGOs, Regulatory Bodies source http://viewfin.com/

Digital Wallet

Developed by Yi Cheng Interactive Technologies and Sunshine Insurance Group is the first corporate user of the digital walletAllow Sunshine insurance client to manage, transfer and transact customer reward points.Product features and benefitsDecentralised reward points system

Users can self negotiate, transfer and transact reward points. Increase the liquidity of reward points.

Increases B2C and C2C interactions. sourcehttp://m.caijing.com.cn/api/show?contentid=4090411

Traditional centralised modelDecentralised model

Yangtze Delta Region Institute of Tsinghua University together with Canaan, Hash, and BST established the Chinas blockchain applications research centre, which aims to develop the use of blockchain technology.Yangtze Delta Region Institute of Tsinghua University

Companies IntroductionFounded in 2012, Canaan Creative is the worldwide leader in producing Blockchain servers and solutions for repetition ASIC. Our products are sold to over 150 countries worldwide.

1Hash provides a professional and reliable service platform for efficient bitcoin management ,and development platform for blockchain research.

BST provides cloud computing (PaaS) service and software management service (Saas) for Beijing government to manage information resource.Main product/serviceDigital DXS-Cloud (Paas) ,and iTaxonomy sourcewww.btc798.com/article-8759-1.html http://canaan.io/zh/%E7%BD%91%E7%AB%99%E9%A6%96%E9%A1%B5/ http://www.synball.com/synball/home/ http://www.1hash.com/index.html

One Belt, One RoadBlockchain applicationsAs the countries along the One belt ,One Road project transact using USD, the China government wishes to utilise blockchain technology to develop a cryptocurrency system which these countries can transact on. Through the Asia Financial Cooperation association ( to be established), countries members can work and decide on the rules, and protocols to ensure the security and the legality of the cryptocurrency system.Improve financial cooperation, and communicationHelp China corporatesto internationaliseAid China corporates to minimise foreign investment pitfalls Digitise investment/trade information of the investments in countries along the One Belt,One Road project. Blockchain-will ensure data security , transparency, and allow co-verification, and authorisation of informationProtect intellectual property rightsThrough the digitisation of production capacity ,and blockchain network, China corporates canAttract investors in countries along the One Belt,One Road projectCarry out crowd funding in these countries or internationally.Or even conduct IPO on the blockchain network.Solve Chinas problemof production over capacity

sourcehttp://www.ftchinese.com/story/001065381?full=y

Blockchain 2.0EthereumEthereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of downtime, censorship, fraud or third party interference.ObjectiveDevelop apps which run on a custom built blockchain that enable shared global infrastructure and that represent the ownership of property Value propositionenables developers to create markets, store registries of debts or promises, move funds in accordance with instructions or a futures contract, and many other potential developments, all without a middle man or counterparty risk

Microsoft, R3, Samsung ,DeloitteRWE ,and IBM.

What problem does Ethereum wish to solve ?Utilise smart contract to mitigate counter party risk and issuesBlockchain 2.0 CoreSmart contract, Smart AssetRootstock a smart-contract peer-to-peer platform, is rising fast to challenge Ethereum in Smart asset developments. Ethereum supporter

Blockchain 2.0Ethereum

Ethereum: decentralised smart application source: https://slock.it/ethereum_computer.htmlRent, sell or share anything - without middlemen Slock.it: Utilise The Ethereum Computer to:Turn Personal Assets into Income : securely rent access to any space or compatible smart object, without intermediaries. Underused assets such as temporarily vacant apartment is an opportunity to make a profit.Develop applications for smart contract, and smart asset to find, locate, rent and control any object managed by an Ethereum Computer.

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Making the worlds systems honestHonesty is subversive - Paul Snow

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In todays global economy trust is in rare supplyThis lack of trust requires the devotion of a tremendous amount of resources to audit and verify records. Thus reducing global efficiency, return on investment, and prosperity. Incidents such as the 2010 United States foreclosure crisis demonstrate that, the current processes are terribly inaccurate, efficient and prone to failure. Factom removes the need for blind trust by providing precise, verifiable, and immutable audit trail.Honesty is subversive - Paul Snow

Factoms blockchain technology can be adapted to almost any organization.Businesses and governments can use Factom to simplify records management, record business processes, and address security and compliance issuespower a remarkable range of applications, e.g. audit systems, medical records, supply chain management, voting systems, property titles, legal applications, and financial systems.

Factom maintains a permanent, time-stamped record of your data in the blockchain. Reduce the cost and complexity of conducting audits, managing records, and complying with government regulationsApplication UsagesFactom Proof- Network valuesourcehttp://factom.org/

Proof of Existence :Document existed in this form at a certain timeProof of Process:Document is linked to this new updated documentProof of Audit:Verifying the changes in the updated document

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Factom Use Case 1 Saving BoA $17 Billion

Factom could utilize the bitcoin blockchain to keep Bank of Americas records permanently engrained in the distributed public ledger. The entries are then filed into directory blocks and secured to the bitcoin blockchain every ten minutes. They can then be audited in real time and verified instantly, allowing everyone to double check the work completed and catch mistakes if they arise before they become a problem.BackgroundMultiple mortgage companies, were fined billions of dollars due to a mishandling of mortage records. One of these companies was Bank of America who fell victim to a $17 billion fine, also known as the largest fine in history.Solution

sourcehttp://factom.org/

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Factom stores data for its clients using encryptions that are called hashes in blockchain in a decentralised system. Because the data is encoded, no one except the user who created the encryption can decipher it.Blockchain technologies could prevent the disastrous Sony hack ,and shift big companies away from central databases.Factom Use Case 2 - Protecting Sony Pictures with Blockchain Technology

BackgroundSolutionOn November 24, 2014, a hacker group which leaked out confidential data from the film studio Sony Pictures Entertainment. The data included personal information about employees and their families, e-mails, salaries, copies of then-unreleased Sony films.

sourcehttp://factom.org/

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Factom can digitized landownership documents and store them in a decentralized blockchain. Any land transactions and transfers can be track . Furthermore unauthorized or illegal changes can be detected and corrected.

Factom Use Case 3: Unlocking $9 Trillion in Land ValueBackgroundSolutionIn many developing countries, land owners do not have proof of rights to landownership Hernando De Soto :main problem of development is not that the poor in the third world lack capital, but that many lack the legal title to assets they already hold. Giving them legal title will unleash this dead capital so that it can be used as collateral for loans to fund businesses or expand homes.

sourcehttp://factom.org/

Global PerspectivesThe potential of decentralised ledgers and block chains

Recent Developments Collaboration Of Governments With Industry To Explore Strategic Potential Of Block ChainsImplementation of block chains is driven by:The ability of block chain to provide a basis for cryptographic trust in a similar way to PKIBlock chains could leverage PKIs deployed scale and governancePKIs could leverage block chains payment and ledger functions

Permissioned ledgers contain a data field of unlimited sizeInformation about a transaction, including the contract, licence or copyright, could be included, providing a strong additional factor for trust.Enables smart contracts, offering efficiency and non-repudiation.

Smartphones are becoming the de facto trusted user device The latest smart phones include new security features such as:Trusted Platform Module secures digital certificates and cryptographic keys for authentication, encryption and signingConsumers can sign transactions (eg using a block chain) and payments (eg using a trusted Bitcoin) using smartphones.Recent developments Collaboration of Governments with Industry to Explore Strategic Potential of Block Chains

3) Smartphones are becoming the de facto trusted user device. The latest smart phones include new security features such as:Trusted Platform Module secures digital certificates and cryptographic keys for authentication, encryption and signing. Consumers can sign transactions (eg using a block chain) and payments (eg using a trusted Bitcoin) using smartphones.48

Airbnb Co-founder Eyes Blockchain Tech For User Reputation And Trust

13 Mar 2016

Blecharczyk, Airbnbs CTO said that Airbnb would be looking into Blockchain integration this year, or a similar distributed ledger system, to authenticate a users reputation and establish trust on the platform.

Source: http://www.theblockchain.com/2016/03/13/airbnbcofoundereyesblock chaintechforuserreputationandtrust/

Microsoft & IBM Declare Blockchain Open For Business

17 Feb 2016IBM has announced the official launch of its digital ledger deliveranceBrings blockchain services to a cloud-based systemPlatform allows users to create, deploy and run blockchain-based applications.The London Stock Exchange Group is engaged in the development of open blockchain technologies with IBMcreate solutions that will help manage risk and bring additional transparency to global financial marketsSource: https://news.bitcoin.com/microsoftibmdeclareblockchainopenbusiness/

Formed 9 Feb 2016

Environment is shifting fastHyperledger project formed in early 2016 to advance blockchain technology Big players involved. Not just banks and FINTECH companies. More traditional companies such as Hitachi and Fujitsu also involved.

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Future Scape

AlthoughAt present Blockchain still have shortcomings.

Is blockchain really superior to current solutionsWhat are the benchmarks* Can blockchain really reduce resources cost , improve service quality or enhance users experience?Immutable public ledger, standardised contracts, accounting, and transactions may seems too idealistic .* Different nature of businesses ,and changing organisation needs will impede the establishment of a single standard.To succeed, blockchain applications need to create true value to the users. Issues on the consolidation and allocation of resources*How should research resources be allocated Can related or similar resources be consolidated to create synergiesWhat solutions ,and which industry domains should receive the most resource funding?source 20167 20160222

Application suitabilityConsolidation and allocation Of research resources.

Ensuring security and immutability of data may drive up cost.*To ensure the immutability of dataOne needs enough computing power to control more than 51% of the data copies to gain control of the blockchain) ,implies incurring huge storage and resource power cost.*Low storage efficiency1.Huge amount of copies. 2.Blockchain size cannot be reducedexpired and useless data will also be stored.).Rebooting of data is time consumingNew content X number of copiesand coupled with distance and bandwidth, will be time consumingAffect user experience, e.g. high volume trading , processing huge data base.Illegal activities e.g. money laundering, financing terrorism, fraud, and impersonation. * A decentralised framework may not meet regulatory requirements.* Early intervention and overregulation by regulators, may impede blockchain developments, and the potential benefits of blockchain may not realised.source 20167 20160222

The likelihoodof reducing costs?Regulatory requirementsConcerns ?

But Dont Get Left Behind!Noah's Ark

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What is happening and what will happen?

Unbundling and decentralisation of financial servicesSame data, same page, less errorsReal time settlement without need for financial intermediariesShaving off duplicative and redundant servicesSecurity boost

FINTECH

Banks Are Only The Beginning

Banks are only the beginningWhat is happening now? Unbundling of financial services: FINTECHEverybody has the same data ledger. This means less errors and less mismatch of dataTransactions are done within seconds. Because middlemen are cut out. Flatter structure and less errors means less redundant services Security is boosted.For example, the Bangladesh bank heist could have been avoided. SWIFT is error prone and time lag. Exploited by criminals. Can easily be avoided through the use of permissioned ledgers by registered banks. 57

Capital MarketsSmart Contract post trade settlement AutomatedEfficientNo need for trusted third parties

Personal Insurance + Digital IdentitiesDistributed ledgers with hospitalsSeamless processingKSI authenticationBoost claims efficiency

As Wide As Your Imagination Can Take You!

Capital markets have the capacity to simplify current siloed post trade systemsAutomate by using smart contractsASX commissioned Digital Assets, a US firm, to develop DLT for the Australian marketInterdealer broker, ICAP, has also private peer to peer DLT network using smart contracts

Other areas that DLT can be used include personal insurance and digital identities. DL with hospitals will allow seamless processing, authentification of persons and boost claims efficiency 58

Real-time AccountingImmediate data flow Programmable accounting entriesOne master prime ledger to serve management, bank lending, regulatory purposesLess errors, free of manipulation

Company AIRASB.O.DSuppliersSHPermissioned Public Ledger

Trade Flows

Real-time GDP ReportingAs Wide As Your Imagination Can Take You!Government BudgetsProgrammable smart contracts for budget allocationReal-time GDP and key data reportingVerifiable and trusted

DLT will also enable real time accounting. Allowing immediate transaction data flowCan tap on smart contracts for programmable accounting entryReliance on one master prime ledger to serve multiple partiesLess errors and free of manipulation

DLTs can also aid budget allocation by governments through the use of smart contracts.Monies can be digitally programmed for specific uses. Weed out corruptionFacilitates real time GDP reportingBecause data comes from a verified network, it can be trusted

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Dont rise with internet , but trip by blockchain

Some internet companies may not pay much attention to ,or even disregard blockchain. If they miss this chance to utilise the blockchain development, the raise of blockchain may disrupt their technology roadmap.-Yao Yu DongDirector of China Central Bank- Institute of Finance

Regulators should keep up with financial innovations

MAS Ravi Menon If you start regulating every one of those, you stifle a lot of innovation, and they dont get a chance to grow, MAS will regulate fintech firms only when they pose risks. Support for FinTechPromote Greater inter-operability across data systems is a key priority. E.g. an all-in-one addressing system, that will enable e-payments using the payees mobile number, email address, social network account, or other proxies. Without the need to know the payees bank account number. MAS will therefore introduce a regulatory sandbox approach that aims to give FIs more confidence to experiment and launch their innovative products or services within controlled boundaries.

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Dont Get Left Behind!

To end off, I would like to emphasize that blockchain and DLT is more than just technology.It is going to be a strategy and it is going to transform the way we conduct business in the future.62

2.0

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The Economics of Financial InclusionThe problem of financial exclusion does not just exist in undeveloped countries7.7% of US households are unbanked and 20% are underbankedThe underserved in the world turn to non-traditional forms of alternative financial services such as those provided by cheque cashers, loan sharks and pawnbrokers.For example, illegal workers in the US who cash cheques via agents such as cheque cashing depots or convenience stores.

The Economics of Financial Inclusion

The problem of financial exclusion does not just exist in undeveloped countries

7.7% of US households are unbanked and 20% are underbanked

The underserved in the world turn to non-traditional forms of alternative financial services such as those provided by cheque cashers, loan sharks and pawnbrokers

For example, illegal workers in the US who cash cheques via agents such as cheque cashing depots or convenience stores

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The global picture of the unbanked and underbanked is even more skewed.Only 50% of adults in the world have an individual or joint account at a formal financial institution (Demirguc-Kunt and Klapper , 2012)There are 2.5 billion adults in the world with no formal bank accounts, most of them are in developing economies.

Source: newsroom.mastercard.com

The Economics of Financial Inclusion

The Economics of Financial InclusionThe global picture of the unbanked and underbanked is even more skewedOnly 50% of adults in the world have an individual or joint account at a formal financial institution (Demirguc-Kunt and Klapper , 2012)There are 2.5 billion adults in the world with no formal bank accounts, most of them in developing economies

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Mobile (Internet) Banking Penetration 2015.06

The Chinese Article advocate Singapore to use Blockchain Technology to expand its business network into ASEAN ( 10 countries, 600m people) ,and to adapt the Financial Inclusion model of China and Kenya to help Singapores neighbours.

-David Lee and Yan Li 15th May 2015, Lian Zaobao

Alibaba & Ali Pay

Financial Inclusion+ Sharing economy+ Blockchain = (Dian Fu)

http://www.smu.edu.sg/podcast/cryptocurrency-revolution-and-its-impact

BlockChain the disruptorOct 2014Podcast :Decentralised BockchainReeduces Business Cost

Bitcoin

Cryptocurrency

Financial Services and Blockchain

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A software platform for fast Blockchain ,and Smart Contract prototyping ,and application development.Blockchain As A Service

Drove effort to create a new architecture at IBMfor connecting devices in Internet of Things (IoT)

Focused on wearable technologies Apple WatchConnected medical devicesApplication of sensors and connectivity to industry

Recruited Paul BrodyDeveloped RUBIXSupport from Big 4

Hiring people with expertise in Ripple, Hyperledger and Chain.

Aim to be neutral advisor for clients in implementation, rather than technical specialist

Blockchain Advisory

Commercial Sidechain Liquid to facilitate fast and secure transfers between exchange or brokerage accountsIntegrate multiple blockchainsDistributed file storage permission smart contract capable blockchainsStrategic Partnerships

IBM WatsonIBM is part of the Linux-based Hyperledgerproject.Offer blockchain as a servicefor developers to use within the IBM Cloud via a service called Bluemix. Its API infrastructure allows external data to be plug into the WATSON.Via theWatson platform, IoT informationcan be enter into its blockchain suite. Such information can be transfer from RFID chips, barcode scans or mobile devices.

sourcehttp://thenextweb.com/apps/2016/02/16/ibm-has-just-open-sourced-44000-lines-of-blockchain-code-on-github/Future Watson

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From Dark Net to Saviour?Is Blockchain a collaboration enabler?A basis upon which people/entities can easily collaborate with distant strangers/entitiesIs Blockchain an asset sharing enabler?Will Blockchain lead to a self governing IoT society based on voluntary institutions via voting?Will Blockchain lead to a large scale de-centralized collaboration?Will Blockchain be able to run a mutual insurance pool?Will Blockchain be able to establish a mutual credit system?

huangyiya07@126.com

Blockchain Research Group

Wu YuTingZang MengYuSun MingChen WanFengHuang YiYa

Lee YinHaomyzang.2015@maf.smu.edu.sghuangyiya07@126.comyuting.wu.2015@maf.smu.edu.sgwfchen.2015@maf.smu.edu.sgLeeyinhao83@gmail.comming.sun.2015@maf.smu.edu.sg

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Join our Blockchain, be A new node

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Acknowledgements

8btc forumMentioned companiesAuthors of cited websites

For sharing knowledge and information of Blockchain!