A revolution?

A slow and irresistible rising of the waters, drastically and sustainably changing our habits as consumers and citizens.

Definition

There is not yet any single definition to define Blockchain technology. We propose to use the definition set out by the Merriam Webster dictionnary:

“A Blockchain is a digital database containing information (such as records of financial transactions) that can be simultaneously used and shared within a large decentralized, publicly accessible network “.

Blockchain : For What Purpose?

Blockchain technology provides a certain number of added value elements. These same elements, listed below, can be used in very different ways, depending on the markets and business themes involved.


A shared and reliable data ledger

The data stored in a Blockchain may be shared with all the other authorised actors of the network. Once a piece of information has been checked and included, it can no longer be modified by any of the network actors.

Coupled with its strong authentication and universal timestamp capacities, Blockchain is a perfect tool to enable the sharing of data that will never be able to be modified again. It is hence particularly appropriate for projects that require transparency in the exchange process, data traceability or proof of anteriority. When different types of actors need to work together but do not share the same objectives, it can serve as a tool to guarantee trust and also as an audit trail.

Process Automation

By placing the actors of a transaction in direct contact with one another, Blockchain often makes it possible to delete layers of costly intermediation, thus protecting operational efficacy, deadlines or simply financial costs.

Moreover, nearly all the recent Blockchains propose smart contract technology, in other words, the automation of transactions based on pre-defined rules. By making sure that the different actors of a Blockchain agree on these rules, the smart contracts make it possible to trigger events (data transfer, payments, etc.) without needing to integrate the different IT systems between each other. Clear rules, no fraud, a quality audit trail and a reduced implementation cost: Many ingredients are combined to facilitate inter-entity cooperation.

Peer-to-peer token transfer

In Blockchain language, a token is nothing more than a virtual asset that can be exchanged on the network from peer-to-peer (P2P) without having to go through a central entity. If the feasibility of the token in order to allow the exchange of funds has today been proven by the success of the Bitcoin notably, the exchange of tokens does not necessarily need to be monetised into traditional currencies (€/USD) in order for it to represent added value. On line voting, loyalty points, consumer opinions, transfer of funds, etc., the token exchange system is very promising.

Blockchain also makes it possible to manage non-fungible tokens, in other words unique tokens that can potentially be associated with a tangible asset. If we associate the ownership of a token with the ownership of a work of art, can the sale of the token correspond to the sale of the work of art? We believe that indeed, the transfer of ownership of assets via a Blockchain will very quickly become reality (copyrights, works of art, shares in non-listed companies, etc.).

Decentralised governance

A Blockchain may propose different roles: access rights for writing or reading information, rules that validate a transaction or rules for remunerating the participants in a Blockchain, etc. It is deployed very simply through nodes, and the broader its deployment, the greater its value since its security and immutability are guaranteed. De facto, a Blockchain, and more particularly a public Blockchain does not belong to anyone, is not stored in any particular place and can have its operating costs divided between all or some of its users. Once the rules have been defined, it becomes impossible to cheat. Blockchain is hence a particularly useful tool to ensure effective collaboration between actors who do not necessarily naturally trust each other.

In a nutshell

In actual fact, Blockchain is a very elegant solution for data sharing in all use case scenarios where the actors involved do not naturally trust each other. It is a technology that is naturally appropriate for data sharing between actors who operate in the same sector: a consortium for a given sector, a supply chain, a secure means of exchange between competing organisations, etc.

We also consider at Blockchain EZ that this technology can equally be applied in numerous more traditional contexts.

Given its specific features, and in particular its decentralised governance and the possibility of developing smart contracts, it can represent an economically viable alternative to other more standard technological solutions. We are sure that in the future, numerous integration projects will include Blockchain components in their offers and once integrated into the rest of a project, will replace certain automated transaction stages in a simple and economically interesting way.

A slow revolution

Contrary to what the financial bubble at the end of 2017 and the beginning of 2018 potentially led us to believe, Blockchain will not revolutionise our world from one day to the next. It is not a technology that is going to overturn everything like a massive tidal wave. On the contrary, it will gradually work its way forward like a slow and irresistible rising of the waters, drastically and sustainably changing our habits as citizens and consumers.

The disruption will be organisational and economic rather than technological:

  • The creation of consortiums for each branch of activity (For example: traceability of a container in the transport sector)
  • New business models without intermediaries (For example: transfer of funds without a bank)
  • Taking charge of personal data…by people (For example: medical data, social networks)
  • Financial engagement models without paper money (For example: inter-company invoicing using tokens)
  • A new class of financial assets, STO, part way between bonds, ABS and units of funds
  • Massive securitisation of very differnet things : shares, bonds, works of art, bottles of wine, diamonds, luxury watches....
  • Robotization of processes through smart contracts (For example: application of decisions based on the results of a vote)
  • A citizen or public request for enhanced transparency (For example: monitoring of public spending, VAT, etc.)

An adventure with long-lasting steady momentum, a change that will spread over 10+ years

  • Accounting, financial and legal rules that will one by one have to be defined by the United States of America, the EU, etc.
  • The simplest use cases that can apply immediately, and the most complex ones in 10+ years time
  • Not all the countries will move forward at the same speed. Will Europe lag behind?
  • Technology will evolve considerably, notably for the smart contracts and decentralised applications 

Techniques blockchain

A need for support: Blockchain EZ

We are here to help you understand these elements. Your company may be spared by the Blockchain revolution or on the contrary, may be at the forefront of the companies that are the most strongly impacted. It can sometimes be difficult to understand what is going on between the media buzz and reality.

Rather than adopting a passive stance, be proactive and get ahead with Blockchain EZ. Discover the Blockchain challenges, try it out and why not make this technology into a unique differentiation opportunity on your market?