Blockchain-BusinessmodelCanvas_blanko
von Scherer | August 4, 2022
von Scherer | August 4, 2022
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Blockchain… ein schwer greifbares Thema, das viel Potenzial hat und einen großen Mehrwert verspricht. Nur was ist eigentlich Blockchain? Lohnt sich der Einsatz in meinem Unternehmen? Wie funktionieren Projekte rund um die Technologie? Welche konkreten Prozesse können damit optimiert werden? Welchen Einfluss hat das Thema auf mein Geschäftsmodell und wie kann ich Blockchain in mein Unternehmen bringen? Diese und weitere Fragen klären wir Schritt für Schritt in unserem Blended-Learning-Format und begleiten Sie auf Ihrem Weg zum Blockchain Praktiker.
In sechs interaktiven Präsenzmodulen mit anschließenden E-Learning Phasen lernen Sie nicht nur die Technologie kennen, sondern auch, wie Sie mit Blockchain bedarfsorientiert die Prozesse in Ihrem eigenen Unternehmen optimieren. Zum Abschluss des Formates setzen Sie ein eigenes Projekt in Ihrem Unternehmen um. Dies kann eine Potenzialanalyse sein oder die Implementierung von Blockchain in einem individuellen Anwendungsfall. Innerhalb von maximal sechs Monaten werden Sie selbst zum Blockchain Experten in Ihrem Unternehmen.
Bei diesem Format arbeitet Blockchain Europe mit dem Mittelstand 4.0-Kompetenzzentrum Dortmund „Digital in NRW – Kompetenz für den Mittelstand“, dem Projekt DigiTransKMU der FH Münster und dem Projekt Blockchain for Supply Chain (BC4SC) der FH Südwestfalen zusammen. Unsere Experten für Blended-Learning, Logistik und natürlich Blockchain begleiten Sie während der Kursteilnahme und stehen für Rückfragen zur Verfügung.
Wir wollen Blockchain greifbar und erlebbar machen. Deshalb laden wir Sie ein auf eine Tour durch unser Innovationsökosystem am Standort Dortmund. Erhalten Sie Einblick in Anwendungszentren, Forschungshallen und Enterprise Labs und erfahren Sie mehr über Prototypen, Demonstratoren, Use Cases und die Umsetzung der Silicon Economy.
In Live Demos erklären Ihnen unsere Experten die neuesten Devices, Schwarmtechnologie, Intelligente Behälter, autonome Fahrzeuge und Drohnen. Gemeinsam klären wir, wie Künstliche Intelligenz und Blockchain die Zukunft der Plattformökonomie gestalten und ermöglichen.
Eine einfache Einführung in die wichtigsten Entwicklungen unserer Zeit gibt der Einführungsvortrag Blockchain in Logistik und Supply Chain Management.
We want to make blockchain tangible. That is why we invite you to a tour of our innovation ecosystem at the Dortmund site. Gain insights into application centers, research halls and enterprise labs and learn about prototypes, demonstrators, use cases and the implementation of the Silicon Economy.
In live demos our experts will explain the latest devices, swarm technology, smart containers, autonomous vehicles and drones. Together we will clarify how artificial intelligence and blockchain are shaping and enabling the future of the platform economy.
A simple introduction to the most important developments of our time is provided by the introductory lecture entitled Blockchain in Logistics and Supply Chain Management.
Blockchain hat das Potenzial, Prozesse zu automatisieren und zu autonomisieren. Aber die Technologie sollte nur dort zum Einsatz kommen, wo es wirklich Sinn macht. Mit unserer Potenzialanalyse gehen wir den Dingen auf den Grund. Bietet der Einsatz von Blockchain Ihrem Unternehmen einen konkreten wirtschaftlichen Mehrwert? Welches Optimierungspotenzial kann in Ihrem Unternehmen gehoben werden und welche Technologie, Software, Hardware bzw. welche Geschäftsmodelle sind für Ihren spezifischen Anwendungsfall nutzenstiftend?
Für einen ersten Überblick empfehlen wir unseren Quick-Check Blockchain (digital und kostenfrei auf dieser Website). Bei weiterführendem Interesse gehen unsere Experten gerne mit Ihnen in eine Analyse und einen anschließenden Workshop zur gemeinsamen Ausgestaltung Ihrer Möglichkeiten.
Blockchain has the potential to automate and autonomize processes. However, this technology should only be used where it really makes sense. Our analysis of available potential enables us to get to the bottom of things. Can the use of blockchain provide your company with specific economic added value? What optimization potential can be exploited in your company and which technology, software, hardware or business models are beneficial for your specific use case?
We recommend our “Quick Check Blockchain” (digital and free of charge on this website) to get an initial overview. If you would like to learn more, our experts will be happy to go through an analysis and a subsequent workshop together with you to help design your options.
Blockchain Europe entwickelt mit allen Blockchain-Akteuren in der Community die Technologie und ihre Anwendungsbereiche weiter. Was sind neueste Trends? Wie kann man in die Blockchain-Thematik einsteigen? Wie wird man Community-Mitglied und welchen Mehrwert bietet Blockchain eigentlich? Hier erfahren Sie mehr. Wir laden Sie auf einen Kaffee ein und geben Ihnen ein kurzes und kompaktes Update.
Blockchain Europe is continuing to develop the technology and its application areas together with all blockchain stakeholders in the community. What are the latest trends? How to get involved in blockchain as a subject? How do you become a community member and what added value does blockchain actually offer? You can find out more here. We invite you to join us for a cup of coffee and to a brief and compact update.
Die Blockchain-Technologie verändert Nutzenversprechen, Wertschöpfungsprozesse und Ertragsmechanismen. Durch Smart Contracts, die Automatisierung von Prozessen und Finanzflüssen, neue Bezahlmodelle und Pay-Per-Use-Ansätze werden neuen Geschäftsmodelle ermöglicht. Die Blockchain-Technologie sorgt dabei für Transparenz und Vertrauen unter allen Akteuren in der Supply Chain.
In den kommenden fünf Jahren, so die aktuellen Prognosen, werden die erfolgreichsten Geschäftsmodelle der Logistik aus der Plattformökonomie kommen. Dabei gilt: Ohne Blockchain – kein Geschäft. Aber warum genau verändern sich Geschäftsmodelle durch Technologie? Mit welchen Methoden kann mein neues Geschäftsmodell aufgebaut werden? Wie verändert die Blockchain bestehende Geschäftsmodelle und warum? Und: Welche Geschäftsmodelle sind in der Zukunft möglich?
Mehr dazu erfahren Sie im Anwenderworkshop Blockchain-basierte Geschäftsmodelle unter Anleitung unserer Geschäftsmodell-Experten.
Blockchain technology is changing value propositions, value creation processes and revenue mechanisms. Smart contracts, the automation of processes and financial flows, new payment models and pay-per-use approaches are all making new business models possible. Blockchain technology ensures transparency and trust among all the players in the supply chain.
Over the next five years, according to the latest forecasts, the most successful business models for logistics will come from the platform economy. In future, no blockchain will mean no business. But why exactly do business models change because of technology? Which methods can I use to build up my new business model? How and why does blockchain change existing business models? And: which business models will be possible in future?
Find out more about all this in the user workshop entitled “Blockchain-based Business Models” under the guidance of our business model experts.
In Zusammenarbeit mit dem Blockchainverband NRW e.V. entstand im Jahr 2021 eine neue Meet-up Gruppe. Unser Ziel: Wir wollen alle Blockchain-Akteure und Interessenten zusammenbringen und über kurzweilige Vorträge konkrete Best Practices oder Blockchain-Lösungen präsentieren. In regelmäßigen Abständen, werden wir digitale und, sobald möglich, auch wieder Vor-Ort Networkingevents anbieten. Im Mittelpunkt stehen der Austausch unter den Teilnehmern und der Ausbau des Netzwerkes.
A new meet-up group will be developed in collaboration with the Blockchain Association North-Rhine Westphalia (Blockchainverband NRW e.V.). Our objective is to bring together all blockchain players and interested parties and present specific best practices or blockchain solutions in entertaining presentations. We will offer digital and, as soon as possible, on-site networking events at regular intervals. The focus is on participants sharing and discussing their ideas and on growing the network.
Sie sind auf der Suche nach passenden Umsetzungspartnern? Sie wollen ein neues Blockchain-Projekt initiieren? Sie suchen Entwicklungspartner oder wollen Ihre Blockchain-Lösung präsentieren? Hier werden Sie fündig. Unsere Match-Making Events bringen Wissenschaft und Praxis, Anwender und Anbieter, Start-ups und etablierte Unternehmen sowie Anfänger und Experten in NRW, Deutschland und Europa zusammen.
Are you looking for suitable implementation partners? Would you like to initiate a new blockchain project? Are you looking for development partners or would you like to present your blockchain solution? You will find what you are looking for right here. Our match-making events bring together science and businesses, users and providers, start-ups and established companies, as well as beginners and experts in North-Rhine Westphalia, Germany and Europe.
Gerade in der Logistik und im Supply Chain Management arbeiten viele verschiedene, wirtschaftlich unabhängige Partner eng zusammen, die sich aber nicht zwangsläufig vertrauen. Blockchain wird mit offenen und ganzheitlichen Lösungen komplette Logistikketten durchgängig digital verbinden.
Konkrete Beispiele aus der Praxis, Umsetzungsprojekte und die wichtigsten Einsatzgebiete zeigt unser Format „Blockchain in Logistik und Supply Chain Management“.
Particularly in logistics and supply chain management, many different, economically independent partners work closely together who don’t necessarily have complete trust in each other. Blockchain will provide digital and end to end links for entire logistics chains using open and integrated solutions.
Our “Blockchain in Logistics and Supply Chain Management” format shows specific practical examples, innovation projects and the most important application areas.
Das Format Challenge my… ist als offenes Community Format angelegt. Sie können eine konkrete Fragestellung aus Ihrem Unternehmen vorschlagen und gemeinsam mit unserer Community treten wir in den offenen, ehrlichen und konstruktiven Austausch. Wir finden Lösungen – schnell, interdisziplinär und durchdacht. Sie profitieren von den Erfahrungen der Community, durchleuchten die Fragestellung multi-perspektivisch und nehmen pragmatischen Lösungsansätze mit nach Hause.
In diesem Fall, schlagen wir Challenge my Business Model vor. Ist Ihr Geschäftsmodell gewappnet für die Plattformökonomie? Könnte Blockchain Ihr Servicelevel erhöhen? Werden Sie auch mittel- bis langfristig wettbewerbsfähig bleiben?
Fragen Sie unsere Community!
The “Challenge my…” format is set up as an open community format. You can suggest a specific issue from your company and we will put it forward for open, honest and constructive discussion within our community. We will find fast, interdisciplinary and well-conceived solutions. You will benefit from the community’s experience, enabling you to consider the issue from multiple perspectives and take home pragmatic approaches for solutions.
Sie möchten Blockchain kennenlernen und herausfinden, ob Blockchain zu Ihrem Unternehmen passen könnte? Sie möchten Ihr Technologieverständnis ausbauen und erkennen können, wann ein Blockchain Use-Case vorliegt? Dann wird Ihnen der Blockchain Quick Check weiterhelfen! Unser kostenfreier Online-Quick Check überprüft anhand weniger Antworten die Eignung von Blockchain in Ihrem Unternehmen. Die Fragen werden dabei stets durch kurze Erklärungen ergänzt, sodass sich auch Blockchain-Anfänger zurecht finden.
Would you like to learn about blockchain and find out whether blockchain is suitable for your company? Would you like to extend your understanding of technology and be able to recognize when a blockchain use case is applicable? Then the Blockchain Quick Check will help you! Our free online Quick Check will examine the suitability of blockchain in your company based on just a few answers. The questions are always supplemented by brief explanations, so that even blockchain beginners will cope.
Die Blockchain-Technologie steht noch am Anfang. In den kommenden Jahren, werden wir die Technologie und ihre Einsatzmöglichkeiten in rasender Geschwindigkeit weiterentwickeln. Diese Entwicklungen sollen nicht an den Anforderungen der Praxis vorbeilaufen. Wir wollen einen direkten Transfer von wissenschaftlichen Erkenntnissen in die Anwendung direkt mitdenken und neueste Devices, Software, Hardware, Systeme und Geschäftmodelle direkt in die Praxis bringen. Dazu sind Sie gefragt.
Vor welchen konkreten Herausforderungen stehen Sie? Welche Anforderungen stellen Sie als Unternehmen an die neuen Entwicklungen? Im iterativen Austausch möchten wir uns mit unseren Konzeptionierungspartnern den wesentlichen Fragenstellungen der nächsten Wochen, Monate und Jahre stellen. Sie möchten ganz nah dran sein? Dann sprechen Sie uns an!
Blockchain technology has only just begun. Over the next few years, we will be further developing the technology and its possibilities of application - at breakneck speed. We don’t want these developments to bypass real business requirements. Right from the beginning, we want to consider how we can transfer scientific findings directly into applications and to implement the latest devices, software, hardware, systems and business models directly in practice. This is where you come in!
Which specific challenges are you facing? As a company, what are your requirements for the new developments? In an ongoing exchange, we would like to deal with the essential issues arising over the next few weeks, months and years, together with our concept design partners. If you would like to get involved, then please contact us!
Unser Anliegen ist klar: Wir wollen Blockchain in den laufenden Betrieb bringen. Für einen schnellen Transfer ist eine enge Zusammenarbeit mit Validierungspartnern unabdingbar. Wir liefern Technologie, Software, Hardware und Geschäftsmodelle und Sie werden kostenfrei unser Anwendungspartner. Im Pilotbetrieb in Ihrem Unternehmen kommen neueste Entwicklungen zum Einsatz. Protypten optimieren Prozesse und Netzwerke. Mit uns gemeinsam schreiben Sie eine Erfolgsgeschichte.
Sie wollen Blockchain auch in den laufenden Betrieb bringen? Dann sprechen Sie uns an.
Our aims are clear: We want to get blockchain working in real operations. It is essential for us to have close collaborations with validation partners to ensure rapid transfer. We will provide the technology, software, hardware and business models and you will become our application partner - at no charge. The latest developments will be used during pilot operations in your company. Prototypes will optimize processes and networks. Write your success story with us.
If you are interested in implementing blockchain in your ongoing operations, then please contact us.
Eine Vernetzung über die komplette Supply Chain hinweg erfordert auch einen offenen Austausch auf Augenhöhe. Deshalb bringt Blockchain Europe regelmäßig Experten zum Thema Blockchain auf unterschiedlichen Ebenen zusammen. Entwickler sprechen über die neuesten Herausforderungen, Manager diskutieren den Mehrwert von Blockchain im eigenen Unternehmen, Wissenschaftler greifen die Perspektive von Blockchain auf. In kleinen Runden werden Erfahrungen offen und ehrlich diskutiert und ein gemeinsamer Weg in die Zukunft mit Blockchain gestaltet.
Networking across the entire supply chain requires open exchange on equal terms. That is why Blockchain Europe will regularly bring together blockchain experts at different levels. Developers will talk about the latest challenges, managers will discuss the added value of blockchain in their own companies, scientists will pick up on the prospects for blockchain.
Blockchain Europe. Up to six times a year, Blockchain Europe – the project to establish the European Blockchain Institute – informs you about the latest developments.
Fraunhofer IML. You will receive the latest information from the Fraunhofer Institute for Material Flow and Logistics IML, which launched the Silicon Economy Initiative, three to four times a year.
Silicon Economy. Once a quarter, we inform you about the latest developments from the Silicon Economy and its implementation projects. In between, we also draw your attention to current events.
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Blockchain… an elusive subject that has a lot of potential and promises great added value. But what actually is blockchain? Is it worthwhile using it in my company? How do projects work with this technology? Which specific processes can be optimized with it? How does this topic influence my business model and how can I bring blockchain into my company? Step by step, we will clarify these and other questions in our blended learning format and accompany you on your way to becoming a blockchain practitioner.
In six interactive classroom modules followed by e-learning phases, you will not only get to know the technology, but also how to use blockchain to optimize processes in your own company according to your requirements. At the end of this format you will implement an individual project in your own company. This can be an analysis of the potential or a blockchain implementation as part of an individual use case. Within a maximum of six months, you will become a blockchain expert in your company.
In this format, Blockchain Europe works together with the Dortmund SME Enabling Center “Digital in NRW”, the DigiTransKMU project run by FH Münster and “Blockchain for Supply Chain (BC4SC)” project run by FH Südwestfalen. Our experts for blended-learning, logistics and, of course, blockchain will accompany you throughout the time you participate in the course and will be available to answer any questions.
The registration form will be published soon. A registration is binding and you will be required to participate in the entire format and to attend the events. Because of the current COVID 19 situation, the “physical” events will be held online. You will receive a certificate upon successful completion.
The blockchain is also referred to as a distributed ledger. However, not every distributed ledger that has a decentralized data structure is a blockchain. This is due to the different structure of a distributed ledger. This does not necessarily have to be chained together as in a blockchain.
The blockchain is a decentralized, distributed, tamper-proof, cooperatively used data store and enables the secure exchange of data in the network without relying on an intermediary.
First, the blockchain describes a data store that is distributed across all participating computers (nodes). Within this database, blocks containing various data (orders, order placements, certificates, etc.) are chained together. In the process, one block is always appended to the previous block. This means that manipulation within the blockchain, which can be a subsequent change to the existing blockchain, for example, is not possible.
Speicherung und Verwaltung von Dokumenten und Unternehmenswerten
Ein Token steht in der Blockchain-basierten Abwicklung für eine Information, ein Dokument oder einen speziellen Unternehmenswert. Dieser wird digital gespeichert und durch den Token Manager verwaltet. In der Logistik lassen sich zahlreiche Anwendungsbeispiele finden, etwa die Verwahrung von Transportdokumenten (elektronischer Frachtbrief, Ausfuhrbegleitdokumente, Beförderungspapiere usw.), die Nachhaltung von Ereignissen und Informationen entlang der Lieferkette mittels Fotodokumentation oder die Übertragung von Vermögenswerten zwischen verschiedenen Unternehmen. Je nach Anwendungsfall können sowohl ganze Datensätze als auch einzelne Dokumente (bspw. XML, PDF) mittels Token auf der Blockchain hinterlegt werden.
Rollen-Rechte-System zum Steuern von Zugriffs-, Schreib- und Leserechten
Wenn zukünftig alle Akteure der Logistik über Plattformen zusammenarbeiten, werden viele, oft auch empfindliche, Daten ausgetauscht. Bei der Sicherstellung der Datensouveränität im Netzwerk unterstützt das Autorisierungsmodul. Mit seiner Hilfe können Zugriffsrechte projektspezifisch gesteuert werden. Jedem Akteur, der in einem Prozess involviert ist, kann bedarfsgerecht eine Menge von Rollen zugewiesen werden, mit denen die Zugriffs-, Schreib- und Leserechte des Akteurs festgelegt werden. Damit werden die Zugriffsrechte in einem klassischen Rollen-Rechte-System hinterlegt und können Usern individuell zugeordnet oder entzogen werden.
Schnittstelle physischer Geräte mit der Blockchain und zertifizierte Transaktionen
Mit dem Light-Node-Service stellt Blockchain Europe im Prinzip die Schnittstelle von physischen Geräten (Hardware/Devices/Scanner) mit der Blockchain bereit. Hierzu erhalten die Geräte eine individuelle Identität und werden dadurch zu eigenständigen Akteuren in der Blockchain, den sogenannten Light Nodes. Light Nodes kommen mit vergleichsweise geringer Rechenleistung aus – eine zentrale Randbedingung bei dem Einsatz von IoT-Devices und mobilen Endgeräten in der Industrie. Wird beispielsweise die Übergabe von Ware in einem Blockchain-basierten Logistikprozess mit einem Device digital quittiert, wird die Transaktion mittels eindeutigem Blockchain-Zertifikat über den Light-Node-Service signiert. Somit kann die Transaktion der Person der Urheberschaft jederzeit zugeordnet und der Ursprung der Transaktion zurückverfolgt werden.
Storage and management of documents and corporate assets
In blockchain-based settlement, a token stands for a piece of information, a document or a specific company asset. It is stored digitally and managed by the token manager. Numerous examples of use can be found in logistics, such as the safekeeping of transport documents (electronic waybill, export accompanying documents, transport documents, etc.), the tracking of events and information along the supply chain through photographic documentation, or the transfer of assets between different companies. Depending on the use case, both entire data sets and individual documents (e.g. XML, PDF) can be stored on the blockchain using tokens.
Role-rights-system for controlling access, write and read permissions
If all logistics players collaborate via platforms in the future, a lot of data, often sensitive data, will be exchanged. The authorization module helps to ensure data sovereignty in the network. With its help, access rights can be controlled on a project-specific basis. Each actor involved in a process can be assigned a set of roles according to requirements, defining the actor's access, write and read rights. In this way, access rights are stored in a classic role-rights-system and can be assigned to or revoked from users individually.
Interface of physical devices with the blockchain and certified transactions.
With the light node service, Blockchain Europe basically provides the interface of physical devices (hardware/equipment/scanners) with the blockchain. For this purpose, the devices are given an individual identity and thus become independent actors in the blockchain, the so-called light nodes. Light nodes require comparatively small amounts of computing power - a key condition for the use of IoT devices and mobile end devices in the industry. If, for example, the transfer of goods in a blockchain-based logistics process is digitally acknowledged with a device, the transaction is signed via the light node service using a unique blockchain certificate. Thus, the transaction can be assigned to the person of authorship at any time and the origin of the transaction can be traced.
A widely used network architecture is the so-called client-server architecture. This is a centralized architecture. Here, there is a central instance, the service provider, which makes various functions and resources available to the users. In a Client-Server-Architecture, there are two different roles: A server and a client. The server can be described as a service provider and has the task of providing functions and resources. On the other hand, the client is the user who makes use of the server's service.
Blockchain network does not have a classic client-server architecture but is based on a peer-to-peer network. Within blockchain solutions, the nodes are also called "peers". The "peers" simultaneously perform server and client functionalities. Another characteristic of a peer-to-peer network is that there is no central instance. This ensures that the nodes communicate directly with each other and that there is no single-point-of-failure. Likewise, all nodes have equal rights and there is no node with more rights or functionalities than other nodes.
One of the biggest advantages of a peer-to-peer network is its high level of decentralization. Peer-to-peer networks benefit from the concept of distributed nodes because data is now stored locally on many nodes and can be accessed at any time.
A blockchain comprises a series of blocks that are ordered chronologically and linked together with a hash function. These blocks each consist of a block header and a Merkle tree.
A hash function can be used to uniquely identify transactions and prove their authenticity. A data record of any size is converted into a checksum. This checksum always has the same length and is referred to as a hash value or digital fingerprint. The aim here is to carry out an exact identification of a specific data record via its hash value or digital fingerprint.
A Merkle Tree, which has a tree-like data structure, captures the hashes of individual data elements in large data. Here, the goal is to represent multiple transactions (data elements) by a single hash value.
First, a hash value of each transaction is created using the hash function. Subsequently, the hash values of every two transactions form a common new hash value by linking them together. This process is continued in the entire block until all hash values of the individual transactions are contained. In the end, a single hash value is created that contains all the hash values of the transactions. This hash value is called Merkle Root and is linked to the block header. If a transaction is subsequently changed, the existing Merkle Root is no longer valid. A new Merkle Root is determined. However, this does not match the existing root. So that a subsequent change of the transaction can be easily uncovered.
A blockchain network has no classic server but is based on a peer-to-peer network. There is no client-server architecture. This means that the peers can perform server and client functions simultaneously.
Within peer-to-peer networks, however, it can happen that not all nodes have enough hardware resources to act as servers. If a node wants to act as a server, it must store and authenticate the data within the blockchain network. Because of this, there are adaptations within a blockchain network to work around this problem. A distinction is made between two different users. First, there are the "servers", which are also called "full nodes". These are characterized by the fact that they maintain both incoming and outgoing connections to other users. Full nodes also store the complete blockchain history.
Due to the potentially high storage requirements, it is desirable to have as few full nodes as possible for cost reasons, but the security and reliability of the system increases with an increasing number of full nodes. Therefore, there must always be a compromise between these points.
The administrative full nodes are found exclusively in private blockchain networks. Within private blockchain networks, all nodes have different rights. Within these networks, the administrative full nodes have special rights regarding administrative tasks. These tasks include deciding whether a new participant should be added to the network. Likewise, they provide for the adherence to the rules within the network. However, they do not have special rights for block creation.
This is contrasted by the "clients". They are also called "light nodes" or "light weight nodes". Most networks consist of significantly more "light nodes" than "full nodes". The reason for this is that it takes significantly fewer resources to participate in the network as a "light node". They only have outgoing connections and communicate with the "full nodes" to obtain information. Likewise, "light nodes" only ever store a part of the blockchain to save resource.
Smart contracts are pieces of software code that automate a contract, i.e., make business decisions based on data in a clear and foreseeable way. The simplest smart contracts can often be stated as "if condition X is true, then do Y", but can be far more complicated.
Some blockchain platforms use a type of currency for the use of their network. This is called a coin and is used as a means of payment. The first coin is Bitcoin, which is based on the Bitcoin Blockchain. In addition, there are other Coins (for example, Ether), which are called Altcoins.
Another construct on the Blockchain is the token, which can be used as a means of payment, but in contrast to a coin also represents virtual and physical objects. For example, a token can represent an economic good or an asset. With the help of smart contracts, it is possible to create new tokens and write them to the blockchain. However, there are also platforms that dispense with the use of tokens completely. This includes, for example, the Hyperledger Blockchain.
With the help of a wallet, a user of a blockchain network can send and receive transactions. In this way, the wallet forms an interface between the user and the blockchain. In a wallet, the owner can store his private key. This can be traced back to asymmetric encryption. This involves a key pair that contains a public key (e.g., an ID number) and a private key (e.g., a PIN for authorization). While the public key is known to every participant, the private key must be kept secret. With the help of a key pair, it is possible to send transactions securely. In the first option, the sender encrypts his transaction with the recipient's public key. The recipient can then decrypt the transaction with his private key and thus receive the transaction. Another way of exchanging transactions securely within the network is the digital signature. Here, the transaction sent is signed by the sender with a private key. The recipient can decrypt and authenticate the signature using the sender's public key.
Each participant has the possibility to submit different transactions to a blockchain network in order to attach them to the existing blockchain later on. However, it must first be verified that the transactions are legitimate and cannot be manipulated. For this purpose, a consensus mechanism is used, which maps a kind of protocol. The focus of the consensus mechanism is on the one hand on the synchronization of all nodes of the Blockchain network and on the other hand on the avoidance of double spending of transactions.
The most popular consensus mechanism is the so-called proof of work mechanism. This mechanism is mostly used for cryptocurrencies. The best-known cryptocurrency that uses the proof of work concept is the Bitcoin network. Here, the nodes (also called miners) that want to validate a block must solve a mathematical problem. If a node solves the problem, it has the right to add the block to the blockchain. The block is then distributed on the network. When a node adds a block to the blockchain, it receives a reward. The complexity of the computational task increases exponentially here after a fixed defined time. To calculate the mathematical problem, the "miners" must use their own computing power. If an instance has more computing power, it can perform more computing operations and thus has a higher chance of solving the task first.
The biggest advantage of the Proof of Work mechanism is the decentralization and scalability of the participants. Thus, a very large number of participants within the network can take part in consensus building without the need for authentication.
The biggest disadvantage is the resources required to use a proof of work mechanism. Due to the complex computational operations, which increase exponentially, the mechanism is very time consuming. Likewise, there is a high energy consumption for the computation of the mathematical problems. Here, the inefficiency must be taken into account, since several "miners" work on the same problem and thus all consume power, but only one is rewarded.
Another popular consensus mechanism is proof of stake. This attempts to minimize the use of resources while still maintaining the decentralized nature of the proof of work mechanism. Here, blockchain internal coins are used to validate blocks. The participants who use their "stake" to validate blocks are called "validators." The Coins act as digital property. The more coins a participant has, the greater his chance of being allowed to validate the next block. The probability of being allowed to validate a block is the same as the percentage of coins the participant holds. Thus, if a participant holds five percent of the coins, his probability of being allowed to validate the next block is also five percent.
In contrast to the proof of work mechanism, not every participant can take part in the consensus. A basic requirement is the possession of the internal currency (coins). Likewise, no computing power is needed to validate blocks. This results in a significantly better energy balance.
Validators receive for their use of coins, proportionate transaction fees for the blocks, which they validate themselves. This ensures that the validators act correctly and in the interest of the network. As security, the validators deposit their "stake" and lose it if they validate incorrect blocks. Validators have an intrinsic motivation to keep the network alive, as they hold coins themselves.
The mechanism scales very well. A disadvantage can be the loss of decentralization. If a participant owns a lot of coins, the probability that he will become richer and richer is very high. The reason for this is that he is more likely to be allowed to validate the other blocks. This can lead to the formation of an oligopoly.
Proof of authority is another consensus mechanism. Here selected nodes (validators) add a new block to the blockchain. The circle of validators is kept very small, as they are considered particularly trustworthy and not every participant can be a validator. For this reason, the trustworthiness and identity of the validators is first checked. In the process, it must be ruled out that there is any manipulative action on the part of the validator. This means that no mining and no native currency is required. This leads to lower computing power and fast processing of the blocks. The scalability increases. Since there is only a small circle of validators in the proof of authority, decentralization is missing. Validators can exercise power and influence the network through their position. Due to the centralized orientation and the necessary trustworthiness, the proof of authority approach is more suitable for private permissioned blockchains and less for public blockchains.
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