Blockchain has become a hot topic for enterprises, start-ups, entrepreneurs, and regulatory bodies. Born from bitcoin in 2008, blockchain's promise of a distributed ledger has far greater implications than cryptocurrency. Companies are now beginning to understand its disruptive potential and are experimenting with its most promising applications. But, few companies have asked the more fundamental question: Are we ready to adopt a shared public database for financial transactions? In this session, we cover the concepts of blockchain and use cases in the enterprise. We also demonstrate blockchain in use and show how to implement it using AWS services. Speaker: Anand Iyer, Principal Solutions Architect, AWS

1. EXPLORING BLOCKCHAIN
TECHNOLOGY, RISKS AND
EMERGING TRENDS
Anand Iyer
Principal Solutions Architect

2. AGENDA
• Centralized vs Decentralized
• What is Blockchain
• Why Blockchain on AWS
• Exploring Blockchain Use-cases
• Risks
• AWS Blockchain Ecosystem

3. TRUST

4. Treasury Securities Dealers Accused of Collusion ... Bank of America Corp, Goldman Sachs
Group Inc and JPMorgan Chase & Co are among 22 financial companies accused of
colluding to manipulate auctions of U.S. Treasury securities ... $6bn in fines from banks in
a similar investigation ..."
In rare admission of guilt, Wall Street banks say they rigged markets ... Five of the world's
largest banks have plead guilty to federal charges including manipulating the global foreign
exchange market and rigging a benchmark interest rate that affects the cost of credit card
... agreed to pay more than $5bn ..."
"Wall Street's biggest banks have agreed to a tentative settlement over allegations that they
conspired to rig the market for credit derivatives ... Twelve banks and two industry groups
reached a preliminary agreement ... to pay $1.87bn ... this behavior by Wall Street could be
more far-reaching than we thought ..."
DISTRUST?

5. FUNDS TRANSFER PROCESS - TODAY
Every layer
adds cost and
processing
time due to
the
Centralized
Ledger
Receiver

6. FUNDS TRANSFER - FUTURE
Sender A
Receiver B

8. KEY TENETS OF A BLOCKCHAIN
Multiple
parties share
data
multiple
participants need
views of common
information
Multiple
parties update
data
multiple
participants take
actions that need
to be recorded
and change the
data
Requirement
for verification
participants need
to trust that the
actions that are
recorded are valid
Intermediaries
add complexity
removal of
intermediaries
can reduce cost
and complexity
Interactions are
time sensitive
reducing delay
has business
benefit
Transactions
interact
Transactions
created by
different
participants
depend on each
other
1 2 3 4 5 6

9. BITCOIN != BLOCKCHAIN

10. Nick Szabo coins
the idea of smart
contracts
1997
2009
Satoshi Nakamoto
introduces the
concept of
blockchain
Origin
2012-14
Basic smart
contract
capabilities
added to
Bitcoin
2014-15
Blockchain
consortium by
leading retail
companies like
Nestle and
Walmart
2015-17
Bajaj Electricals
goes live on a
blockchain-based
vendor-financing
solution
Experimentation
2018-19
Regulations and
laws to bring
blockchain and
smart contracts
under the purview
of law arrive on the
scene
Expected first in-
production
implementation of
smart contracts by
financial service
firms
Take-off
2020
Mainstream
adoption of smart
contracts begins
Emergence of new
products and
services enabled by
smart contracts
Main stream
Samsung launches
a pilot project to
track
imports/exports,
cargo shipment
locations over a
blockchain ledger
Maersk aims to
apply distributed
ledger
technology in
the field of
marine insurance
BLOCKCHAIN TIMELINE

11. Most robust, fully featured technology
infrastructure platform
CORE SERVICES
Integrated Networking
Rules Engine
Device Shadows
Device SDKs
Device Gateway
Registry
Local Compute
Custom Model
Training & Hosting
Conversational Chatbots
Virtual Desktops
App Streaming
Schema Conversion
Image & Scene
Recognition Sharing & Collaboration
Exabyte-Scale
Data Migration
Text to Speech
Corporate Email Application Migration
Database Migration
Regions
Availability Zones
Points of Presence
Data Warehousing
Business Intelligence
Elasticsearch
Hadoop/Spark
Data Pipelines
Streaming Data
Collection
ETL
Streaming Data
Analysis
Interactive SQL
Queries
Queuing & Notifications
Workflow
Email
Transcoding
Deep Learning
(Apache MXNet, TensorFlow,
& others)
Server MigrationCommunications
MARKETPLACE
Business Apps Business Intelligence DevOps Tools Security Networking StorageDatabases
API Gateway
Single Integrated Console
Identity
Sync
Mobile Analytics
Mobile App Testing
Targeted Push
Notifications
One-click App
Deployment
DevOps Resource
Management
Application Lifecycle
Management
Containers
Triggers
Resource Templates
Build & Test
Analyze & Debug
Identity Management
Key Management
& Storage
Monitoring &
Logs
Configuration
Compliance
Web Application Firewall
Assessment
& Reporting
Resource & Usage
Auditing
Access Control
Account
Grouping
DDOS
Protection
TECHNICAL & BUSINESS SUPPORT
Support
Professional
Services
Optimization
Guidance
Partner
Ecosystem
Training & Certification Solutions Management Account Management Security & Billing Reports
Personalized
Dashboard
Monitoring
Manage
Resources
Data Integration
Integrated Identity &
Access
Integrated Resource &
Deployment Management
Integrated Devices
& Edge Systems
Resource Templates
Configuration
Tracking
Server
Management
Service Catalogue
Search
MIGRATIONHYBRID ARCHITECTUREENTERPRISE APPSMACHINE LEARNINGIoTMOBILE SERVICESDEV OPSANALYTICS
APP SERVICES
INFRASTRUCTURE SECURITY & COMPLIANCE MANAGEMENT TOOLS
Compute
VMs, Auto-scaling, Load
Balancing, Containers,
Virtual Private Servers,
Batch Computing, Cloud
Functions, Elastic GPUs,
Edge Computing
Storage
Object, Blocks, File, Archivals,
Import/Export, Exabyte-scale
data transfer
CDN
Databases
Relational, NoSQL,
Caching, Migration,
PostgreSQL compatible
Networking
VPC, DX, DNS
Facial Recognition &
Analysis
Facial Search
Patching
Contact Center

12. AWS does not believe in choosing one protocol to rule them all…
• Building an ecosystem that can be tapped into by
different use cases and industries is our main focus
• Enabling experimentation into maturity
• Leveraging our services to enact a robust solution
AWS WAF
AWS CloudTrail
AWS
CloudFormation
Amazon
CloudWatch
Amazon ECS Amazon
S3
Amazon EBS
volume
Amazon
VPC
IAM

13. MOVING FROM POTENTIAL TO PRODUCTION
Digital identity,
verification, and
compliance
Supply chain and
trade finance
Enterprise
Blockchain
platforms
Mortgage loan
applications
Smart
contracts
“Blockchain” means many different things (distributed ledger
technology, cryptocurrency, “smart” contracts, etc.) and is moving
towards mainstream integration as financial institutions look to reduce
inefficiencies and redundancies.
Blockchain use cases

14. IDENTITY, VERIFICATION & COMPLIANCE
• Challenges in security and privacy of identity data to
positively identify, authenticate, and authorize identity
and related activities
• Blockchain-based identity systems enable strong
ownership and allow users, peers, authorities to “attest
to”, or verify, public and private data associated with
identities
• Ability to potentially leverage Know Your Customer
(KYC) data to reduce redundant processes between
institutions
Reduces need
for companies
to store log-in
data and
credentials
Real-time
identity
monitoring
enables faster
fraud detection

15. SUPPLY CHAIN & TRADE FINANCE
• Digitization of supply chain “paper
trail” enables better tracking of trade
lifecycle and ownership and title of
goods at various points in the trade
flow
• Various parties involved in complex
trades can keep contract information
secure while enabling attestation, real-
time monitoring, contract amendment
capabilities, and shipment notifications
Building permanent, open registry
for diamonds
Track provenance of diamonds to
verify authenticity, origin, and
reduce insurance fraud
Supply chain financing using
blockchain technology
Creating global receivables
marketplace to optimize working
capital and streamline financing

16. MORTGAGE LOAN APPLICATIONS
• Blockchain could streamline processes
across the mortgage lifecycle, reducing
costs by removing intermediaries
• A distributed ledger could provide more
accurate, standardized recordkeeping
while smart contracts could accelerate
settlement flows and help track the
movement of payments
Have worked with financial
institutions to assess mortgage-
related operations to identify
opportunities for innovation and
simplification

17. SMART CONTRACTS
• To digitally facilitate, verify, or enforce the negotiation or performance
of a contract
• Performance of credible transactions without third parties
• These transactions are trackable and irreversible

18. SMART CONTRACT EXAMPLE
Alice
Bob
Smart Contract Address
Smart Contract
I will transfer ownership of my
car to whoever pays me
$20,000
$
Ledger
Car owner = Bob
Alice balance = $100,000
Bob balance = $100,000
Ledger
Car owner = Alice
Alice balance = $80,000
Bob balance = $120,000

19. TYPES OF BLOCKCHAIN
PUBLIC BLOCKCHAINS
• Anyone can be part of the network
and have a copy of the ledger
• No single authority owns or
controls
PRIVATE BLOCKCHAINS
• Held or Distributed with only
Trusted participants
• Network may have owners
permissioned to commit

20. STANDARD RISKS
STRATEGIC
BUSINESS
CONTINUITY
REPUTATIONAL
INFORMATION
SECURITY
REGULATORY
CONSENSUS
PROTOCOL
CONTRACTUAL SUPPLIER

22. AWS Partner Ecosystem
aws.amazon.com/partners/blockchain

23. Thank You