Blockchain Technology Utilizationin Global Rakuten Ecosystem
Block Chain meets Big Data
1. Block Chain meets Big Data
Data Night Singapore - April 2016
Vihang Patel, CTO, Dragon Wealth
2. About Me
Creating a superior Client Experience for Financial Advisors and
Wealth Managers using Data
Previous Clients
3. Overview
● BlockChains - Key Aspects
● Applications
● Challenges from a Computational standpoint
● A new data construct
● Applications using Block Chain Data
● Block Chain applied to Big Data
4. The Block Chain (Bitcoin)
This is how the Bitcon Blockchain looks like recently (changing every 10 mins or so) : 471 binary files of 128 MB
6. Surprise Surprise ?
Source : http://www.righto.com/2014/02/ascii-bernanke-wikileaks-photographs.html
Benedictus Sanguis eius pretiosissimus.
Benedictus Iesus in sanctissimo altaris Sacramento.
Ave Maria, gratia plena, Dominus tecum. Benedicta tu in mulieribus, ...
...and life everlasting, through the merits of Jesus Christ, my Lord and Redeemer.
O Heart of Jesus, burning with love for us, inflame our hearts with love for Thee.
Jesus, meek and humble of heart, make my heart like unto thine!
Wikileaks Cablegate Backup
cablegate-201012041811.7z
Download the following transactions with Satoshi Nakamoto's download tool which
can be found in transaction
6c53cd987119ef797d5adccd76241247988a0a5ef783572a9972e7371c5fb0cc
Free speech and free enterprise! Thank you Satoshi!
5c593b7b71063a01f4128c98e36fb407b00a87454e67b39ad5f8820ebc1b2ad5
221d900b5ac701028f9dfab7dfba326f608308386d45c05432e721b7c122cba7
... 128 lines of transaction ids deleted ...
7. Key Aspects and Trends
Source: Evry
● The Ledger
Industry-level system of record (provides
massive efficiency gain for incumbent)
● Transaction Model
Permissionless and Permissioned
Blockchains, Anonymous and Trusted
Validator based Consensus (new models to
support existing use cases)
● The Asset / Token
Currency, Smart Contracts, Physical Goods
[Proof of Work, Coin, Consensus, Bit,
Transaction, Contract, Block, Sign, Chain,
Proof of Stake, Crypto, Hash, Miner, Curve]
8. General Applications
Source - ABE EBA
Asset-centric technologies
● Exchange of digital
representations of existing
assets (e.g. currencies,
metals, stock, bonds etc.)
● Shared ledger but not on a
public ledger
● Trust is organised between
participants directly, so not
through a blockchain and
mining as is the case with bitcoin
9. General Applications
Source - ABE EBA
Application Stack
● Platform for the development
and execution of complete
applications on top of
decentralised networks
● Call it ‘cloud services’ as
delivered, in non-crypto
technology environments, akin
to AWS, Azure, GC.
10. General Applications
Source - ABE EBA
Asset registries
● Public ledgers to register assets
other than the ‘coins’ these
public ledgers use
● Tokens reference an existing
asset (e.g. stocks, vehicles,
buildings, domain names), the
ownership of that particular
asset is publicly registered
without the need for a central
authority
11. General Applications
Source - ABE EBA
Currencies
● Applied in Bitcoin, Litecoin,
Peercoin and Dogecoin focus on
creating so-called currencies
and an associated transfer
mechanism
● Their applications range from
speculations, online and POS
transacting and the storage of
value
● No regulatory oversight (yet)
● (Potentially new Crypto-Fiat
Currency options coming up)
12. Challenges from a Computational standpoint
Slow - Code runs much
slower than natively
compiled
Expensive - Memory and
storage costs take us back by
50 years - and costs $$$
Not immediately decisive -
Actions of last 60s to 10 mins
may be reorganized
Comparison with Big Data Stack
Pubkey script: OP_HASH160 <Hash160(redeemScript)> OP_EQUAL
Signature script: <sig> [sig] [sig...] <redeemScript>
Spending a P2SH
Ethereum
Script
Bitcoin
Script
13. Adding a new Data Construct (collective
property across different block chains)
Atomicity - Entire Operation runs or nothing does
Synchronous - No two operations can interfere
with each other
Provenance* - All messages can be inspected to
determine caller address
Immutability - Object’s code can never be
changed
Immortality - Object can never be externally
deleted
Permanence - Object’s data are permanent
Verifiable and Auditable
Authenticity - All interactions are
cryptographically signed
*depending on implementation
14. Applications using Block Chain Data
● Early Stage for Big Data Applications (a good time to get in?)
● Bitcoin and the Blockchain are great “research objects” for data scientists
● General commercial focus around Bitcoin and Cryptocurrency analysis
○ Currency Volatility and Price Trends (E.g. using Social Media data in conjunction with the Price
movements)
○ Identify which transactions mark Bitcoin currency movements by key stakeholders
○ The ability to identify trends, track data from its source to its endpoint, and making inferred
correlations between data points
15. Applications using Block Chain Data
● Real-time Search and Data analytics
● Scoring Systems (Risk Pricing)
● Data Warehouses - (BlockChain + Other Sources)
● Forensic compliance intelligence
● https://www.elliptic.co/bigbang-v1.html
16. Applications using Block Chain Data
● Forensic compliance intelligence
○ Compliance / AML - Expose funds derived from illicit activities and detect complex money
laundering activities
○ Capital Markets - Combine multiple data sources and discover actionable insights from sparse
data
○ Trader Oversight - Gain insights into risk exposure in real-time and detect anomalous behavior
○ Performance Monitoring - Monitor smart contracts in real-time and quickly pinpoint the root of
the issue
○ Transaction Risk Scoring - Combining source of funds features with behavioral analytics to
detect suspicious activity
17. BlockChains applied to Big Data
ADEPT
● A Take on IoT and BlockChain that can be a
data goldmine
● Protocols + Services + Applications
● (TeleHash, BitTorrent, Ethereum)
18. BlockChains applied to Big Data
A Big Data Lake with
● Data Governance and Regulatory Compliance
● Legal Hold and Long Term Archive
● Chain-of-Custody
● Forensic Readiness and eDiscovery
19. BlockChains applied to Big Data
Interesting take on Notary and Attribution
● Which one among thousand spread across is the original art source?
● Lock in attribution
● Securely share and trace where digital work spreads
● Certificate Of Authenticity
● License Your Work