| exclusive dialogue Algorand: male chain Turing Award winner how to design the incentive mechanism?

The beginning of the year following the $4 million seed round of financing, the blockchain agreement this month Algorand announced $62 million in equity financing.

Do not consider the previously filled bubble ICO, the chain in the public field is still a lot of financing. This is not only a huge amount of financing, investment institutions including USV, CMB international, new capital, Pai 32 (see official website). Besides the block chain is long winter break, exchange project, difficult to continue. In fact, two months ago, the financing of circles has been heard, then Algorand is the hottest time.

Why can Algorand into 420 million yuan?

Angel investment is nothing more than to see the team. Silvio Micali is the founder of MIT, put forward a joint professor of zero knowledge proof, for outstanding contributions in the field of cryptography in 2013 received the Turing award. Due to the outstanding academic achievements of the founder of Algorand, has attracted many attention at the time of the birth of a large number of articles, analysis and analyzing its consensus algorithm, the logo investment institutions can be filled with Yiping. Even on the academic team entrepreneurship has always been a number of questions, or institutions are not willing to miss this project.

“Impossible Triangle” is a chain technology bottleneck industry had the largest number of Algorand, but also to solve the problem. Light can solve the “Impossible Triangle” can not let it become the next generation of public chain. In technology, application case design, incentive mechanism and community construction, the appropriate personnel, is placed in front of every public chain team issues.

Recently, the daily planet Odaily interviewed on these issues Chen Jing, chief scientist at Algorand, referring to the latest progress of Algorand and future planning. Chen Jing graduated from MIT, mainly distributed on books and game theory, currently president of Stony Brook University (Stony Brook University) assistant professor.

Algorand first revealed an interesting point, this is in the forefront of technology team, in the “prevention of votes (stake) centralized” incentives, but not simply rely on the code, and may also reward offline behavior. This seems to make us reflect the popularity of the Code, the usual is law “, is not to go faster than the times?

 | exclusive dialogue Algorand: male chain Turing Award winner how to design the incentive mechanism?

Fast key: local secret ballot, bifurcation resistance

The first is about the latest technology. In view of the fact that Algorand is hardly unknown in the public project chain domain, familiar readers are advised to skip this part.

For a male chain, regardless of its location is a digital currency account, or application platform, need to address the underlying consensus algorithm, which is one of the common chain extension limit. The beginning of the heart which is Algorand — solve the bitcoin consensus mechanism, is the problem existing in PoW, including congestion, energy consumption, and a centralized force.

In Chen Jing explained, Algorand block process is not complicated. Simply select a small number of people running a high-speed Byzantine agreement reached a consensus on the block. Under normal circumstances, each round of three draw:

The first step in the whole network of local secret ballot elected dozens of a nominee (block proposer), they are packed together with their blocks drawn out.

Step two the whole network draw selected by the verifier, will give the block nominees sort, find the minimum draw people as this round of a person. Most people agree to verify, verify people will run a Byzantine agreement. Chen Jing said, the number of users to vote expected value is 1000, but the specific number system according to the number of nodes and the safety evaluation, choose how many people can make the risk probability is low enough, so is the other steps.

The third step draw selected node, will make the final confirmation of this block, to determine whether there is enough users to vote it is accepted, otherwise the null value investment.

Using VRF to reduce the communication cost and power consumption

The so-called lottery, who got the chance to work in this step. This is the biggest characteristic of Algorand – VRF (verifiable random function. The user to enter a specific parameter (seed) + private key will be the one and only random output, and that. The use of zero knowledge proof of Micali was put forward, it is magic that I don’t know what you enter, but can prove that you are not false (explained reading this).

The random draw alone is not enough to block the chain, otherwise easy to encounter Sybil Attack (witch attack). The attacker on the Internet can be a key to control any, if the probability of each public key is selected is the same, may cause the most selected public key is malicious. So it is necessary to consider the probability of adding the weight of each selected, with the number of token users have related (Algorand token named as Algo), as long as no more than 1/3 malicious stake can work normally. This is a bit like PoS and Micali, or even think that this is the most pure PoS.

In fact, PoW also has the draw, it is often said that the problem for solving the problem guessing, so who in the same number of time to guess (is) much more likely to guess, guess a lucky guess a few times on. The calculated force competition makes the energy consumption become large. VRF draw power consumption is very low and in the local operation, do not need to communicate between nodes, so the speed is very fast. Chen Jing said, even the ordinary notebook computer can be a node.

Bifurcation resistance

Bitcoin in order to prevent the bifurcation, block time limit within 10 minutes, do six times to confirm the transaction, a transaction would not slow to. The Algorand protocol can resist bifurcation, even if the network is divided into two parts. The communication between the two parts completely controlled by the attacker, there is no splitting.

If the system in the investment of 100th blocks, due to the presence of malicious nodes, such as block proposer transmitted to the different users of different blocks; or the attacker divide the network into several parts and temporary control of the communication between users.

In different attack scenarios, there may not be any a block in the third step a sufficient number of signatures, may also have a block with enough signatures but the attacker through control of the network the hidden signature. A normal user can not immediately distinguish these two kinds of situations. At this time, the system will enter the formation of 100th blocks of second cycles.

Chen Jing said: “this time you have to cast new No. 100th block, be careful. Especially in the second case, must ensure that second cycles generated before the block is enough of a signature.”

Algorand was able to do in the strong network attack is still not forked, Chen Jing explained, a method is determined for each user subsequent cycle at the front of his own vote period to see the contents of the two is VRF; the selection of the user, can avoid the conflict of a sufficient number of signatures in parameter design.

In addition, different from the general Byzantine agreement, every step of the Algorand participants may be completely different, with the use of VRF. Even if lots of people themselves, only know whether they are selected, and do not know other people. The attacker is difficult to know which machines should attack, even if later, or verify information has been packaged and zero knowledge proof to broadcast out, it is very difficult to do evil. Even if such a situation will cast an empty block, in the new period.

“Trilemma” outside the difficult: Sustainable Development

The Impossible Triangle, also expressed as trilemma (Trilemma). “Although called trilemma, but there is no strict proof of impossibility.” Chen Jing does not think this triangle can not eat. Regardless of the presence or absence of Trilemma dispute, we talk more is the design of outside technology, such as incentive mechanism, community construction, talent recruitment.

This is sustainable, Chen Jing, a word most frequently mentioned in the interview.

The design of incentive mechanism, financing released from the fund-raising, to recruit team, the team hopes to achieve this point.

ICO has no choice and the choice of financial equity, is considering sustainability; future choice and public financing team information, public incentives and other technical documents of the plan, and so.

The incentive mechanism of risk: Alienation of bitcoin

“Motivation is the most difficult.” The first Micali show Algorand mechanism in Malta 2017 financial data encryption machine security conference, said.

There is no incentive mechanism is the most controversial subject. According to Coindesk reports, when Micali said: “we must use the incentive mechanism as a last resort. I believe I can (make up algorand operation in the absence of incentive mechanism, but I did not prove) the exact method I can.” Many people think that Micali is too idealistic, Algorand has no incentive mechanism or the issuance of digital encryption currency.

In the opinion of Chen Jing, and that Algorand is too idealistic to design incentive mechanism, as they are too cautious to the incentive mechanism has not been released. The Algorand consensus agreement due to not based on PoW, the user cost is very small in the consensus agreement. This makes the incentive mechanism of the consensus protocol itself than on the PoW system that has a decisive role. But the Algorand ecosystem based on blockchain incentive mechanism, the team was clear from the start.

“In fact, we are at the beginning of the design of the incentive mechanism.” At the same time, Chen Jing also admitted that the design of appropriate incentive is too difficult. “Like bitcoin, once the incentive mechanism, you don’t know how users will find ways to make money through various loopholes.”

Bitcoin, the global market capitalization of the first public chain, can be described as also the incentive, incentive failure.

A bitcoin is the threshold is very low, but the incentive mechanism to make democratic oligopoly. “Now the situation has bitcoin and contrary to the center,” she says, a large number of stress concentration in the mine pool, miners and ordinary users of both groups are not coincident. Micali also expressed similar views.

The code can not solve everything, both online and offline incentive

Algorand don’t want to create a centralized cash share, or cash become another monopoly.

Bitcoin lesson is that code can not solve the human nature. After studying for a long time in the token distribution, the Algorand is in the forefront of technology team, in the “prevention of votes (stake) centralized” means, but not only rely on the code, also to the line.

1, I hope to help the community construction through incentives, including the developer community and the user community. “Our team members of his former school are very emotional. We think highly of university cooperation, both as a user, or to the token distribution, are very important.” Algorand will invite top universities become a node in the global scope, do research and application in the network, the Algorand foundation will be part of the token configuration to university program. “We think the University of social welfare look againer, they do research in the above, may motivate people to do more more in-depth exploration on the block chain, at the same time, the university is a good way to connect to the community.”

2, do not necessarily have a reward in line, the line may also be rewarded. In bitcoin, accounting only have a reward, in order to compete for a piece of the right lead users to continuously improve work force. To avoid making the same mistakes, Algorand award will run the program itself, regardless of whether they were drawn are likely to be rewarded, a bit like a personal version of the cloud computing vendors. At the same time, to participate in community building activities, and the behavior of application development under the line can be rewarded. The Algorand foundation holds part of the ALGOS is dedicated to community construction, through design etc..

3, the establishment of an auction mechanism, to keep the attention of the community. “We don’t want to do ICO, token sold out, then you lose attention, nor to provide long-term effective reference price discovery. We will be in their own home by auction (auction) way to distribute out the part of the token, such as a daily auction, has been 5 years.” I feel that with EOS a year long ICO is a bit like. The difference is, Chen Jing told me that Algo’s auction on-line synchronization, and the grid will not advance; and the auction has been carried out in the main.

She did not disclose too many details of the incentive mechanism of the future. In addition to considering the release rhythm, one of the incentive mechanism is too easy to be copied is the team’s concerns.

Such concerns also exist in the underlying technology research. The open source community should make collective sharing and improve the software, the word plagiarism is a pseudo proposition. Block chain is a source, we have no way to prevent others with your things to do other things, and others to use our technology but also for our approval.” Algorand balancing approach is to choose the hash value of the public technology, and then gradually open technical details.

 | exclusive dialogue Algorand: male chain Turing Award winner how to design the incentive mechanism?

To solve the consensus mechanism, further adding smart contracts

The Algorand is a “distributed books”, which can transfer, without intelligent contract function. The test network has been on the line, 2019 line network planning.

The first version is mainly to solve the consensus problem, ensure to the center of the structure of a bottom, there will be a virtual machine full state. Since then, the platform will according to industry demand gradually launched new functions, such as digital assets function for the financial industry. With the increasing application of token platform, the value of circulation increased, may need a more stable value. This is also the team will consider the future.

Finally, I and Chen Jing also talked about the configuration of the team. Algorand now has about 35 people, is still in the expansion phase, looking for China community Operations Manager (as well as other engineers and researchers and other positions). “There are a lot of community Chinese blockchain is very interested in technology and love people.” Algorand used to Chinese to held three meetup, the depth of the enthusiasm and thinking participants made her very happy. “Can be seen from many participants, many people are really on our system.”

I’m Odaily the daily planet editor Lu Xiaoming, exploring the real exchange block chain, broke the news, please add lohiuming, please note Name, unit, position and reason.

Reference article:

To overcome the triangle block chain impossible? “Algorand” has recently received 4.5 billion yuan investment

Professor of Massachusetts Institute of Technology, Turing Award winner Silvio Micali raised $4 million to build a better block chain

Counter intuitive Algorand: breaking the “Impossible Triangle”, an ideal country or Utopia?

No Incentive Algorand Blockchain Sparks Debate at? Cryptography Event

Goldwasser, Micali Receive ACM Turing Award for Advances in Cryptography

Algorand Releases First Open-Source Code: Verifiable Random Function

Algorand introduction

Algorand: the password monetary scalable Byzantine protocol

Know about the Algorand consensus mechanism

Algorand Lecture Notes

“Proficient” bitcoin author Andreas: one day in the future, everyone will need encryption currency?

This article from the information: Babbitt (ID:bitcoin8btc), author: Colin, the daily planet authorized forwarding.

In the ten years of bitcoin change is undeniable. Bitcoin has experienced about 6 market cycles, spawned a has more than 2000 competitive currency market in two, and laid the foundation for the rapid development of the industry chain block. It has been from the beginning of the password and password small hobby punk anarchist become a viable currency privatization, enough to provide an important economic lifeline for those who are unable to enjoy banking services and basic rights in the near collapse of the economic man.

Andreas Antonopoulos photograph: Bitcoin Magazine

There are a lot of people change bitcoin this ten years have their own views, including Andreas Antonopoulos. He is a well-known bitcoin preacher, is committed to the popularization and promotion of bitcoin. Since 2012 to enter this industry, Antonopoulos will go all around the world to share their views on bitcoin. The “master”, “currency bitcoin Internet” and the forthcoming “proficient” etheric Fang known as learning and reading encrypted bitcoin currency publications.

There are people in the rich at the same time, he has become “rich” to the community in another form, reminding bitcoin is not just Lamborghini wood and soil (to the moon) expression package. Last year, the bitcoin Authority revealed that their own hands and not bitcoin, immediately after he was given to the value of $160 million dollar coins, this is enough to prove its influence in the community.

In an interview with Bitcoin Magazine, Antonopoulos shows the change of the whole ecological experience, lessons learned from these changes, he also explains why experienced challenges 10, bitcoin’s spirit still exists.

Straight, this decade what change?

Antonopoulos: change too much, where to start?

When I started to enter the industry, the community is really small, contact is also very close, but very focused. We have a lot of common goal, the feeling is very close. I remember that I most want to let people know that this is not just the payment. Bitcoin is not PayPal; it is more powerful than PayPal. It is not only a payment network.

In order to better express the view, I put bitcoin as a platform at the time. You have to think so, this is not just a bitcoin, but a bigger thing: block chain. Unfortunately, I wanted to describe a something more convenient for people to understand the potential, but the next 3 years, people began to use the word “blockchain”, rushed to the spot, and all the block chain has been linked – and in fact many things and not block chain. So the 4, I went back to the origin, published a theme for the “VS” block chain nonsense speech.

Are you referring to currency ecological competition?

Antonopoulos: not only that. There are books distributed technology (DLT), a private bank, chain chain, “pretend this is to the center of the ecology but actually not.”. They tried to hijack this industry acceptance, expansion and differentiation, and even destruction of the industry.

In 2013 the first meeting on the first meeting, I also participated in, this kind of phenomenon began to appear. By the end of 2013, this is the fourth or fifth bubble, bitcoin prices reached $1000, this phenomenon began to spread.

So this is a close knit community, while ‘swim shark’, everyone wants a share, and use your influence to make money. All of this seem stupid is false is also very hypocritical: “I have a project, we must reform the real estate industry, we should reform the transaction, we must reform the medical industry.” Most of them are rubbish, purely for profiteering.

I have to change an angle to think, to distinguish between what is real, what is the real “killer application”, what is happening now.

So you have come to the conclusion that (the killer app) is bitcoin?

Antonopoulos: not necessarily bitcoin, but to go to the center of the currency and to the center of things. To the center is the core. If you can do to the center of the currency itself can also be a killer application.

This is the first change.

Another change is that one of the reasons to attract people into this area is the people here to find a sense of belonging, make them feel like they belong to this adventure — this kind of adventure in violation of the conventional, mainstream, very strange, it sounds like we are powerful forces and not to be optimistic about a square.

And similar movement, eventually the interior will be split, there are some people in the “weak” and “identity within the system bitcoiner ‘counter. Suddenly, bitcoin will become within the system, some people would say “this is bitcoin 2, better than bitcoin, bitcoin can solve all the problems.” Then you’ll see the bitcoin community division.

Do you mean this circle of people in “cannibalism”?

Antonopoulos: because some people think they must be weak, we must fight with others. They are such a character. When you fight for something suddenly recognized, IBM and other companies are also involved, this time the situation is very interesting.

That is to say, they must find a new “target”?

Antonopoulos: yes. This is the status of crypto currency field, full split and internal struggle, whether between bitcoin or bitcoin and other systems or other systems are in such a situation.

Soon after the etheric Fang appeared, shouting “we will replace bitcoin, bitcoin beyond the slogan”. Next, before you begin to understand the etheric square, there is not 5 version: “etheric Fang is too conservative, we are the best solution.”

This is Trotsky (Stalin’s opponents) phenomenon. At the start of the revolutionary weeks appeared anti revolutionary movement. Some revolutionaries are not idle down, this is not a bad thing: principles, ideals, political belief. Many people think that this is an act of aggression, is hypocritical. But honestly, in the past 4 years, in opposition to the new machine I know (bitcoin) people, mostly well intentioned.

This is like fighting on both sides, side to side and external confrontation, like fighting himself, right?

Antonopoulos: Yes, this is a very typical human behavior. Ironically, for those outsiders, we are all freaks. They will be impossible to distinguish between those good for business freak and bad for business freak. We are all freaks. Because this system has existed for hundreds of years, you can’t say come, say to change.

Of course, each facing change will say. There is a simple solution: to one day, there will be a strong conflict, “the system” to those who attempt to subvert its people launched a strong counterattack, but that day has not come yet.

Interestingly, when they came back, they do not think that Bitcoin Cash (BCH) and bitcoin, bitcoin, Fang Fang and Ethernet and Ethernet, Gerbaud Monroe and Zcash – what is the difference in their opinion, we are just a group of strange anarchists, trying to help terrorists and drug lords destruction financial order. They do not distinguish between. They will attack us all, and this is precisely the best moment of unity.

Once subjected to external attacks, everyone will unite for common interests, we became friends again. This in any divided country can be proved, once the external appearance of the enemy, will set up the United front.

When it comes to external forces, how do you think the government plays in this field? Especially North america. What we see is the right direction? Or just to show off?

Antonopoulos: I think that is not important. This is just a grandiose performance. They want to seem to keep pace with the times, seem to support business support innovation — it is nonsense. First of all, the system is not enough to produce a great influence, has not been able to disrupt the existing industry, really at that time the government will start to adjust their livelihood strategy, know where, know who pay. But we are not for all the people to pay.

Then we will feel very direct hostility, see a lot of false information. At present, they only played the role of the regulators kind and generous, calm and considerate, do not want to hinder innovation. This is acting. No meaning.

In the United States, the division of the state is more obvious — because there are 15 federal regulators, 50 state regulators, some institutions will say ‘I don’t want this thing, you will be responsible for supervision! ” Others will say “this is our territory! You go out! ” The same thing is staged around the world.

There is no country’s government have done better in this regard?

Antonopoulos: This is really important? This is not the government. In a decentralized system, the algorithm creates governance mechanism, and it is the first to subvert the supervision.

This pattern of early subversion of the regulators: “we are managed according to this way, we don’t need to be some institutions and supervision committee.” People think I said these are questioning their authority. In fact, I’m not questioning their authority; they are the authority of the owner. I just question their ability to perform this kind of authority.

You said that there is no way to determine whether there is a place that allows them to execute the authority?

Antonopoulos: yes.

So you think this field does not need regulation?

Antonopoulos: of course. It has already been supervision; supervision it is mathematics. This regulatory model is highly uncertain, is predictable. No ruler in this system, but it does not mean that there are no rules. There are many rules, there are many specific rules.

There is no wavering rule. People must be aware of this: we don’t need supervision of encryption currency, this does not mean that the encryption currency does not need to be regulated, but because it has been regulated, it is regulation algorithm.

If you want to let the algorithms assume regulatory responsibilities, here is your playground. If you want to rule, we have such a system. This is not what new things, in fact, this is the problem we are trying to solve.

I will come to see the problem in a very simple way: most of today’s institutions in the management are basically the era of industrialization, it is the product of the industrial revolution. This means that they are born in late eighteenth Century and early nineteenth Century. Here has been unable to continue to expand, because of a sneeze in one place may trigger a hurricane in another place.

The relationship between us is too tight, that can not pass the rule of man and human decision-making way to manage different areas. If you try to accept the industrial age model of governance, and want to expand the scale, form bigger gathering area — EU, Russian Federation, United States, soon after they are either there will be corruption, or will become very cold, either unable or very difficult to make decisions, because they can not scale.

The question before us is, we not only need them to expand the scale, they also need to expand enough to cross the boundaries of the scale. This sounds terrible, because there is only one world government, if our own government fails, then multinational government how bad? We need a different mode of governance. The industrial revolution is no longer suitable for us. This is my view on the system.

Once the government realized it was a game, a game to change the governance mode of the game, I think we will see a completely different response, we may face obstacles.

There is one thing: I think we overestimated the government of interest (blockchain). Their problem is too serious, and we are doing nothing. The dollar has its own problems, but also very much.

Many people think that bring a lot of institutional investors and funds bitcoin ETF by. But in fact, ETF is not a bitcoin bitcoin, which is similar to the contract. Do you think bitcoin ETF or whether futures with bitcoin concept draw further apart?

Antonopoulos: This is two completely opposite. Because the things you say is the center of the custodian to give you a small part of the ownership. You will be subject to currency fluctuations. You and those who hold private and have bitcoin or other encryption currency directly to the person, you do not have any autonomy, can not participate in the vote, can not be independent of the transaction. Encryption currency should be a direct participation system.

When you invest in this ETF two class market, you have no right to participate directly. You are just two or three citizens, the rights and interests is limited.

The remaining interest in where? In the hands of the custodian. They have the right to decide which branch is legitimate, you can’t. They have the right to vote for the next time you can’t soft bifurcation. They have the right to decide whether you want to switch to other currencies, you can’t.

But this does not mean that they will destroy the encrypted currency.

If this investment, so investors better. But this is not related to investment, technology and related. So many people into a technology, especially the technology was not ready when carrying so many people, so there is a benefit without harm.

When the AOL (United States Internet service providers) when entering the field of Internet, AOL said this is “the golden age”, said the Internet is “black Monday”. Because the AOL on the Internet just when the general development, standards and application in this field, brought 3 million do not understand what rookie. Everything is out of control, because the Internet is not ready for large-scale users, also not ready to load those do not adapt to the new culture of the people.

You mentioned the concept of “one bank” at this stage it seems unrealistic, because of the presence of user experience, practical and technical problems. It is not as long as we have used more intuitive design and more secure, we will witness the popularity of more comprehensive?

Antonopoulos: we will not see the overall popularity. At that time, we should be able to help those who really need the technology people. You know not everyone needs this technology. The world about 5% to 10% of the population living in the democratic society, where institutions and banks can normal operation. We are the lucky ones — we are not the technology of the target population. In the long term, we need this technology because our democracy is rapidly disintegrated, but in the short term we do not need to use bitcoin to buy coffee.

So, in the long term, developers and educators should do what? The rapid development of the community should do in order to achieve encryption currency?

Antonopoulos: first of all, we must know that not everyone needs bitcoin, don’t put it “sell” to those who don’t need it. Not everyone is ready or should participate in this system, right? I know we have a lot to the bitcoin. My friends are involved, they may be involved in the investment, perhaps they feel happy, but also may not be happy, this is a double-edged sword.

But that really is the impact of this technology is the 60 million people: they cannot enjoy normal banking services. For them, bitcoin on behalf of the human rights, especially the protection of basic rights, so that they no longer have the corruption mechanism of persecution. This is where the power: it gives people freedom.

So whether the future one day, everyone will need encryption currency?

Antonopoulos: of course.

Do you think that day, there will be a crypto currency with privatization or nationalization form?

Antonopoulos: all possible. May each of you can think of: state-owned and private, issued by the government, private issue. I think, in essence, issued by the State Encryption currency belongs to the “business”, will not change what. The most fundamental problem is the control center, and the government issued currency is the absolute center of the encryption.

But they could not issue a fixed number of encryption currency, right?

Antonopoulos: really. And it is not a review or they cannot control or verify the identity of the crypto currency. Because the supervision in their view is the most important.

Therefore, all this may occur, but may become boring. Because the more significant is a global system of open, borderless, neutral, anti censorship, it can give people the power of choice.

Bitcoin is no borders, no control center, the purchasing power and the right to vote to ordinary people.

Antonopoulos: I think that bitcoin, people will think of politics. This is because bitcoin is like a mirror, you can always see the things you want to see. However, it is Marx and Marxism or capitalism has nothing to do. It is the encrypted currency. It is interesting that the Marx doctrine and the capitalist system were created in 18 at the end of the century and the beginning of the 19 century, is the product of the industrial revolution.

Bitcoin is a product of post-modernism. It can not enter any existing system, because we are trying to create a new system, a system to redefine the governance model. Some people regard it as the Marx doctrine, some people regard it as capitalism, some people think it is liberalism, some people think it is anarchism, this is because they try to give bitcoin labeled traditional labels.

You must re create a label. Bitcoin is an asset? Is the stock? Is money? Is the stock? No, bitcoin is encryption currency. What is the encryption currency? This is a new thing, and all of the above concepts are different. It also has the characteristics of precious metals, securities, stocks, contracts and currency, but does not belong to any kind of concept.

V God’s latest speech: Ethernet square 2 what is it?

 V God's latest speech: Ethernet square 2 what is it?

Editor’s note: This article from the value chain (ID:cc-value), author: Vitalik, Min Min, Elisa, compiler: a sword, the daily planet unauthorized release.

This is Vitalik in Devcon4 speech translation. English text from the recording and dictation, translation or will have any doubt, please forgive me.

The original link: https://www.youtube.com/watch v=Km9BaxRm1wA?

Congratulations on the 10 anniversary of the birth of the consensus!

Ethernet is 2 square the theme of my speech today, but I hope that the present is not only the etheric Fang 2 on technical points, including why we need to push the etheric Fang upgrade, we will do the upgrade, but also through which to go today.

So, what is the etheric Fang 2?

In recent years, some of the characteristics we diligently study and Discussion on the system, but also put a lot of energy in the development of the App on the end, they come together to form a harmonious world. These properties include rights proof algorithm, Casper; scalability slice; virtual machine upgrade, EWASM; strengthen the cross chain contract; improved protocol economic model, and contributed to the improvement of the logic layer very much diversified. There are so many important topics.

What did we explore?

PoS

Proof of interest (PoS) related research started in 2014. This blog I published in a month (Slasher: Punitive Proof-of-Stake Algorithm) describes a person called fines (Slasher) algorithm, introduced the idea of the basic algorithm in the proof of interest: if you violate the agreement and is found, (this can be proved by), you have to accept the punishment; this method can be used to enhance security. But then, as you can see in the slide, I believe that Slasher is a very useful construction, can make the proof of interest “mining” arsenal became more substantial, and provide us with a more powerful reason to switch to proof of interest. Of course, we have not done so.

Therefore, at the time, like PoS as our direction is inconclusive. But as time goes on, it becomes much clearer.

Scalability

In 2014, first of all, we discuss a series of interesting and important ideas, such as “Proof of proof of work”, which is a kind of enhance the scalability of the proposed; “center spokes (Hub and spoke chains chain model)”, let a chain become the center, a series of chain as subsidiary this is actually a very early extension and slice proposal, try to improve the regional transaction scalability, but does not improve the global transaction (i.e. from one chain to the other chain) scalability; “super cube model (Hypercubes), the cube has 12 dimensions not 3, so we can achieve more than the center spokes model scalability.

Now, for many reasons, these ideas have been abandoned; however, people who have really made a great ICO to develop them, really happy people are willing to try (laughter).

So in 2014 we have not made the right progress?

Progress in 2014 years

Yes, we have。 We got a concept called “weak subjectivity (Weak Subjectivity)”, to some extent, this is a semi formal security model, try to explore the PoS bond forfeiture conditions, and under what conditions PoS is safe. At the same time, we are more determined, PoS algorithm has stronger security properties exist, so little money (Peercoin) and its variants is really possible. We have come to realize, there are some scalability with random sampling strategy can prove the algorithm combining the rights through, but we don’t know how to do.

At that time we identified a roadmap for Vinay Gupta in 2015 wrote a great post 3 month, 4 cited the main stages at the time line of the etheric fang. The first stage: Frontier, which we started a project stage; stage 2: Homestead, from alpha to beta; phase III, Metropolis (literally “metropolis”), that time is expected to develop Mist and user interface and enhance user experience. But since then, we focus on the implementation of encryption technology more support, and interface of ascension into the parallel target. The fourth stage: Serenity, realize the proof of interest. From now on, I would like to call the etheric Fang 2, of course I wouldn’t refuse to use Shasper to refer to. To avoid confusion, we can also be called “Serenity”.

2015-16: low

Then, we will usher in a trough: we encountered a series of failures in solving PoS scalability, some of the core issues, Vlad quietly suspended all his work at Casper in CBC.

We are one of the most interesting idea is “(Consensus by Bet) betting consensus”: the participants for the next block which will be finalized once some people bet, bet, bet on the fact that they will become the consideration of other people to bet. So, in a sense we have a recursive formula, with the passage of time, more and more people will bet, which block will be finalized will become more and more obvious; in the logarithmic round later, everyone will own all rights are cast, so I have to to qualitative. Along the way we go quite far, it created a complete proof of concept, you can see (on the slide) to determine the process, and what the signature function. I mean, here we spent most of the time, but then the whole idea on the stalled, the main reason is that we know to which BFT heuristic consensus algorithm can really work safely.

Store rent

The concept of Rent: the truth is that with the use of storage space charge high fees once, we can gradually collect fees. Therefore, every day, every block or other way, once a particular storage space occupied, you will need to pay a certain ETH. This is written in EIP 103, but it is really only for EIP 35, because 35 is the number of issue. This is a preliminary idea, try to form a formal concept. From then on, we’d better use rent this point a lot of iteration idea on how to.

In 2015, the scalability of the paper

This paper aims to form the concept of the two party patch and super two side pieces, but it is really too complicated. It will contain some very complex (escalation game) game intensified. The whole idea is inspired by the role of escalation in the legal system of the (I know Joseph’s philosophy of love using this analogy, but very much) I tried to put it into the base layer. Which also includes “depth”, that is to say, the state reversed if something is really wrong, then a large number of states can be rolled back depth in the future. Really very complex.

 V God's latest speech: Ethernet square 2 what is it?

In fact, one of the fundamental issues that we cannot fully grasp, but gradually close, is the so-called “Fisherman dilemma” (Fisherman’s Dilemma). This is a very basic concept of film research, describes the expansion of state executive (scaling execution), the execution and data extension procedure extended availability (scaling availability) the huge difference between the. The fundamental problem is this: if you want to run the program, you can make people what is promised to answer, then you can challenge the game, using the dichotomy search to determine in which step who is wrong (translator’s note: every time run only half of the calculation process, compare the results to find the two sides in the end in one step get it wrong), confirming the fact that you can punish those who give wrong answers. While the data availability problem is: no matter how challenging games run, you can cheat, because you can not open any data until the mechanism to check if you have any public data, then the data as long as you open to examine the mechanism of it.

 V God's latest speech: Ethernet square 2 what is it?

This has proved to be a great many scalability problems in the algorithm. I used to write a blog to discuss this issue, you can search the A Note on Erasure Coding and Data Availability, which talked about more details. This is one reason for the slow drag on our progress. But even so, we still are very pleased to be able to promote the etheric Fang to move on, we go in their own way!

Well, then, out of the The DAO event (laughter). This is not what, also no more questions. OK, well, another “Shanghai DoS” attack (the audience was a little slow).

In short, The DAO events, DoS attacks, and ultimately delay the many events and energy, even up to 6 months. However, we are still in progress, EWASM in advance, a virtual machine research in advance, we have an alternative version of EVM1.5. But we have a deeper understanding of the multi angle, better block chain morphology algorithm.

Temper line

Then, we quickly made a series of significant progress. At this time, we have the harvest in many different fields: some are around, let us hope that the interests of the common layer more efficient; some on scalability, we hope to make the base layer can be divided into consensus; some are trying to improve the efficiency of virtual machines; some are on account abstract, abstract account allows users to choose which one to use signature scheme, which can obtain the safety after the quantum era, and make privacy solutions easier; and focus on the economic model of the protocol layer. Of course, all of which are still growing.

Casper FFG

At a point in time at the beginning of 2017, we developed a protocol, and a modest Name: minimum fines conditions (Minimal Slashing Condition). The minimum conditions for the transformation of the traditional Byzantine consensus confiscated type PBFT; in 80s, Lamport, Shostak et al will create similar materials, but I simplified the algorithm and put it into the most blockchain environment.

The basic idea is as follows: in a block on the chain will continue to produce a new block, you can merge and continuous observation to obtain efficiency of a pipelined version: the start of each round you will add the data for this, but in the next round of people can confirm a part of these data; we can get great efficiency from the upgrade (translator’s note: This is the core idea of FFG, once in a round in a block of 2/3 verifiers agree, the block will be the parent block finalized).

The beginning of the minimum fines have 6 conditions, then I was reduced to 4, and a year later, we terminate the merger of prepare and commit, this is Casper Friendly Finality Gadget (of gadget friendly determination FFG).

Slice

Last year Devcon I demonstrate this new patch design, is to keep the main chain unchanged, then create pieces as Mount Layer-2 system at some point in the existing chain, then upgraded to be reliable enough to confirm Layer-1.

Casper CBC

Then from the Vlad Casper CBC to the.

Casper FFG POC

Thailand time 2017 year 12 month 31 day 23:40, we happened to be in Thailand at that time, Casper FFG proof of concept was born. At that time we really want to make sure that a consensus on PoW/PoS hybrid technology is what in the end, and that a hybrid will use part of the concept of consensus from Casper FFG, inspired by a part of the traditional concept of consensus and Byzantine fault tolerance, load on the existing work proof chain. This is a kind of can let us fast turn mixed consensus mechanism, and due to the existing block chain impact is minimum, then we will theoretically be upgraded to the full proof of interest.

We also go far in this way, we also do a Python test client, VPS, server and computer communication to do different test.

Shasper

At the same time, we also made a lot of progress in the block. We continue to improve on slice technology, we in the 18 year 3 month in Taipei organized a collective rest. Here a lot of ideas began to emerge, how to achieve a sub area block chain looks become clear. To look, it becomes clear.

In June, we made a very difficult, but I personally think that in the long run very valuable decision. We found that: Well, here we have several teams in mixed interests proved that they are trying to Casper FFG for the intelligent development of an existing contract chain, make an adjustment to the bifurcation of choice rules; on the other side, there are a few pieces of complete isolation of the team, to a verifier or developer said management contract (later the chain was renamed patch management contract), development system on this basis; they are not between exchanges. In this side, eventually becoming more and more clear: let the core slice system on the PoS chain will bring a higher efficiency for us; into a contract on the PoW chain, we have to deal with the overhead of EVM with Gas mechanism, to cope with the unpredictable PoW block time PoS; + partition can bring faster block time and a series of benefits.

Then we realized why, here there is a team in the development of PoS, there are a PoS project? Why do we want to repeat the work? Then we decided to work together on both sides. A lot of work before the decision to a death sentence, but profound: we will work together to develop a technical specification, the same protocol, and we can also make Casper PoS and slice complement each other.

All in all, and have a purpose, there is another side, then we try to tell how to merge the two results, we should spend some time in the starting point, and then to a proof of interest and area block chain. (applause)

Other

At the same time, we spent a lot of time to discuss the bifurcation selection rules, finally we are getting closer, more and more in-depth understanding of divergent selection rule; although GHOST algorithm is the beginning for the proof of work design, but because of a series of reasons, we propose that the rights for re.

Justin began to study of delay function (Verifiable Delay Funciton, VDF), we have a studio at Stanford, Justin has been there many researchers with cooperation.

About how to realize the abstract and rent, we also formed more ideas. For some reason, we decided to rename the storage storage rental and maintenance costs.

In terms of research, we are studying the inter slice transactions, such as csoss-shard-yanking, we generalized some concepts in traditional distributed system, using asynchronous cross patch in the environment; and resource pricing papers, including the optimization of cost market, how to charge the storage and maintenance costs, the trade-off between different design. Casey also wrote this article to discuss the inter slice transaction synchronous assumption. Of course, the CBC study also extended to the field of the patch, and, this really is not Valding, Vlad hate the word. We have developed in the etheric Fang 2 development strategy is: to promote the use of multiple clients to the center of the pursuit of creative development. This is not just because we have to go to the center of the pursuit, this is a very practical strategy, is the other team would have bet you do well; in addition, the Shanghai incident let us wake up, if a client of a problem and no other client, the entire network can run better; by the way, also let the development of the whole ecosystem more does not depend on the fund itself. Foundation of real development of the client is a Python client, Python has inherent limitations in performance, it also gives you the incentive to run created by Prysmatic, Lighthouse, Status and Pegasus client and other such as bamboo shoots after a spring rain as the emergence of the team development of client.

The upcoming Serenity

Then, I have to say, the upcoming, cannot be called Shasper. Serenity is about to set sail!

What is the Serenity?

First of all, Serenity is the fourth stage after Frontier, Homestead and Metropolis. Of course Metropolis is divided into Byzantine (Byzantium) and Constantin Bo (Constantinople) two stages, and Constantin Bo soon started to upgrade.

Secondly, it is the combination of us in all these different areas into 4 years, including Casper (not only is a mixture of consensus, including 100% pure Casper slice, EWASM), and the concept of all of these protocol research.

Then, this is a new block chain. From the data structure is so, but it will be with the current workload that keep in touch block chain. So, for example, the PoS chain can perceive PoW chain block hash value, you can transfer from Ether PoW to PoS chain chain. This is a new system, but also a set of interconnected system, the long-term goal is: when the new system is stable enough, the application of all existing block on the chain can be stored in the contract a slice on the new system, then there is a EWASM written with the EVM interpreter. This point has not been finalized, but from the current point of view, this is almost our roadmap.

Again, Serenity will become the world’s computer, rather than intelligent mobile phone in 1999, only 15 transactions per second, can barely play snake.

Finally, Serenity will continue to the center, we also hope that in some dimensions, it can be more to the center than the existing block chain. For example, as a beacon chain verifier (from the current point of view) your storage requirements may be less than 1GB, today you need 8GB to store state than, or like storage Ethernet block chain online rumors that Fang’s need for 1.8TB, will be much better.

The expectations of the stage

Phase 0: beacon rights proof chain. From a certain point of view, PoS beacon chain is a block chain warehouse, storing all the information, but it is the silence. The beacon chain will have some verifier (validator), the verifier will run the PoS algorithm; it is between the test network and the main thing, it is certainly not the test chain, because you can pledge the real Ether in and get real Ether rewards, but it is not the main chain, because there is no application, so if it collapses, people will not kudiehanniang, won’t cry like Shanghai DoS attacks.

Phase 1: as the slice data chain chain. This is the piece some role. This is a simplified version, that is to say we do not state slice, but the data sheet; you can put the data into the chain, then try to run a state of their own execution engine. In fact, the most easily slice data. Therefore, if you want to do to the center of the application in the block chain, you now have scalability, but does not have the ability to execute state so the development of intelligent application of contract and all those complicated things. (translator’s note: this sentence should have doubts. The accompanying video link in the original twenty-third minutes).

Phase 2: EWASM state transition. This includes: support virtual machine, support account, contract, Ether transfer sheet, etc..

Phase 3 and beyond: iteration, adding new technology.

Desired characteristics

  • PoS pure consensus.

  • A faster synchronization confirmation time (8-16 seconds). Note that because of the bifurcation selection rules and signature chain beacon mechanism, a beacon chain confirmed between hundreds of verifier message delivery, from a probabilistic perspective, in fact equivalent to hundreds of times on the chain to confirm the block existing Ethernet work proof workshop. The synchronous transmission in the message under the assumption that already can be regarded as a block will be finalized.

  • In the confirmation of synchronization under the assumption that the 10 – 20 minutes to achieve economic uncertainty (Economic Finality).

  • Virtual machine to execute faster by EWASM.

  • Ideally, reach 1000 times the scalability.

The innovation of Serenity

To strengthen the protection of privacy. We have done a lot of work. For example, in the Byzantine stage, we activate the elliptic curve arithmetic, elliptic curve, pre compiled. Barry White have done a wonderful job, use Layer-2 to protect the token transfer, voting, reputation system in privacy. This work can be borrowed.

  • Cross patch trading.

  • Semi privacy (Semi-private chain) chain. The idea is that if you want to develop some applications and data remain private state in a part of the user, you can still put all the data into the chain, you are only in encrypted form put it up, or upload the hash value, zero knowledge proof, can decide.

  • Proof of interest on innovation. This is a thing we always concern. When Casper CBC enough economy in expenses, will be added to our roadmap.

  • In Serenity, we will prepare everything to upgrade to STARK. For example, STARK is used to verify the signature polymerization, erasure code (erasure code) to check the data availability, may eventually be used to test the correctness of the implementation of the state.

  • Cross patch transaction form stronger.

  • Single confirmation faster. To confirm the time from 8 seconds to lower.

The intermediate goals

  • The final stabilization function of Layer-1

  • Considering the use of Issuance, as well as the cost of……

  • When people want to guarantee provided by the protocol layer (guarantee) and get more and more able to attribute the consensus

  • Considering the problems of governance

The upcoming update

In the final issue before, we will do what updates?

First of all, the protocol layer on stereotypes. Has been paying attention to the GitHub on the Ethereum and the 2 main specifications, beacon content should chain code until the protocol layer is developing very fast, but very soon we will get off the ground.

Continue to be developed and tested. It has 8 lanes and 2 Ethernet protocol implementation under development.

Across the client test network. Some people show very much hope to see across the client test network in the next year 1 month run up. Of course, I also very happy to see that this year 8 months we have seen the hope. Here is a brief review of the development history of the etheric Fang 1. The white paper from the concept to the official release, the interval of 19 months, with part of the reason for such a long time in technology that has not yet finalized before we tried to create cross client compatibility, we have agreed to do the test, test network, wait for the agreement to change, agreed to release new test network, and then wait for the more changes of the agreement, so repeatedly 5 times. In this matter we have learned a lesson, we do not need to focus entirely on the cross compatibility of the client, can wait for a real close technical specification was finalized again. I think we can release candidate technical specifications is not far off, at least in part of the state does not include execution is so.

The last is the security audit. Here what the audience that security audit is important? (audience) what the audience that the security audit is not important? (who think that the world is in perfect silence) is the lizard (Lizardman) control? (laughter) well, third people also smiled for a second, awesome (translator’s note: mean to believe that the world is the lizard man control, than many people believe that audit is not important).

The last is the issue. Do you think the issue is not important? (no response) well, then all who love the most political candidates is a lizard man? (laughter)

Well, so, the issue is that we have been expecting for a long time and in the past 4 years of continuous struggle for milepost. And I believe it will not be too far away. Thank you!

Liu Xiaolei professor at Peking University Guanghua School: block chain helps to reduce transaction costs, boost the real economy

 Liu Xiaolei professor at Peking University Guanghua School: block chain helps to reduce transaction costs, boost the real economy

The day before, Peking University Guanghua School of Management launched the first phase of the block chain paid courses — “advanced application and value creation”. The three-day programme, according to the current public information display, including guest of digital currency teaching director, Guanghua School of Management Department of finance Peking University Guanghua blockchain laboratory Liu Xiaolei, the people’s Bank of Chinese director Yao Qian, Wu Jihan, Chinese, CEO Bit Universal Holdings Limited vice chairman Xiao Feng, Peking University School of information science and Technology Professor Chen Zhong et al.

It is understood that this is the first domestic universities for the blockchain launched special education courses. Recently, the daily planet Odaily carried out a depth interview professor at Peking University Guanghua School of management and Liu Xiaolei, during the interview, we talked about “blockchain talent education”, “blockchain future” and “how can the real economy blockchain Fu”, “current situation of domestic regulatory and other issues. In general, Liu Xiaolei gives four points :

  • The world needs the blockchain technology and understand industry talents, making people cannot find a hammer a nail, blindly select block chain;

  • The future is digital era, we have to transition to the data from the demographic dividend bonus era, in the use of data collection, analysis, block chain have a brilliant future;

  • Effect of block chain to help the real economy is the largest reduce friction, reduce cost;

  • Block chain technology is still in development stage, but the iteration is very fast, maybe 5 to 10 years will mature.

The following is the interview content, abridged, enjoy:

Odaily the Daily Planet: we learned recently in preparation for a Guanghua block chain related courses, see the instructor’s identity are senior practitioners in the industry, why do you want to set up such a course?

Liu Xiaolei: we can see that the block chain industry rapid development, and will often be some explosion of applications, the moment will fire up, but there are also many later proved to be fraudulent or illegal operations. The industry may concern is the fiery phenomenon, scholars are more thinking about the cause behind the fiery. What is the economic thinking of the underlying mechanism, try to answer this phenomenon (heat) whether it is sustainable and so on. I think we have more from a theoretical level, and the prospect of this industry level macro teaching.

We also hope this course can promote some new applications. We can see that some teaching guests have the financial background, some sufficient understanding of regulation, some technical research, in addition to heavyweight also covers many aspects of. Students, in addition to government officials, bankers, and practitioners of traditional industries and block chain practitioners.

Students may take the traditional industry pain points and come, he may know that block chain can solve the traditional pain point in one direction, but not understand so deep, it may produce some sparks in the teaching process, the solution obtained blockchain. The block chain practitioners, this course can provide is that compliance related industry requirements, block chain project side also need to understand the industry.

The daily planet Odaily: do you think the current block chain industry needs what kind of talent?

Liu Xiaolei: I think the blockchain field now requires two talents. One is the pure technology, that is to write the code. The other is the setting and application of how to do the chain block mechanism.

For example, block chain project in the bank who is doing? Is generally by the business sector to guide, to provide technical support for the IT department. Such cooperation is a combination of the two party. Of course, a mechanism set up and understand technology, understand the economic model to do the guidance is the best. Then it may not be possible in the case of the business sector to promote the application of the floor should be more reasonable. As a decision maker, you want to, what problems for using this technology (block chain) to solve, rather than holding a hammer to nail. Not because everyone says the blockchain to change the world, you are a sound big, but in fact no implementation of the things. Of course, policymakers also need to have a basic understanding of this technology, not blind in command of the situation.

Odaily: the daily planet in the blockchain attempt has always been the attention of the industry than before so hot, Tsinghua University launched the digital currency wallet version of the campus, the University in the block chain application do what to try?

Liu Xiaolei: we made a couple of attempts, is a public welfare related coinless blockchain: Information Disclosure in public institutions to block the chain, the use of technology can not be tampered with, publicly visible characteristics, let the public more transparent. But in another application, currently in testing, will be released later.

Odaily Daily Planet: you are more optimistic about the direction of the chain block what application?

Liu Xiaolei: the blockchain open data islands. The internal data between different leads to a high transaction cost, such as some enterprises for cross sectoral cooperation between all departments of the chain block group information open, it sounds very easy, but in fact can solve many problems, greatly reduce the cost of trading.

The bank also has a recent application, the Minsheng Bank, CITIC Bank, the three release of the blockchain Forfaiting transaction platform, simply can imagine matching platform for the three banks made a need for multiparty participation.

Including local government departments between data, many data can actually be common. And block chain technology have very good things, for example with security related zero knowledge proof, we can solve the information privacy protection and information disclosure problem. In this case, if the various departments can share information in the block on the chain, and then to the confidential information, it will be a more efficient and lower cost of society. So in every company, as long as there are many transactions, or a company in a number of departments have the intersection of business, has the need of application.

Odaily Star Daily: at present, the industry there is a voice said, essentially everyone is to promote industrial development, the purpose is to improve the production efficiency. In the short term, the block chain may have no way to achieve this. For this view, how do you see?

Liu Xiaolei: This is different from children. With the center of information processing (compared to the center of the transaction) is slow, there is no doubt. But it (to the center) is better than nothing. What do you mean? For example, the blockchain Forfaiting transaction platform to just for example, if it is a center of the platform, of course, more efficient, but who will promote the center platform established? The platform on who? Perhaps only the CBRC to do is possible. When considering only when the center, a lot of things to do.

It is said that many times, block chain is to solve the relations of production, is not only the combination of productivity, this is what I said in front of technology and business. Not only from the technical point of view to think, to think from a business perspective, consider the business can promote this thing. Technically, the center is can handle data more efficiently, but from a business perspective, the center of most of the time is not to promote.

The future of the digital age, the data is in the digital age of crude oil. Our country has a huge data, which is an advantage. Our country to the transition from the era of demographic dividend era to the dividend data. Over the past 40 years, the rapid development of us is in the enjoyment of the demographic dividend, the competition in the future development of dividend data. In the data collection, use, sharing and other direction, chain blocks have a brilliant future.

The Daily Planet: Odaily block chain how to boost the real economy? What is the biggest role?

Liu Xiaolei: the most important role is to reduce friction, reduce cost. In all transactions, there will be some cost. Block chain of a great role is to reduce the transaction cost, or investment.

One may not be appropriate for example. We A shares of the top ten stocks, the majority of banks. The bank’s highest valuation, which means that he earned the most money, but what is a bank? The bank is a financial intermediary, plays some role brokered transactions. If the intermediary fees are very engaged, means to solve the friction cost is very high. If you can use the method of science and technology greatly reduces the transaction cost, work more efficiently, the whole economy is a very large (effect). So this is the blockchain world about to reach the trust intermediary, through technical means. In fact, the talk is to reduce transaction costs.

Odaily Star Daily: what do you think of the current domestic block chain industry regulatory market?

Liu Xiaolei: the whole industry chain block is still in a groping state in the world regulation in the exploration process. So I think the lesson, regulatory and industry communication is very important, regulators also need to understand the industry to produce what innovation. When are not innovative or fraud, temporary knife to avoid the occurrence of more financial risks is necessary. But also with the development of the industry, and gradually explore better supervision mode.

In the long term, our country needs to have a stable currency exchange, their own and their public chain. Can be allowed in the regulatory sandbox, try to do some, supervision ability can be cultivated in the process.

We should have the public own chain, chain like public operating system, similar to the IOS operating system and the Android intelligent mobile phone. These are not China development. In the days after the chain, the chain is the chain of public operating system in the world, so I feel we need one’s own public chain.

The daily planet Odaily: now is a good time to do the pilot?

Liu Xiaolei: is that any time is a good time to practice. It should be the blockchain circle of the bear market, to a large extent is the bubble burst, this is a good thing, only the bubble burst, the application can really well developed slowly. So I think now is a good time.

The daily planet Odaily: do you think the current block chain technology development which went a step?

Liu Xiaolei: now also belong to the early stage of development, such as zero knowledge proof, encryption algorithm, improve the amount of transactions per second (TPS) and other aspects need a lot of breakthrough. So I feel, now not to the entire industry outbreak. Now the block chain should be similar to the beginning of 90s. Even now the technology we can not describe the vision of many bearing. For example, in the early 90’s, it provided real time navigation is not realistic, because the technology was not supported. But with the development of technology, this vision is realized. But compared to the Internet, iterative block chain technology should be faster, perhaps it will 5 to usher in the outbreak period of 10 years. Let us wait and see.

Explain to the center by Security Token trading treaty rules.

Preface:

Below the first through to the center. The Security Token trade treaty compliance (ST) enterprise Securitize investment by eight dimensional capital CEO Domingo wrote in his Carlos, for example, describes how the Securitize type (STOs) certificate for securities issuers and investors to provide comprehensive and workable solutions. The DS Protocol (Digital Security Protocol, electronic securities contracts) is how to cooperate with other service providers in the ST industry and adaptation. OpenFinance Network trading platform focused on in this thesis (OFN) and liquidity provider AirSwap is also of dimension 8 capital investment portfolio.

The full text is as follows:

 Explain to the center by Security Token trading treaty rules.

First ever Security Tokens traded with a decentralized compliance protocol

First through to the center. The Security Token trade treaty rules (ST)

Author: Carlos Domingo, CEO of Securitize

Compiler: Wei Ran @ eight dimensional capital

Last month, we and some liquidity provider partners to explore how Security Token (ST) or securities (Digital Securities) digital vision a reality. Our team is cooperating with partners, Securitize DS contract (Digital securities contracts) integrated into their system. The DS contract provides us control mechanisms required in the transaction for the issuer (in regulatory and commercial purposes), this contract will be set by the public chain (Ethernet Square) intelligent automatic execution of the contract, and through the center of the realization of the past.

Securitize services include:

1. (Investor on bording) registered investors. For the investors to register, running KYC/AML system, implementation of certification / qualification, signed subscription documents; funding channels for encryption project investment, to provide a digital wallet registered.

The 2. issue of management (Issuance management). The issuer must be able to complete its compliance issue, issue management from documents, terms, legal texts and agreement to the investors in the exchange and tokens.

3. investors (Issuance management Dashboard) management page. Investors through the management interface, investors can manage their tokens, such as additional licensing wallet, received from the publisher of information, keep track of their spending.

Passes 4. block chain on the issue (Investor Dashboard). The release of token to Ethereum must also be on the regulation of two grade market. The use of digital Securitize protocol (Digital SecuritiesProtocol, DS securities contract) to generate their token, in order to maintain consistency during the issuance and secondary trading.

The integration of 5. mobility partners (Integration of liquidity partners). The DS contract and our RFE (ready to exchange) API provides a method of flow and two level market provider integration, such as Token or similar exchange partners.

 Explain to the center by Security Token trading treaty rules.

Go to the center of compliance is the key

At the beginning of this year, Templum announced they will become the first trading Blockchain Capital in two grade market securitization passes BCAP mechanism. We pass card of BCAP based on knowledge and understanding, we are very aware of this transaction will not be through the block chain to the center of chemical regulatory treaties completed, so the transaction confirmation and the necessary links must be done manually check.

We will show, is the first to confirm in exchange transactions on the Security Token contract. To exchange compliance checks will be completed in block chain, through a series of intelligent contract DS contract with Securitize, will make the whole process automation and inspection is to the center of the. A deal will be in two different markets (marketplace) under – and two markets are adapted to our contract compliance.

Please note that although some exchanges choose to use their own internal development contracts to achieve compliance, but the use of an independent third-party contract compliance advantage is very obvious, the same kind of token can be released through a single contract, but also in a number of exchanges to realize compliance transaction this will greatly enhance the liquidity of the issuer. We believe that, in the capital market, the role of exchange with the so-called intermediary transactions (in this context is the Security design of Token block chain contract, to the center of the transaction intermediary role will become quite distinct from each other). An application on an exchange contract (transaction intermediary) is unlikely to be another exchange with competing products.

Through the OpenFinance online trading

We started from May and Open Finance Network (OFN) and the DS cooperation, contract into their system. Thanks to this integration, we can see a platform to enter the OFN and accept the KYC audit of investors is how to use the DS Token to conduct liquidation registration service now (Registry Service).

A new investor directly from other sellers that buy SPiCE VC Token. OFN platform, the supply and demand sides of the order and by DS Token (transferFrom) model (a standard ERC20 model) to carry out liquidation. Then, DS can not only verify the contract both parties in the registration service (Registry Service, one of the most basic white list), also can ensure that both types and background is in line with the transaction conditions.

 Explain to the center by Security Token trading treaty rules.

Please note that investors create white list in the contract is not enough to run a to the center of the Compliance Agreement; you also need to verify the real-time compliance standards and investors limited. When the transaction after the verification is successful, token will be from one subject to another purse wallet.

Here is the first use of DS transfer contracts through OFN trading platform, in a few weeks ago:

 Explain to the center by Security Token trading treaty rules.

The deal shows 4 SPiCE token is how to be traded. The deal and no other token trade, this is because the transaction is used on the hosting system to support the OFN in US dollars. This transaction in two European investors (one in Spain and one in Germany), therefore, the deal for Reg S and local government regulatory exemption.

Through the AirSwap Trading

We are also working with AirSwap, their bulletin-board service can support DS Token held personal transactions — but was subject to a certain degree of control. The AirSwap working principle and hold ATS (automated trading services) license OFN is different. AirSwap provides a pure P2P transaction mode, no transaction orders, no order, no transaction fee. AirSwap only provides a pure information matching platform, people can find each other here, to reach a consensus and transaction price. However, we still need to ensure that the transaction process is compliance, this is our contract role.

This test is completed in AirSwap Spaces, to ensure investors wallet held by our DS Token SPiCE VC token issued the contract. Because they hold token, so they automatically become DS Token Registry Service (DS Token registration service) one, which means they are registered investors. After that, AirSwap Spaces will provide investors to create a personal chat tool, so that they can arrange a deal. This transaction will be realized in the buy / sell orders order, people can use some DS Token for other Token.

Then, the deal will be performed by AirSwap smart contracts, AirSwap smart contracts to exchange the two direction (DS Token and Token became a part of the counterparty), in a transaction so that the exchange of the two directions will be liquidated. AirSwap (ERC20transferFrom) is also dependent on the model, this is a DS contract control is used to ensure that the transaction mode.

This is the first through the AirSwap DS Token transaction contract:

 Explain to the center by Security Token trading treaty rules.

In this case, we can see how the AirSwap contract in the same transaction with two kinds of value transfer, it succeeded in making 1 SPiCE VC token exchange 0.00875 ($1.77) WETH (Wrapped Ether).

Look forward to more good news

We are very proud to be with OFN and AirSwap cooperation, together to promote the development of Security Token. The deal is still not really landed, but they are realistic and complete imitation of reality. I believe in the near future, these concepts will become a reality. We are also working with other partners, to improve the liquidity of the compliance of electronic security, these partners include Blocktrade, BnkToTheFuture, ERC, Dex, Hyperion, tZero and SharesPost. At the same time, we will as soon as possible on the line more Security Token, SPiCE VC ST issued in addition to outside, and the circulation in all markets.

ST Industry Research Institute from eight dimensions

Eight dimensional space, block chain third wave Security Token (on)

Eight dimensional space, layout picture of danger will Security Token organic (2)

The United States Berkeley, deputy mayor of the city of Ben Bartlett to become 8wei investment partners

Three waves of Blockchain Revolution in Finance Decimal View 8 |

Medium:https://medium.com/@8DecimalCapital

One foot in mind the random number attack | pseudo-random number in EOS vulnerabilities

The block chain security problem, Beosin (Chengdu chain technology) team every week will be a serial intelligent contract security vulnerability analysis, hoping to help programmers write more secure contracts, nip in the bud.

Introduction: “the mind, the more into the more resistance, no end.” – 43 – Tan “benevolence”

previously on

Speaking on the back of the official standard, well intentioned, written compliance should not be underestimated.

We concluded the analysis and summary of Ethernet Intelligent contract loopholes, Fang conventional high-risk vulnerabilities with 15 period. Throughout the history of the development of ecological security of the etheric Fang, there are too many lessons worth remembering and pain. Relevant statistics, block chain industry lead to security incidents in 30% of property losses caused by the intelligent contract loopholes. So in accordance with the standard of using Ethernet Fang development language, correct writing each line of code is the basic requirement of contract, guarantee the safety of contract. Advocate on chain pre contract audit, to ensure that the project is safe to sail, we sincerely recommend to developers and project.

This issue

EOS game by hands, random number of vulnerabilities lvjinbujue.

In addition to the etheric square, block chain platform EOS is currently more popular. EOS is also a smart contract and block chain structures based on, and in the game and the DApp field, due to the absence of transaction costs and processing ability, EOS has inherent advantages in technology and design concept. However, coincidentally, the security problem of EOS intelligent contracts also emerge in an endless stream. This time we use the new EOS game attacks to analyze EOS intelligent contract loopholes.

 One foot in mind the random number attack | pseudo-random number in EOS vulnerabilities

Attack history

EOSDice was first attack

On November 4, 2018 at 3:15 in the morning to start the EOSDice contract is account jk2uslllkjfd attack, an attacker stealing about 2500 EOS and recharge into the fire.

EOSDice second attack:

On November 10th at 11:19 in the morning, coinbasewa11 account once again attacked the EOSDice game, stealing 4900 EOS into the bitfinex exchange, this account for a 95 attack on the game of contract, attack process can be retrieved.

 One foot in mind the random number attack | pseudo-random number in EOS vulnerabilities

  The problem of random number generation

As we mentioned in the sixth game contract loopholes, until now, the etheric Fang and EOS official did not provide a random number interface, this is indeed an adverse effect on the game development, such as the development of the lottery module. In order to achieve a similar function, game developers need to write your own random number generator function, these functions often use block information as a parameter, and then a series of operations, to obtain a “random number”. However, due to the use of block information as a parameter, which will result in the same block, random number function will use the same algorithm to get the same value, the attacker can use this deployment, intermediate contract, and then stop the attempt to generate random numbers, random number generation when satisfied, then using the intermediate contract in the game and affect the fairness of the game. We call this kind of random number problem called “pseudo random number of vulnerabilities”.

 One foot in mind the random number attack | pseudo-random number in EOS vulnerabilities

Analysis of EOSDice pseudo random number of vulnerabilities

Since EOSDice raised the alert for the first time after the attack, and to modify the random number generation algorithm, so we analyzed two times.

Analysis of the first attack:

The EOSDice contract open source, we mainly look at the random function of the contract, the contract is copied from the random function is another EOS implementation of contract.

The random factor using the random function in the main:

1. (tapos_block_prefix) of the refer block trading information

2. tapos_block_num (refer) of the transaction information block

3. name (user name)

4. game_id (increment)

5. (current_time) (current time)

6. pool_ol_eos.amount (current contract balance)

The random block depends mainly on the refer (refer block) information and the current time, the balance of contract information.

In this game, the lottery time can be calculated according to the delay time, the balance of information in only one user access can also be calculated according to the;

Then the only factor of uncertainty only refer block information.

In the actual game execution logic lottery is derived from reveal action action deferred action on action refer block, the information is not specified by the user, but by the EOS chain to the specified code, see:

Https://github.com/EOSIO/eos/blob/master/libraries/chain/apply_context.cpp#L251

 One foot in mind the random number attack | pseudo-random number in EOS vulnerabilities

After the actual test, refer block deferred action information for a block of information before the execution of the current action, indicated as below:

 One foot in mind the random number attack | pseudo-random number in EOS vulnerabilities

So, in fact, the use of lottery when tapos_block_prefix (actually) before betting has been generated, then combined with the prediction of time and balance, it can predict the lottery results; according to the analysis of transactions, eosdice was first attack is likely to use such kind of attacks.

Analysis of the second attack:

Here to introduce a little knowledge of EOS:

When EOS transfers, EOSIO.Token will notify from and to accounts, but is the first implementation of notification to the from account, as shown below:

 One foot in mind the random number attack | pseudo-random number in EOS vulnerabilities

EOS in the first time after the attack, the modified algorithm of generating random number random number, we see a revised really random. The formula to calculate the random number as shown in fig.:

 One foot in mind the random number attack | pseudo-random number in EOS vulnerabilities

 

Using the knowledge transfer notice mentioned above, the game started to receive the contract on Transfer Notice of their logic, deferred action:reveal1 reveal1 deferred trigger, action:reveal trigger lottery prizes; then in the lottery (reveal) refer block information is adopted on transfer action’s block information, can not predict;

But the revised random function of random in EOSDice, this function is also used to balance the random factor. The attacker can transfer in her own after receiving EOS transfer notice, and simulated with EOSDice the same defered action:defered2, then defered2 defered action:defered trigger;

After this some operations, while defered and reveal is the attacker’s game contracts in the same block (block) in operation. You can modify the balance of amount random factor in the calculation of random in defered (amount+x) value, to meet the conditions for their bets. Note that this calculation value requires a collision test to guess.

The attacker then to the random factors into account for amount x EOS; then when running to reveal when the lottery, you can make yourself surely winning. The whole process of attack can be summarized in the following chart:

 One foot in mind the random number attack | pseudo-random number in EOS vulnerabilities

And after analyzing the attack before the transaction, can determine the attacker using the attack is to control the balance of the random factor in the;

Bug fixes

Use the parameters like tapos_block_num may cause pseudo random number of vulnerabilities, including the balance of EOS and head_block_id, the characteristics of these parameters is having certain controllability.

If you need to use tapos_block_preifx as a random factor, can be a defered action multi jump performed before the lottery reveal implementation, to ensure access to the information generated in the block lottery betting, so tapos_block_prefix is unpredictable.

Pseudo random, true loopholes

EOS and Ethernet square using different technologies and design concepts, such as:

1. Ethernet is designed for the square for all may be established on the basis of the application of neutral platform, and EOS provides some functions such as encryption and block chain tools, more friendly to application developers.

The difference between the two consensus mechanism 2., compared to the etheric Fang used PoW, the DPoS mechanism of EOS is similar to the board of directors mechanism.

3. Ethernet CPU single thread performance limits by the workshop, the network transaction speed is only about 10 times per second, but also need to provide each transaction fee. Parallel EOS technology solves the problem of the speed of transactions, and remove fee.

The characteristics of EOS, especially the third characteristics decided on the basis of the game can satisfy the low delay, smooth interactive demand, application demand at the same time to handle business class. This is why EOS used in many aspects of the game. But as with Ethernet square, EOS official did not provide the corresponding random number generation function. The authorities have recommended users to use Ethernet square chain Oraclize library to generate random numbers.

Random number EOS is still a developers headache problem, not yet the end of November, EOS DApp has appeared three times according to the random number of vulnerability attack event, in solving the issue of random numbers, the need of a reliable solution. Hope that the majority of DApp developers are currently no reliable solutions, relying on existing experience and security audit, it will contract the pseudo random repair is “true” random, let EOS DApp interesting, fair and reliable.

 One foot in mind the random number attack | pseudo-random number in EOS vulnerabilities Quote:

[1]: what is the difference between EOS and Ethernet fang:

Https://blog.csdn.net/qq_42204339/article/details/80463686

[2]: play dice game EOS:

Https://www.jianshu.com/p/b72c71cd3614

[3] SKR: the game ended in sixth instalments – game contract loopholes loopholes and comprehensive summary | Chengdu chain security vulnerability analysis:

Https://mp.weixin.qq.com/s/e7m79tk_7jMI_3jlVRMVpQ

The depth of interpretation of the Hongkong virtual assets (a) new series of macro policy overview

Preface

Hongkong is one of Asia’s sovereign credit the highest in 2018 years, 11 Sept. 1 officially announced on the virtual asset investment fund, virtual asset custody trading platform and the relevant regulatory requirements relating to “virtual asset portfolio management companies, fund distributors and trading platform operators in the regulatory framework of the statement”, in this apathetic Market environment, has injected a shot in the arm for the entire Asia Pacific market.

The media have no specific regulations on this statement and the meaning behind the detailed provisions. As the founder of a former practicing lawyers and financial InVault, hope that the most concise and comprehensive way to show Hongkong virtual assets policy (hereinafter referred to as the “new Hongkong”). The content of the policy and miscellaneous, this series of articles will be divided into four themes were described, including macroeconomic policy, investment funds, asset management and trading platform.

 The depth of interpretation of the Hongkong virtual assets (a) new series of macro policy overview SFC policy.

Hongkong New Deal regulation what?

The Hongkong New Deal regulation object only three: virtual asset portfolio management company (refers to a market of the two Crypto Fund (Crypto), fund distributors Fund raise party) and virtual assets trading platform operators (refers to all kinds of encryption currency exchange). That is to say, the project digital wallet, issuing ICO/STO, various foundations, block chain industry media and other types of service providers are not within the scope of regulation.

In particular, for the supervision of these three subjects have different regulatory attitude. For the first two types of fund management and distribution, regulation of the wording is “guidelines” issued regulatory standards; and for the trading platform of “explore the regulatory framework”. It means that, as a very mature traditional financial fund supervision rules, virtual assets as a new asset class, into the existing regulatory framework is deterministic events; but the encryption currency exchange as a new format, the regulatory authorities to hold an open attitude and to explore the market regulatory framework. Compared with Chinese, across the board supervision attitude, Hongkong regulatory level remarkable.

Not with “money” or “assets”

When Chinese, colleagues are still tangled “passes” and “money”, “digital currency” and “digital assets” text concept, new Hongkong’s attitude is very clear is also very simple, as long as it is based on the block chain network or distributed ledger records, collectively referred to as “virtual assets (Virtual Asset)”. Virtual assets including encryption, encryption currency (Cryptocurrency) (Crypto Asset), digital asset tokens (Digital Token). The government of Hongkong to digital assets as stocks, bonds, gold, and other bulk commodities as a new asset class. It also represents the regulatory level, the government of Hongkong for its direct confirmation of property assets.

Different from the attitude of Singapore MAS regulations. At the end of last year, MAS issued the “Consultation Paper on Proposed Payment Services Bill”, MAS will be the above mentioned assets identified as “virtual currency (Virtual Currency), and is regulated in the payment service bill, which means the Singapore MAS regulatory attitude is to use it as a means of payment and money to supervise. As the two Asia Pacific sovereign credit is higher, the essence of the attitude of supervision, will make the subsequent market to produce subtle differences.

To protect the interests of investors due to the lack of regulatory intervention

The new deal in Hongkong before and after the more than 20 page document, repeatedly stressed the reason is the lack of regulatory intervention to protect the interests of investors”. Even in many places has repeatedly stressed that the document, “non securities and futures contracts virtual assets does not constitute securities, Hongkong Securities Regulatory Commission theory without regulatory intervention, but ultimately from protecting the interests of investors perspective, still all securities and non securities virtual assets are incorporated into the scope of regulation.

“To protect the interests of investors is the core of the mainstream of the securities industry regulation as a starting point, the United States securities regulation the most perfect country, the protection of small investors in this thing always spare no effort. Whether strict information disclosure SEC led and huge fines, or local prosecutors of insider trading investigation, or all kinds of collective litigation lawyers of the listed company in hot pursuit, the behavior seems to be driving the interests of all parties, but eventually established through laws and rules, so that regulators and markets involved, thus to protect the interests of investors, this is the right way to open the securities supervision.

Hongkong new deal also mentioned that the Hongkong securities law to protect the two things, the first is “safe custody of assets”, i.e. the security of assets is the core factor, which runs through the whole Hongkong new context; second is to create and maintain the market fair and open “, namely the market rules established by the strict supervision. Let all the people ring fair competition at the same level, rather than the current referees and athletes competition. Only be safeguarded in the safety of assets, and the premise of fair market competition environment, large sums of money institutions have the conditions for admission. After all, recharge trading virtual assets trading platform to allow private compliance of large institutional funds into non licensed, it is very challenging.

The risk of virtual assets supervision, look very clear

Different from other asset classes, virtual assets due to the characteristics of the principle of block chain technology and cryptography, in addition to the traditional risk asset class itself, but also contains a lot of specific risk. Here, the common language the author will explain the SFC to these particular risk perceptions:

1, valuation, volatility and liquidity. Virtual assets valuation principle has practical value and there is no universally accepted, so bring a price volatility valuation is uncertain, it may be accompanied by a large number of market manipulation.

2, accounting and auditing. In view of the virtual assets are not accepted accounting standards and practices of the industry, should have experienced accountant. The place which virtual assets accounting? The market is not the answer.

3, network security and safekeeping of assets. The hacker threat is real, and qualified custodian solutions co.. In this regard, the Hongkong Securities Regulatory Commission put forward the concept of “qualified custodian” innovation.

4, honest and steady market. Here is not clean is not robust, mainly refers to the operation of the trading platform is not standardized, the operation interruption, market manipulation, illegal activities and other phenomena, thus causing losses to investors.

5, money laundering and terrorist financing risk. Anonymity of fictitious assets leads to legal tender coin all transactions and the risk of money laundering, one of the largest use of this scene is precisely the virtual assets.

6, a conflict of interest. Once again named the trading platform, referred to the existence of multiple roles, there are problems of serious conflicts of interest.

7, fraud. Exchange and portfolio management company is not responsible, even the volume of money and run away.

Regulation: general framework and specific terms and conditions of the licensee

The existing Hongkong SFC system has Standard No. 1-12 financial license system, respectively for securities trading business of various types, and the regulatory framework of virtual assets is completely based on the existing Hongkong commission system, and divided into general licensing framework and specific terms and conditions of virtual assets supervision.

 The depth of interpretation of the Hongkong virtual assets (a) new series of macro policy overview Hongkong license plate 1-12

Specifically, can be understood as a virtual portfolio of assets management companies, fund distributors and virtual assets trading platform operators should first brand system to comply with existing 1-12 license, such as the fund needs to meet 1 License (Stock Exchange) or 9 license (asset management), and trading platform need to meet 1 License (stock exchange) and 7 license plate (automated trading services); then according to the applicant specific business model is different, but also meet the conditions of virtual assets supervision and specific terms.

 The depth of interpretation of the Hongkong virtual assets (a) new series of macro policy overview

summary

The first interpretation is around the Hongkong new macro policy direction and supervision way to start. The new Hongkong commission to the three intuitive feeling:

First, the Commission cognition level is very high and the market has been very rich and complete, and accurate grasp of the real market situation is the precondition to put forward effective supervision scheme;

Second, try to quickly deal, occupy the commanding heights of global virtual assets supervision, direct benchmarking competitors saw the American SEC and Singapore MAS. In this wave of Internet listed in Hongkong Securities Regulatory Commission has missed because of stubborn such giants like the Alibaba, that its very hope to catch up in the new asset class;

Third, the Hongkong Securities Regulatory Commission in their efforts to develop the market mechanism as far as possible to protect the interests of small investors. As a kind of high risk assets varieties, cultivation mechanism, the first game player to optimize the market structure with market risk tolerance is a very effective strategy, you can see the full text of all around this purpose to start.

The follow-up and three specific interpretation, respectively about investment funds, asset custody and trading platform three specific business models and formats to analyze, look forward to.

Author introduction

InVault founder &CEO Kenneth Xu Bin XU

 The depth of interpretation of the Hongkong virtual assets (a) new series of macro policy overview

  • King & Wood Mallesons’s top firms in banking and financial law

  • The top financial technology company Dianrong, MagicFintech core business person in charge

  • Starwin Capital founding team, responsible for fund raising and investment

  • In 2015 to participate in the crypto currency and block chain industry

  • Fudan University graduate degree

 

Chinese block chain and Western why so different?

 Chinese block chain and Western why so different?

Editor’s note: This article from the orange book (micro signal: chengpishu, orangefans, Odaily) author: Daily Planet unauthorized release.

At the beginning of November, I went to a very different block chain conference in Prague Devcon4, similar to Apple’s WWDC, Ethernet workshop participants are basically to the ecological. About more than 3000 people participated in this activity, from Chinese participants especially small, about 50 people.

Different domestic block chain activities and before I participated in the Devcon4, there is a strong idealistic temperament. Whether it is on the stage of the lecture or under their communication, almost no discussion of currency price, we are concerned about the theme of both:

What are the 1. new developments in technology

2. of what can we do to help the world better development of chain block

The fourth day of the conference, I have been in this kind of atmosphere, really feel the Culture shock, there are also many doubts, why Chinese block chain industry atmosphere is not the same? I had some answers, but always feel lack a puzzle.

Devcon4 until the last panel, the organizers have invited Stewart Brand, he slowly about the past time, I seem to find that piece of the puzzle.

Brand is the most well-known at home should be “Stay hungry stay foolish Overview” and “global”. In fact, his life is far better than the magazine more rich and colorful. He not only made Jobs was known as the “overview of the global impact of a generation of Silicon Valley”, in 60s the hippie movement of sponsor event Trip festivel.

 Chinese block chain and Western why so different?

In 1966 he publicly called NASA published a picture of the earth to see photos.

In 1968 he helped Douglas Engelbart to complete the “Mother of all demos”, showing a series of far-reaching technology: Hypertext, Email, mouse and video calls.

In 1985 he and a friend founded WELL, the first public influential online forum.

1996 and he made the Long Now Foundation, to encourage people to consider the issue from a long-term perspective, such as 10000 years after the human will?

Looking at the stage of the father, I realized that although the same earth, but we are two people in the world. No one Chinese will make any one of these things. This half a century, China and Western like development in their respective universes, after the reform and opening up link up, now the situation has changed, the future will be how to really say.

Brand was born in 1938, he attended high school in Zuckerberg’s alma mater, 1960 graduated from the Biology Department of Standford, 22 years old. If you were born in Chinese, a well-educated young people, then there will be what kind of experience?

1966 is the year of the beginning of the cultural revolution.
1968 went to the countryside
1985 again after the reform and opening up, Deng Xiaoping first proposed to combat bourgeois liberalization “
1996 did not like what important event, but never mind, has been close enough.

Wang Xing said such a sentence, a lot of problems China now, after all is GDP per capita is too low. Another one is, before going to a place to check out the local per capita GDP number can be roughly estimated the local situation.

These two words rough and true. After nearly twenty years of rapid development, China GDP squeezed to around 80, from the United States and Europe gap is still far away, but the more the more backward. From the material basis, we have been in both worlds.

This time in Prague, and my landlord Airbnb chat, he and I are the same age as full-time, B & B. He and many China tenants talked to know Beijing’s life pressure, haze is very serious. I asked him: “what is the problem in your life?”

He thought, said, “No. Prague is a bit like a fairy tale in the city, everyone’s life is simple, work and friends to drink.”

This few days later, I found the street is indeed the most bar, every night in the street, a few steps is a bar, a few guys chatting at the entrance, which is also very lively.

Prague is indeed worthy of the fairy tales of the city evaluation. As the Habsburg capital, the city’s architectural styles, different times and memory retention.

The city is small, fewer people, only about 1000000 people, only 3 million people across Czech. Few people have a lot of benefits, do not repair too high housing can meet the housing needs of the people, three subway rush hour is enough, not too crowded. The subway is actually a lot of books to do advertising, the car also has a lot of people reading.

Peer, asked me: “do you think this city has a constant temperament, is, I don’t worry, I’m here to do one thing, to do it well. But in China, everything is fast changing, forcing everyone hard to settle down to do one thing.”

If the majority of young people also need for housing, health care and education where appropriate leave no stone unturned, innovation to support the soil block chain such risks?

If China really rich after?

Of course, an important material basis, but on this issue, I think the spirit may be more important. The basic spirit Chinese, may be destined to be bred out of this kind of technology chain block.

Like Joseph Needham’s question: why Ming Dynasty Chinese has been quite rich, but the industrial revolution and scientific revolution in Western Europe was born?

There are many answers, choose several schools of view:

1. system differences between the western and pay more attention to the protection of private property rights and patents, invention and innovation is a sustainable and high returns. Chinese is the unique system, all is the emperor.

2. different culture and Greek culture renaissance constructed western culture background, and Chinese Confucian culture is the ancient worship, freedom of thought restraint, inhibit innovation.

3. the natural environment and human Chinese much less, and so Chinese tend to the west, the development of technology to improve the efficiency of land use, while the western development to improve efficiency of technology.

Now China in many ways to become more westernized, we begin to pay attention to the protection of personal property rights, encourage innovation, but a lot of changes only at the system level, cultural change is doomed to slow.

We enter the field of real blockchain is not a long time, also 9 months, will soon be able to feel the core cultural characteristics of this circle is very distinctive, born out of the cypherpunks, and the same 60’s hippies, Hacker. They believe that a natural thing, like Brand said:

“Mastering the necessary tools and skills, can make us more freedom, these tools and skills include computer, programming, radio, Internet, open source software, block chain. With them, the mankind can not rely on intermediaries in the key issues, can be free from slavery.”

 Chinese block chain and Western why so different? Don’t know what you are feeling, I look like a world language. Yes, I come into contact with these ideas in many books, but in real life, I rarely encountered in my heart that the tools can make people more freedom “, talking about this point are very few. But in this field, is a self-evident consensus.

Seriously, I’m not sure that can send out in WeChat. I suddenly understood that Orwell said in 1984 to create a new meaning, yes, if we can not discuss a concept, this concept does not exist naturally.

With this consensus group, will seem difficult to understand the thought of other things.

 Chinese block chain and Western why so different?

They will give up life in the city, to gather their own wild commune, built homes, houses, hydropower, art, defense, all Start with yourself.

They will do a full human use of communication network, operating system, encryption tools and money, all of this must be without permission, even started to do with compromise in performance and easy.
Other people may ask, what is the use of these things? We have a good life and tools.
They will answer: some things can not be “useful” to measure, such as science, freedom, people.

So far, the blockchain based technology breakthrough, basically from abroad, Chinese is dazzling performance in exchange, wallet, ore mine pool these applications. This situation do not see this, if the block chain really can be widely used in this ten years, probably China rate will be the same as before, once again missed the bottom of technological innovation, and in the application layer to shine.

Some may say, this is not what is not good, let them to explore, and other infrastructure up to us too late, the Internet we are latecomers, not the same as a Tencent, world-class firms such as Ali?

Do indeed follow the strategy is very effective, a lot of risk aversion, the price is our underlying technology always lame leg, many places are very hard to get up once behind, such as the current chip and operating system.

Several years later, historians may re questioning why the blockchain revolution did not happen in China? We are in this period of history, can keep your eyes open to see, left hand to do, but I do not know the future, how will review the history of this period.

Block chain + integration of Yangtze River Delta national strategy in Shanghai branch + to the global industry chain block, an invitation

 Block chain + integration of Yangtze River Delta national strategy in Shanghai branch + to the global industry chain block, an invitation

Block chain industry is global in 2018 fully deserve the “popular” technology, however has recently entered the winter”. Many block chain reaction of entrepreneurial team financing more difficult, he transformed from a few months ago the capital pet is not popular. This comes from a reason. First of all, combined with the block chain and the real economy is still not deep enough, but TPS, not the pursuit of application; secondly, the blockchain entrepreneurs often do not understand the traditional capital market, do not understand the way as capital start-ups where.

Based on this background, the national strategic integration of the Yangtze River Delta and Shanghai school board a new policy based on Shanghai block chain Technology Association in Shanghai block chain technology innovation and industrialization base, will point out a way for how to go solid block chain industry.

11 September 23, by the Shanghai Municipal Science and Technology Commission, Shanghai Municipal Commission by letter, Shanghai Municipal Association and the Yangpu District people’s government guidance, science and technology innovation center in Shanghai City, Yangpu District science and Technology Commission and the National Technology Transfer Center East sponsored “Application Forum” in Shanghai block chain Technology Association ceremony and the first Yangtze block chain technology activities will be held in Shanghai Bay Valley Science and technology park.

 Block chain + integration of Yangtze River Delta national strategy in Shanghai branch + to the global industry chain block, an invitation

Prior to this, a series of policies of Shanghai announced this year has made Shanghai and even countrywide industry practitioners aware of Shanghai city to block chain industry to encourage and support.

In September 6th this year, the Shanghai Municipal Science and Technology Commission and the Yangpu District people’s Government in the “2018 China (Shanghai) Technology Innovation Summit block chain and the 2018 China (Shanghai) big data Industry Innovation Summit for the first time announced the Shanghai city a block chain in the field of five in one strategy, as well as the establishment of the sea on the block chain Technology Association, Shanghai block chain technology innovation plan with the industrial base and industrial chain block guide fund.

 Block chain + integration of Yangtze River Delta national strategy in Shanghai branch + to the global industry chain block, an invitation

In the two month circle down the block chain, Shanghai Technology Association of more than thirty Shanghai area block chain enterprises opened 4 chain blocks about how landing in the real economy group standards work. At the same time, the Shanghai block chain technology innovation and industrialization base launched the China Merchants wildly beating gongs and drums, the cut-off time has more than 100 Advisory settled, signing more than thirty all over the country and even from overseas blockchain underlying technology and application of Qu Kuailian technology companies and research institutions.

 Block chain + integration of Yangtze River Delta national strategy in Shanghai branch + to the global industry chain block, an invitation

Also worth mentioning is that in the first “China International Import Expo”, regional integration in the Yangtze River Delta is rising to a national strategy, also announced that the Shanghai stock exchange will set up a branch board and pilot registration system, the Shanghai block chain industry means more profound to life.

The Yangtze River Delta region industrial and trade base, the whole city group developed a higher degree of which Shanghai is one of the internationalization of China’s leading city thinking. The first three quarters of this year GDP growth in Yangtze River Delta provinces and one city have reached or exceeded the national average. In the double blessing of the real economy and the internationalization of thinking developed by the Yangtze River Delta is the block chain industry in the development of natural soil in china. 11 month 23 day activities, from Shanghai, Zhejiang, Jiangsu Yangtze River Delta region will block leadership roundtable discussion on the real chain integration strategy in Yangtze River Delta region economy.

At the same time, in this activity, the leadership of the Shanghai Stock Exchange branch board will also share in the capital market in the future by bring a new path to block chain branch companies. It is reported that Shanghai city block chain industry leading fund the first phase of 1 billion yuan scale equity investment fund has been started, the main investment direction “blockchain + branch board”, the investment can fall, block and block chain chain can bring effect to the real economy in the upstream and downstream enterprises.

Invite link

Https://i.eqxiu.com/s/4JPrsl9o

Block chain + integration of Yangtze River Delta national strategy in Shanghai branch + to the global industry chain block, an invitation

 Block chain + integration of Yangtze River Delta national strategy in Shanghai branch + to the global industry chain block, an invitation

Block chain industry is 2018 global fully deserve the “popular” in science and technology, but has recently entered the winter”. Many block chain reaction of entrepreneurial team financing more difficult, he transformed from a few months ago the capital pet is not popular. This comes from two reasons. First of all, combined with the block chain and the real economy is still not deep enough, but TPS, not the pursuit of application; secondly, the blockchain entrepreneurs often do not understand the traditional capital market, do not understand the way as capital start-ups where.

Based on this background, the national strategic integration of the Yangtze River Delta and Shanghai school board a new policy based on Shanghai block chain Technology Association in Shanghai block chain technology innovation and industrialization base, will point out a way for how to go solid block chain industry.

11 September 23, by the Shanghai Municipal Science and Technology Commission, Shanghai Municipal Commission by letter, Shanghai Municipal Association and the Yangpu District people’s government guidance, science and technology innovation center in Shanghai City, Yangpu District science and Technology Commission and the National Technology Transfer Center East sponsored “Application Forum” in Shanghai block chain Technology Association ceremony and the first Yangtze block chain technology activities will be held in Shanghai Bay Valley Science and technology park.

 Block chain + integration of Yangtze River Delta national strategy in Shanghai branch + to the global industry chain block, an invitation

Prior to this, a series of policies of Shanghai announced this year has made Shanghai and even countrywide industry practitioners aware of Shanghai city to block chain industry to encourage and support.

In September 6th this year, the Shanghai Municipal Science and Technology Commission and the Yangpu District people’s Government in the “2018 China (Shanghai) Technology Innovation Summit block chain and the 2018 China (Shanghai) big data Industry Innovation Summit for the first time announced the Shanghai city a block chain in the field of five in one strategy, as well as the establishment of the sea on the block chain Technology Association, Shanghai block chain technology innovation plan with the industrial base and industrial chain block guide fund.

 Block chain + integration of Yangtze River Delta national strategy in Shanghai branch + to the global industry chain block, an invitation

In the two month circle down the block chain, Shanghai Technology Association of more than thirty Shanghai area block chain enterprises opened 4 chain blocks about how landing in the real economy group standards work. At the same time, the Shanghai block chain technology innovation and industrialization base launched the China Merchants wildly beating gongs and drums, the cut-off time has more than 100 Advisory settled, signing more than thirty all over the country and even from overseas blockchain underlying technology and application of Qu Kuailian technology companies and research institutions.

 Block chain + integration of Yangtze River Delta national strategy in Shanghai branch + to the global industry chain block, an invitation

Also worth mentioning is that in the first “China International Import Expo”, regional integration in the Yangtze River Delta is rising to a national strategy, also announced that the Shanghai stock exchange will set up a branch board and pilot registration system, the Shanghai block chain industry means more profound to life.

The Yangtze River Delta region industrial and trade base, the whole city group developed a higher degree of which Shanghai is one of the internationalization of China’s leading city thinking. The first three quarters of this year GDP growth in Yangtze River Delta provinces and one city have reached or exceeded the national average. In the double blessing of the real economy and the internationalization of thinking developed by the Yangtze River Delta is the block chain industry in the development of natural soil in china. 11 month 23 day activities, from Shanghai, Zhejiang, Jiangsu Yangtze River Delta region will block leadership roundtable discussion on the real chain integration strategy in Yangtze River Delta region economy.

At the same time, in this activity, the leadership of the Shanghai Stock Exchange branch board will also share in the capital market in the future by bring a new path to block chain branch companies. It is reported that Shanghai city block chain industry leading fund the first phase of 1 billion yuan scale equity investment fund has been started, the main investment direction “blockchain + branch board”, the investment can fall, block and block chain chain can bring effect to the real economy in the upstream and downstream enterprises.

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