Scribd
Upload
15 views15 pages

Chuong 06

Uploaded by

vothanhvy12356
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
15 views15 pages

Chuong 06

Uploaded by

vothanhvy12356
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 15

CRYPTOCURRENCY &

BLOCKCHAIN
Nguyen Trung Thong
thongnt@ueh.edu.vn

Smart Contracts
and DApps
Class 6 Overview

• Review of Course Projects

• Smart Contracts

• Blockchain Design with Smart Contracts

• DApps and Token Sales

• Legal Issues of Smart Contracts

• Conclusions
2
Class 6 (9/25): Study Questions
• What are smart contracts? How do they compare to traditional
contracts? What are tokens?

• What are smart contract platforms such as Ethereum? What


generally distinguishes them from Bitcoin?

• What are decentralized applications (DApps)? What has been the


usage and why haven’t any DApps yet received wide consumer
adoption?

4
Class 6 (9/25): Readings
Required
• ‘Smart Contracts: 12 Use Cases for Business & Beyond’ Chamber of Digital
Commerce
• ‘State of the Dapps: 5 Observations from Usage Data’ McCann
• ‘Ethereum Competitors: Guide to the Alternative Smart Contract Platforms’
Blockonomi

Optional
• ‘Smart Contracts: Building Blocks for Digital Markets’ Szabo
• ‘A Next-Generation Smart Contract and Decentralized Application Platform’
Ethereum
• ‘Blockchain Technology as a Regulatory Technology’ De Filippi & Hassan
5
Smart Contracts
• “A set of promises,
• specified in digital form,
• including protocols
• within which the parties perform on these promises.”
Nick Szabo, 1996

However ….
• Smart Contracts may not be ‘Smart’

• Smart Contracts may not be ‘Contracts’


6
Bitcoin – Technical Features Ethereum?
• Cryptography & Timestamped Logs Yes
• Cryptographic Hash Func9ons ✔
• Timestamped Append-only Logs (Blocks) ✔
• Block Headers & Merkle Trees ✔✔
• Asymmetric Cryptography & Digital Signatures ✔
• Addresses ✔
• Decentralized Network Consensus Yes
• Proof of Work ✔
• Na9ve Currency ✔
• Network ✔
• Transac9on Script & UTXO No
• Transac9on Inputs & Outputs State Transi9ons
• Unspent Transac9on Output (UTXO) set Account Based
• Script language 7
7 languages
Bitcoin vs Ethereum Design
• Founder: Satoshi Nakamoto Vatalik Buterin
• Genesis: January 2009 July 2015
• Code: Non Turing (Script) Turing Complete (Solidity,
Serpent, LLL or Mutan)
• Ledger: UTXO – Transaction State - Account Based
• Merkle Trees: Transactions Transactions, State, Storage,
Receipts (w/nonces)
• Block Time: 10 minutes 14 seconds
• Consensus: Proof of Work Proof of Work
• Hash Function: SHA 256 Ethash
8
Bitcoin vs Ethereum Design
• Currency: Bitcoin ETH
• Mining: ASIC GPU
• Hashrate: 54 Exahash/S 260 Terahash/S

• Pre-sale: None ICO & prerelease of 72 m ETH


• Rewards: 12.5 BTC/block 3 ETH/block
• Monetary Policy: 1/2s every Fixed, but changes by updates
210,000 blocks (4 yrs) (was 5/block; proposal to 2)
• Fees: Voluntary Needed & market based

9
Smart Contract Platforms

• Ethereum (2015) - $22 b current market value

• EOS (2018) - $5 b – completed $4.2 b year long ICO in July


• NEO (2016) – $1.1 b - China; delegated BFT; supports wider range of code
• Ethereum Classic (2016) – $1.1 b - Created from the ‘DAO’ hard fork
• LISK (2016) – $360 m - code in Java; uses side chains
• Stratis (2017) - $150 m

10
Smart Contract Poten-al Use Cases
Digital Chamber of Commerce (12/16)

• Digital Identity Records


• Securities Trade Finance
• Derivatives Financial Data
• Mortgages Land Title
• Supply Chain Auto Insurance
• Clinical Trials Cancer Research
11
Decentralized Applications (dApps)
• Applications run on a Decentralized Blockchain Network
• Generally have a Native Token & Run as a Smart Contract on top of a
Platform

© State of the DApps. All rights reserved.


12
This content is excluded from our Creative Commons license. For more information,
Source: State of the Dapps (9/18) see https://ocw.mit.edu/help/faq-fair-use/
Initial Coin Offerings –
Crowdfunding for
Investment & Consumption
• Proceeds used to build networks
• Tokens usually issued prior to being functional
• Development, while open source, is largely centralized
• Promoters allocate themselves ‘premined’ tokens
• Tokens are fungible & transferable
• Scarcity is fostered with preset ‘Monetary policy’
• Purchasers anticipate profits through appreciation
13
14
Courtesy of Elementus .Used under CC BY.
Legal Issues – Smart Contracts
Guest Lecturer – Larry Lessig
• Harvard Professor of Law and Leadership
• Founder of Stanford Law’s Center for Internet and Society
• Clerked for Justice Antonin Scalia and for Appeals Court Judge Richard Posner
• Numerous Awards, including Free Software Foundation’s Freedom Award, Fastcase
50 Award and named one of Scientific American’s Top 50 Visionaries

• Author of 8 books, including:


‘Code and Other Laws of Cyberspace’
• Code/architecture – physical or technical constraints
• Market – economic forces
• Law – explicit mandates by government
• Norms – social conventions 15
Conclusions
• Nakamoto’s P2P Money
Buterin’s Ethereum P2P Computing
• Smart Contracts & DApps Provide:
• Decentralized Computing &
• Self Executing Commitments
• Token Sales for Proposed DApps have Spawned new form of
Crowdfunding – Initial Coin Offerings (ICOs)
• Amongst 1000’s of Proposals & Offerings, Few DApps have yet Gained
Wide Consumer Adoption
• Smart Contracts and DApps, though, have real Potential to bring Change
18

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy