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@lcalkins© 2018 HalfBlast Studios

by Lisa Calkins , HalfBlast Studios

BLOCKCHAIN & CRYPTOCURRENCY in 60 mins

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@lcalkins© 2018 HalfBlast Studios

AgendaBlockchain and Cryptocurrencies

Introductions5 min

5 min Why Blockchain

10 min

10 min

10 min

Basic Concepts

Technology

Cryptocurrencies

10 min ICOs

10 min Q&A

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@lcalkins© 2018 HalfBlast Studios

Experts SayAbout Blockchain next great disruption

Gartner has said that in the long term, blockchain "will lead to a reformation of whole industries." Blockchain technologies "should not be ignored. They offer the potential for substantial change in technology development and delivery as well as in how the economy, business and society operates."

Forrester wrote that blockchain's "potential is undeniable: Blockchain technology, if implemented appropriately, supports new business and trust models. It's still the early days, but let's not forget — the Internet was young once, too."

And the World Economic Forum stated, "Blockchain, or distributed ledger technology, could soon give rise to a new era of the Internet even more disruptive and transformative than the current one. Blockchain's ability to generate unprecedented opportunities to create and trade value in society will lead to a generational shift in the Internet's evolution."

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High Level Network DesignsCentralized, Decentralized, Distributed networks

Considerations

● Availability● Speed● Redundancy● Security

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Traditional Network DesignClient server model software and hardware attacks

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Beginning of BlockchainBlockchain are distributed networks

● Satoshi Nakamoto invented Bitcoin: A Peer-to-Peer Electronic Cash System (2009)

● The big breakthrough was when Satoshi Nakamoto added the Proof-of-Work (POW) BFT consensus model for a decentralized P2P protocol for transferring coins.

● Bitcoin was the first blockchain technology implementation.

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Blockchain Use CasesSolutions for Blockchain technology

Middlemen with Transaction Fees

Targets for Fraud

Personal Data Owned by Central Authority

Uber/Taxi, Ticketmaster, music, exchanging money

Identity, Medical Records, Cloud storage of your data (photos, files)

Financial/Money, high-value assets (diamonds, art), voting, gambling

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Why or When BlockchainSolutions for Blockchain technology

Government Records

Supply Chain Public & Private

Birth and death records, licenses, registrations, land/real estate recording

Transportation, oil, farm-to-table, raw material to consumer goods

Contract Management

Insurance, law, real estate, construction, entertainment

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Basics LabLearn what makes Blockchain different

Basic Concepts Walkthroughanders.com/blockchain/hash.html

Basic TermsHash / SignatureBlockBlockchainDistributedLedgersCoinbase

Also discuss Mining & Gas

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Blockchain TechnologyDistributed and decentralized

● Blockchains are inherently distributed (meaning all participants hold copies of the ledger)

● Bitcoin & Ethereum implementations are also decentralized.

● Immutable: changing a block requires prohibitively high economic costs

● Not all blockchain implementations are decentralized or permissionless.

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First technology, largest cryptocurrency globally. Bitcoin is

open-source; its design is public, nobody owns or controls Bitcoin.

$121B market cap.

Issues: Scaling, transaction time (10-15 min), cost to mine

Bitcoin

Invented by Vitalik Buterin. Cryptocurrency is Ether. $40B market

cap. A major innovation in Ethereum is the relative simplicity of

deploying smart contracts which have been used to create ‘tokens’.

Issues: similar to bitcoins, scaling, regulations

Ethereum

Private company which focuses on settlement and financial

applications for banking. The basic protocol is called Interledger

Protocol (ILP), which enables banks to send payments across

different ledgers and networks globally. Cryptocurrency is XRP.

$20B market cap.

Ripple

ProjectsBlockchain implementations

Innovation around privacy and permission through membership

services. Cryptocurrency optional. Select the consensus model.

Chaincode used in Fabric, is synonym for smart contract. Issues:

complexity, adoption, cost

Hyperledger Fabric

“Nakamoto consensus” algorithm called PoET (Proof of Elapsed Time).

It is also called a “proof of processor” algorithm. Supports permissioned

and permissionless blockchains. Targets large distributed validator

populations with minimal resource consumption.

Intel Sawtooth

While R3 Corda has openly stated that it does not intend to be a

blockchain, it should be taken into consideration that the

reconfiguration of the concept of a distributed database to a

decentralized database does rely fairly significantly upon traditional

database systems. Focus is on banking and enterprise implementations.

R3 Corda

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Cryptocurrency TermsCommon lingo

Bitcoin Bitcoin, Bitcoin Cash, Litecoin (derivatives of bitcoin open source)

AltcoinsAlternative digital currency, over 600. Some are Ethereum, Ripple, Stellar, NEO, Nxt, Waves.

TokensDigital currency that implements a smart contract on an existing platform. Majority on Ethereum.

ICOsInitial Coin Offerings, similar to IPOs, trade on exchanges

Fiat MoneyRefers to any currency lacking intrinsic value that is declared legal tender by a government.

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What is a Wallet Understanding digital wallets

● Cryptocurrency wallets are software programs that store your public and private keys. ● They interface with various blockchains to send currency, receive currency, monitor

balances and conduct other operations.● When a person sends you a digital currency, they are essentially signing off ownership

of the coins to your wallet’s address. ● To be able to spend those coins and unlock the funds, the private key stored in your

wallet must convert to the public address the currency is assigned to. ● If public and private keys of the sender authenticate, the balance in the receivers

digital wallet will increase, and the senders will decrease accordingly. ● There is no actual exchange of real coins. ● The transaction is a record on the blockchain and a change in balance in your

cryptocurrency wallet.

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Bitcoin SitesCurrency and data

Explore https://coin.dance/statshttps://blockchain.info/stats

Exchangeshttps://binance.comhttps://coinbase

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ICOsInitial coin offerings

Raising Capital

● Raise money without middlemen, such as venture capitalists and angel investors, which, take a percentage of equity of the company, require a certain number of seats on the board of directors, and so forth.

● In fact, ICOs are now raising more money for start-ups than early stage venture capital.● According to Coin Schedule, in 2016, there were 46 ICOs that raised $96.3 million. The largest investment

was secured by blockchain company Waves, which raised $16.4 million investment.● Through November of 2017 the total number of ICOs has risen fivefold to 228. And the total amount of

capital raised has leapt to $3.6 billion. This includes one of the most successful ICOs, which was launched by Filecoin, garnering the software company $206 million.

● And there’s reason to believe those ICOs launched recently will be successful. Status.im, a browsing and messaging application, raised $100 million in under three hours. Another browser startup, called Brave, raised $35 million in under 30 seconds.

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ICO AreasInitial coin offerings

What you need

● White Paper● Website● Token - smart contract● or Open Source Currency (bitcoin, etc)● Legal counsel● PR & Marketing

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@lcalkins© 2018 HalfBlast Studios

Experts SayAbout Cryptocurrencies massive disruptions

IMF (International Monetary Fund) Managing Director Christine Lagarde told CNBC about developments in financial technologies “We are about to see massive disruptions. It's time to get serious about digital currency.” Lagarde didn't rule out that the IMF could at some point develop its own cryptocurrency.

“Cryptocurrency is very much here to stay,” said futurist and author Thomas Frey, noting that he’s speaking to the Federal Reserve in September on the topic. He predicts that “cryptocurrencies are going to displace roughly 25% of national currencies by 2030. They’re just much more efficient, the way they run.”

Despite JPMorgan Chase CEO Jamie Dimon having called Bitcoin a “fraud,” the big bank is now taking cryptocurrency very seriously—acknowledging the blockchain-based technology as a veritable threat to its future. In JPMorgan Chase’s annual report, the bank counted cryptocurrencies such as Bitcoin and Ethereum as “risk factors” to its business for the first time, recognizing the digital currencies as new forms of competition that could, quite literally, give the bank a run for its money.

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Questions?And answers

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THANK YOU

TWITTER

@lcalkins

PHONE

(720) 619-0048

HALFBLAST STUDIOS

www.halfblast.com

EMAIL

lcalkins@halfblast.com

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Lab stepsLive Blockchain labs

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Go to metamask.io and install the chrome browser

Ensure you are on the Ropsten Test Net (top left), Go to faucet.ropsten.be and use your wallet address to add Ether to your wallet See your transaction on ropsten.etherscan.io (search using your wallet address, might take a few mins)

Click on your wallet address top left to see your transaction on ropsten.etherscan.io

Go to cryptogs.io and buy some togs with your ether

Click on the transaction on ropsten.etherscan.io and view the smart contract code

7 Search for Cryptogs on ropsten.etherscan.io and copy the contract address, open metamask, add your cryptogs token in your wallet