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Smart Contracts Nothing but
Decentralised Workflows?
Why compiling BPMN into Solidity could make sense
My Background
● 2013 First Analysis of Bitcoins ability to act as currency.
● 2017 Master Thesis ~ “A blockchain based version control system for
documents“
● 2018 Initial thoughts on linking “smart contracts” to Business Process
Automation
● 2018+ Active research in this area
This talk is about
● Cutting through the jungle of blockchain projects.
● Exploring the core of “smart contracts”
● Show which value BPMN could add to the
Blockchain Ecosystem
This talk it not
● A detailed discussion about how blockchain works.
● About Bitcoin
● Including any crypto investment advice
● Even close to cover the topic completely
The Ethereum Blockchain
What does a blockchain do again?
No new technology at all - but a smart combination of multiple existing once!
● Blockchain is a technology that combines a data structure (or database) and a
peer-to-peer network.
● Each block in the blockchain includes a group of transactions
● The creation of a new block requires solving a computationally hard cryptographic puzzle.
● Some nodes in the network are responsible for mining blocks.
● With each cryptographic puzzle a hash value is created that links blocks in the database.
● Any attempt to change a transaction in a block would require the computational costs of
recreating all subsequence blocks.
How is the Ethereum Blockchain difference?
● Ethereum, also allow to deploy scripts, called smart contracts, that are executed
whenever certain transactions occur.
● Smart contracts are executed over an Ethereum Virtual Machine (EVM)
Ethereum Technology Stack
https://www.slideshare.net/SherminVoshmgir/ethereum-61549934
What does all this have to do with BPMN?
https://www.ethereum.org/
Value Proposition of
Ethereum
https://www.cbinsights.com/research/what-is-
ethereum/
Value Proposition of
Ethereum
https://newalchemy.io/
Value Proposition of
Smart Contracts
Most Famous Implementation:
“The Decentralized Autonomous Organization”
Goal
“Codify the rules and decision making apparatus of an
organization, eliminating the need for documents and people in
governing, creating a structure with decentralized control.”
https://medium.com/@pullnews/understanding-the-dao-hack-fo
r-journalists-2312dd43e993
The DAO Launch
● Launched on 30th April, 2016.
● Largest crowdfunding in history, raised over
$150m from more than 11,000 enthusiastic
members.
● 50 investment opportunity to vote for by
members.
The DAO Hack
● $70M were drained on June 18, 2016, by making
the smart contract return Funds multiple times
before it update its own balance.
● One of the Flaw:
○ The DAO coders had also failed to consider
the possibility of a recursive call.
https://coincodex.com/article/50/the-dao-hack-what-happened-and-what-followed/
Relevant Etherium Properties
● Turing-complete
● Own programming language “Solidity”
○ syntax resembles the one of JavaScript.
○ Similar classes in Java-like object-oriented style
○ strongly-typed language
● Immutability of deployed code & complete computations
● No central authority
○ Cannot fail, be stopped or censored
● Lack of transparency
● Vulnerable to Errors (only write
operation!)
Smart Contract Properties
Bernd Rücker’s Thoughts
https://blog.bernd-ruecker.com/how-blockchain-can-drastically-simplify-business-processes-cc0828918b85
“A thought experiment we did was to
generate Ethereum smart contract code
out of a BPMN model.
“This would...mak(e) BPMN a pretty
interesting tool in the blockchain
technology landscape.”
Caterpillar Project
“Caterpillar accepts as input a process model specified in BPMN and generates a set of smart
contracts that captures the underlying behavior.”
Background
● Title
○ CATERPILLAR: A Business Process Execution Engine on the Ethereum Blockchain
● Published
○ 10 Jul 2018
● By
○ Orlenys López-Pintado, Luciano García-Bañuelos, Marlon Dumas, Ingo Weber, Alex
Ponomarev
● Universities
○ Institute of Computer Science, University of Tartu, Estonia
○ CSIRO, Sydney, Australia
○ School of Computer Science & Engineering, UNSW Australia, Sydney, Australia
What does it do
● BPMN-to-Solidity compiler covering the full
spectrum of BPMN
● The full state of the process instance is
recorded on the blockchain
● External entity can query the state of a given
process instance, i.e. the set of activities that
are currently active (executing) for that
particular instance.
https://arxiv.org/pdf/1808.03517.pdf
Demo
Check it out!
https://github.com/orlenyslp/Caterpillar
Technical Limitations
● Slow & Expensive to use
● Tradeoff between efficiency and the ability to run
inter-linked business processes entirely on the blockchain.
● Collaborative BPMN processes executed outside of the
realm of any involved party.
This talk was about
● Cutting through the jungle of blockchain
projects.
● Exploring the core of “smart contracts”
● Show which value BPMN could add to
the Blockchain Ecosystem
Smart Contracts Nothing but Decentralised Workflows?

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Smart Contracts Nothing but Decentralised Workflows?

  • 1. Smart Contracts Nothing but Decentralised Workflows? Why compiling BPMN into Solidity could make sense
  • 2. My Background ● 2013 First Analysis of Bitcoins ability to act as currency. ● 2017 Master Thesis ~ “A blockchain based version control system for documents“ ● 2018 Initial thoughts on linking “smart contracts” to Business Process Automation ● 2018+ Active research in this area
  • 3. This talk is about ● Cutting through the jungle of blockchain projects. ● Exploring the core of “smart contracts” ● Show which value BPMN could add to the Blockchain Ecosystem
  • 4. This talk it not ● A detailed discussion about how blockchain works. ● About Bitcoin ● Including any crypto investment advice ● Even close to cover the topic completely
  • 6. What does a blockchain do again? No new technology at all - but a smart combination of multiple existing once! ● Blockchain is a technology that combines a data structure (or database) and a peer-to-peer network. ● Each block in the blockchain includes a group of transactions ● The creation of a new block requires solving a computationally hard cryptographic puzzle. ● Some nodes in the network are responsible for mining blocks. ● With each cryptographic puzzle a hash value is created that links blocks in the database. ● Any attempt to change a transaction in a block would require the computational costs of recreating all subsequence blocks.
  • 7. How is the Ethereum Blockchain difference? ● Ethereum, also allow to deploy scripts, called smart contracts, that are executed whenever certain transactions occur. ● Smart contracts are executed over an Ethereum Virtual Machine (EVM)
  • 9. What does all this have to do with BPMN?
  • 13. Most Famous Implementation: “The Decentralized Autonomous Organization” Goal “Codify the rules and decision making apparatus of an organization, eliminating the need for documents and people in governing, creating a structure with decentralized control.” https://medium.com/@pullnews/understanding-the-dao-hack-fo r-journalists-2312dd43e993
  • 14. The DAO Launch ● Launched on 30th April, 2016. ● Largest crowdfunding in history, raised over $150m from more than 11,000 enthusiastic members. ● 50 investment opportunity to vote for by members.
  • 15. The DAO Hack ● $70M were drained on June 18, 2016, by making the smart contract return Funds multiple times before it update its own balance. ● One of the Flaw: ○ The DAO coders had also failed to consider the possibility of a recursive call. https://coincodex.com/article/50/the-dao-hack-what-happened-and-what-followed/
  • 16. Relevant Etherium Properties ● Turing-complete ● Own programming language “Solidity” ○ syntax resembles the one of JavaScript. ○ Similar classes in Java-like object-oriented style ○ strongly-typed language ● Immutability of deployed code & complete computations ● No central authority ○ Cannot fail, be stopped or censored
  • 17. ● Lack of transparency ● Vulnerable to Errors (only write operation!) Smart Contract Properties
  • 18. Bernd Rücker’s Thoughts https://blog.bernd-ruecker.com/how-blockchain-can-drastically-simplify-business-processes-cc0828918b85 “A thought experiment we did was to generate Ethereum smart contract code out of a BPMN model. “This would...mak(e) BPMN a pretty interesting tool in the blockchain technology landscape.”
  • 19. Caterpillar Project “Caterpillar accepts as input a process model specified in BPMN and generates a set of smart contracts that captures the underlying behavior.”
  • 20. Background ● Title ○ CATERPILLAR: A Business Process Execution Engine on the Ethereum Blockchain ● Published ○ 10 Jul 2018 ● By ○ Orlenys López-Pintado, Luciano García-Bañuelos, Marlon Dumas, Ingo Weber, Alex Ponomarev ● Universities ○ Institute of Computer Science, University of Tartu, Estonia ○ CSIRO, Sydney, Australia ○ School of Computer Science & Engineering, UNSW Australia, Sydney, Australia
  • 21. What does it do ● BPMN-to-Solidity compiler covering the full spectrum of BPMN ● The full state of the process instance is recorded on the blockchain ● External entity can query the state of a given process instance, i.e. the set of activities that are currently active (executing) for that particular instance. https://arxiv.org/pdf/1808.03517.pdf
  • 22. Demo
  • 24. Technical Limitations ● Slow & Expensive to use ● Tradeoff between efficiency and the ability to run inter-linked business processes entirely on the blockchain. ● Collaborative BPMN processes executed outside of the realm of any involved party.
  • 25. This talk was about ● Cutting through the jungle of blockchain projects. ● Exploring the core of “smart contracts” ● Show which value BPMN could add to the Blockchain Ecosystem