3. Takes the state as of now or data from the
past and try to predict the future or
infer some knowledge, so to create
autonomous and intelligent machines
Links the present to the past data in such
a way to allow individuals to perform
digital transactions in simultaneously
anonymous, transparent and tamper-
proof way, so to enable trust
AI
Blockchain
7. Three stages of AI
ARTIFICIAL
INTELLIGENCE
MACHINE
LEARNING
DEEP
LEARNING
Ø Search and Planning Algorithms
Ø Machine Learning
Ø Deep Neural Networks
17. Blockchain – What is it useful for ?
Ø Preserve value
Ø Distributed economy
Ø Remove middlemen
18. The Case for Blockchain
Ø Data ownership
Ø Data privacy insured
Ø Data integrity ensured
Ø Automation and touchless integration through smart contracts
Ø No single-point of failure or attack
Ø Collaboration of an entire ecosystem
20. 1997 OctDec
Smart contract
by Nick Szabo
Jan
2009
July
2015
History of Blockchain
July
Bitcoin Ethereum Hyperledger
R3 distributed
ledger
JulyFebSep
China bans
ICOs
June
2016
DAO attack
Jan
Zug
Crypto
Valley
2017 2018
Blockchain
Votation
Mar
Japanese mobile
payment app
2012
Ripple
Ethereum
Enterprise
Alliance
FINMA
guidelines
“Cryptowinter”
Singapore Bank
project
Nov
Food
Trust
21. Investing in Blockchain
Ø ICOs :
Ø 2017 : 966 ICOs for total of $10B
Ø 2018 : 2’284 ICOs for total of $11.4B
Ø Primarily in US, SG, UK and CH
But both private funding and ICOs are dropping dramatically in 2019
22. Reasons for ICO Failure
Ø ICOs funding model stimulated hype rather than innovation
Ø No advantage of new apps over existing solutions
Ø Ignorance of government regulation
Ø Influx of private blockchains
Ø Clients want near-term results
23. ETHEREUM
ü 49 million unique Ethereum addresses
ü 1.5 million deployed smart contracts
ü 1.2 million calls to smart contracts per day
ü 96% of the tokens are built off Ethereum
ü 2,286 live dApps across the blockchain ecosystem
ü Number of developers is estimated at >300'000
ü Market capitalization: $14B
ü Price of Ether : $132.6
ü Blockchain size: 194 GB with 7.4 M blocks,
ü Block size: 17MB
ü 268 blocks per hour
ü 8'658 nodes (40% in the US, 16% in China
24. Ethereum - How it works
DApp
web3.js
html, JS
Wallet server
Block 1 Header
Hash
Transactions Root
State Root
Receipts Root
Parent
Code
Hash
Smart
Contract
Code
Block
Block 2 Header
Hash
Parent
Block 3 Header
Hash
Parent
Ethereum Node
Ethereum Node
Ethereum
Node
Ethereum
Node
Ethereum
Node
External Data
Transactions
…
…
25. Ethereum Governance
Ø There major releases
Ø In-between hard forks
Ø ERCs, EIPs
Ø Ethereum Foundation, Parity
Ø Decision making process
Ø Ethereum Enterprise Alliance
26. Other Public Blockchain Projects
Ø Bitcoin’s future
Ø High performance blockchains
Ø EOS, NEO, IOTA etc
Ø Public permissioned : Ripple, Stellar
Ø Blockstack, FileCoin, Tezos..
Ø Stable coins, gold coins
Ø Decentralized Exchanges
27. Special
Announcement
• IBM Blockchain World Wire
for cross-border payments
• As of today available in 72
countries in 47 currencies
• Based on Stellar public
permissioned blockchain
• Full story on :
https://www.ibm.com/blockchain/solutions/world-wire
28. Challenges
Ø Scalability
Ø Security
Ø Diversity of contracts
Ø GDPR compatibility
Ø Public chains not a preferred choice for B2B
Ø Quantum algorithms
29. HYPERLEDGER
Ø Private permissioned blockchain or DLT
Ø 250 members in Hyperledger foundation
Ø Projects like:
Ø Food Trust
Ø Health Network
Ø Supply chain
31. State of the industry
Ø Market value forecast at $23B in 2024
Ø 135 projects in production in 2018 (increase from 4 to 5%)
Ø IBM dominates the market (32%)
Ø Followed by Microsoft, Accenture, Deloitte, EY, Infosys ..
Ø China
Ø Vision of secure sharing of the assets across enterprises, government agencies, and the public
33. Case 1
Integrate AI and Blockchain features in application logic
Example: IBM Crypto Anchor Verifier
Ø Uses AI to recognize counterfeits and record the items in blockchain
34. Case 2
Use AI tools to develop and manage Blockchain Apps
Example: MatrixAI
Ø Uses AI for security hardening of blockchain smart contracts
Source: MatrixAI White paper
35. Case 3
Use Blockchain to provide AI services
Example: Cortex Project
Ø Public chain with GPU nodes for on-chain ML models
36. 36
AI & BLOCKCHAIN
Sasha Lazarevic, IBM Switzerland
https://www.linkedin.com/in/lzrvc/
LZRVC.com
IBM Watson