Making Blockchain Real for Business - CLOSER · 2018-09-06 · Making Blockchain Real for Business IBM Blockchain August 30, 2018 Christian Lassen ... NORDEA JOINS FIRST BLOCKCHAIN-BASED

1Page© 2016 IBM Corporation© 2018 IBM Corporation

Making Blockchain Real for BusinessIBM Blockchain

August 30, 2018

Christian LassenNordic Leader, IBM Blockchain

[email protected]+45 41 20 10 93

Transport Efficiency Day 2018

©2018 IBM CorporationIBM Financial Markets and Banking

A broad ecosystem comes together to deliver solutions and services

Entrepreneurs

Industryorganizations

CommunityLeaders

Service providers

Venture Capitalists

Academia/Students

End Clients/End Users

Influencers

Fintechs.ISVs

GovernmentResearchInstitutions

Clients/Members

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3Page© 2016 IBM Corporation

The solution provided by blockchain

… A trusted, distributed, permissioned ledger

Participant C’s records

Auditor records

Regulator records

Participant A’s

records

Bank records

Participant B’s records

Blockchain

Consensus, provenance, immutability, finality

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Blockchain in a nutshell

Smart Contract

Privacy

Shared Ledger

ConsensusEnsuring appropriate

visibility; transactions are secure, authenticated

& verifiable

Business terms embedded in transaction database & executed with transactions

All parties agree to network verified transaction

Append-only distributed system of record shared

across business network

Broader participation, lower cost, increased efficiency

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Blockchain benefits

Savestime

Removescost

Reducesrisk

Increasestrust

Transaction time from days to near

instantaneous

Overheads and cost intermediaries

Tampering, fraud & cyber crime

Through shared processes and recordkeeping

Global Financing: Dispute ResolutionWhat?• IBM Global Finance provides a $41bn channel

financing per year. There are a number of disputes that take time to resolve and can lock up transactions costing time and money

How?• Blockchain provides visibility and provenance

end-to-end across supply chain

Benefits1. Reduced dispute resolution time by 75%

2. Released working capital from $100m

3. Combine IGF and Supplier info to further expand benefits further

4. In production since Sept 2016

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The case for a better way

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What?

• Provide a trusted source of information and traceability to improve transparency and efficiency across the food network.

How?

• Shared ledger for storing digital compliance documentation, test results and audit certificates network.

Benefits

• Reduce impact of food recalls through instant access to end-to-end traceability data to verify history in the food network and supply chain.

• Help to address the 1 in 10 people sickened and 400,000 fatalities WW which occur every year from food-born illnesses.

Food Safety

Trade Finance – Digital Trade Chain

This new product will simplify trade finance processes for companies by addressing the challenge of managing, tracking and securing domestic and international trade transactions. Companies can easily and efficiently trade with more trust.The commercialisation of the platform is expected in Q2 2018. From February 2018 test clients of the founding banks will be able to use the platform.

NORDEA JOINS FIRST BLOCKCHAIN-BASED TRADE FINANCE PLATFORM AS FOUNDING PARTNER

CONSORTIUM IS, IN CONJUNCTION WITH IBM, DEVELOPING A PLATFORM BASED ON DISTRIBUTED LEDGER TECHNOLOGY (DLT) THAT AIMS AT MAKING DOMESTIC AND CROSS-BORDER COMMERCE EASIER, SAFER AND MORE EFFICIENT FOR COMPANIES


Legitimize Diamonds and Reduce Fraud

What?• Track diamonds across supply chain from mine to retail

How?• Shared ledger for storing digital certification with supporting

material

Benefits1. Protect against the occurrence of fraud, theft, trafficking

and black markets2. Assist in the identification and reduction of synthetic stones

being labelled as authentic3. Increase speed of transparency for cross border

transactions for insurance companies, banks and claimants


Legitimize Diamonds and Reduce Fraud

What?• Track diamonds across supply chain from mine to retail

How?• Shared ledger for storing digital certification with supporting

material

Benefits1. Protect against the occurrence of fraud, theft, trafficking

and black markets2. Assist in the identification and reduction of synthetic stones

being labelled as authentic3. Increase speed of transparency for cross border

transactions for insurance companies, banks and claimants

© 2017 IBM Corporation 13

IBM is making blockchain real for business with over 400 engagements and multiple active networks

Trade Finance Pre and Post Trade Complex Risk Coverage

Identity/ Know your customer (KYC) Unlisted Securities/ Private Equity Funds Loyalty Program

Medicated Health Data Exchange Fraud/ Compliance Registry Distributed Energy/ Carbon Credit

Supply Chain Food Safety Provenance/ Traceability


– Identifying a good blockchain use-case is not always easy!– However there should always be:

What makes a good blockchain use case?

1. A business problem to be solved• That cannot be solved with more mature technologies

2. An identifiable business network• With Participants, Assets and Transactions

3. A need for trust• Consensus, Immutability, Finality or Provenance


What makes a good first blockchain use case?

1. A limited scope, but still solves a real business problem• Minimum Viable Product in a few weeks of effort

1. A smaller business network• Usually without requiring regulators and consortia

2. Allows for scaling with more participants and scenarios• Consider shadow chains to mitigate risks

Start small, succeed and grow fast!


IBM Blockchain Engagement Model

Ideation

IGNITE

DESIGN

Design & Solution Workshop

Apply business domain expertise and Blockchain technology expertise to derive a adoption model that enlists and surfaces hurdles challenges and factors in the costs and economic viability of the Blockchain solution

REALIZE

First Project MVP Build

SCALE

Scale Out

1. Scaling up the solution by expanding the participants and consensus procedures involved in the Blockchain ecosystem

2. Investigating integrations with existing systems and reduce redundant processes through re-engineering

1. Design, build and deploy the MVP in a short period of time

2. Validate MVP against a pilot user base for immediate feedback. Test and rapidly adjust MVP as needed.

1. Align Business and IT goals and define the MVP Statement.

2. Create a concept design for the MVP

1. Assess proposed initiative

2. Substantiate selected Use Case

Design Thinking UX and Visual Design Lean Startup Xtreme Programming DevOps16

© 2016 IBM Corporation

Thank you!

Christian LassenNordic Leader, IBM Blockchain

[email protected]+45 41 20 10 93

Documents

Making Blockchain Real for Business - CLOSER · 2018-09-06 · Making Blockchain Real for Business IBM Blockchain August 30, 2018 Christian Lassen ... NORDEA JOINS FIRST BLOCKCHAIN-BASED