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Ⅰ How to understand traceability and anti-counterfeiting in blockchain technology
Chongqing Jinwowo: The functions of blockchain that cannot be tampered with and data can be traced can effectively solve the problem of items Traceability and anti-counterfeiting issues;
Blockchain technology can also trace the origin and prevent counterfeiting of medicines, artworks, collectibles, luxury goods, etc.
II What does traceability mean
The blockchain stores all historical data after the creation block through the block data structure. Any piece of data on the blockchain can be Trace its origins through the chain structure.
The blockchain is a decentralized database. The decentralized database records the input and output of each transaction in the blockchain, so that changes in the number of assets and transaction activities can be easily tracked. This is the traceability of the blockchain. sex.
Introduction
A decentralized database is dispersed on various computers linked to the network and is not controlled by a centralized server. Therefore, the data storage method of blockchain cannot be tampered with. We can track the data in the blockchain and trust it because no one can change it and it is real.
Blockchain technology provides customers with a way to ensure that the information provided by the company is completely authentic. Enterprises use blockchain to store relevant information about products or services (such as the origin of materials, supply chain, etc.). Customers know that this data cannot be changed and therefore have complete reliance on this information.
III How is the anti-counterfeiting traceability application of blockchain implemented?
The three major characteristics of blockchain are well-known, which are decentralization, openness and transparency, and non-tampering. The non-tamperable feature enables blockchain to be used in many places. Such as product traceability, anti-counterfeiting, privacy protection, etc.
Because the production process it traces is all uploaded manually, so even if the data cannot be tampered with, the authenticity of the data cannot be guaranteed, and it still cannot be Solve substantive issues.
In general, although blockchain has brought great benefits, it is not perfect after all. However, blockchain technology has advanced the development of the times, and I believe its future is worth looking forward to.
IV What is the function of blockchain
The main function of blockchain is traceability.
IV Blockchain Concept Stocks Which Blockchain Technology Listed Companies
Blockchain is a new application model of distributed data storage, and it is an important concept of Bitcoin. There are currently 35 stocks related to the blockchain concept in the A-share market, of which 6 blockchain concept listed companies are traded on the Shanghai Stock Exchange and 29 blockchain concept listed companies are traded on the Shenzhen Stock Exchange.
According to the correlation of blockchain, the leading stocks of blockchain concept stocks are most likely to be born from Xinchen Technology, Luyitong, and Sifang Jingchuang.
Xinchen Technology: On September 29, 2016, the company stated in an interactive interview that the company is currently working on blockchain technology.R&D.
Lu Yitong: The company plans to raise a total of 67.9691 million shares of 67.9691 million shares at 24.57 yuan per share, and the total amount of supporting funds will not exceed 1.670 billion yuan, which will be used to pay the cash consideration for this transaction and build the industrialization of blockchain ASIC chips. Projects, artificial intelligence ASIC chip R&D center, chip product marketing and service network, etc.
Sifang Jingchuang: On May 31, 2016, the founding meeting and first members meeting of the Financial Blockchain Cooperation Alliance (Shenzhen) was officially held at Shenzhen Wuzhou Hotel. The company was one of the founding members of the meeting.
VI Why is blockchain traceable
Blockchain can record the entire process of data and cannot be changed, so it is scientific to use blockchain technology to trace the source. According to this, blockchain projects are very popular now. There is now a SMIC blockchain service platform project initiated by Changsha High-tech Zone. It is now in the formal operation stage and has been selected as a key blockchain project in Hunan Province. For the project, the next step is to recruit companies to join the chain.
VII Can blockchain technology ensure the security, authenticity and reliability of transaction information
Chongqing Jinwowo network analysis is as follows:
Every node on the blockchain can be verified The completeness and authenticity of the ledger ensures that all transaction information has not been tampered with and is true and valid;
Each node on the blockchain saves a copy of all transaction information. When the data on the blockchain When the number of participants is very large, the cost of modifying information will be very high. It requires at least more than 51% of the computing power of the entire network to modify the information. The cost of modification may far exceed the expected benefits;
When some nodes The information has been maliciously tampered with, and other nodes on the blockchain will discover this information that has not formed a "consensus" in a short period of time and maintain and update it.
VIII What is blockchain?
Let’s talk about some basic concepts first.
The network said that blockchain is a new usage model of computer technologies such as distributed data storage, point-to-point transmission, consensus mechanisms, and encryption algorithms. It is essentially a decentralized database, and as the underlying technology of Bitcoin, it is a series of data blocks generated by cryptography.
We try to translate "what is blockchain" into "human language".
The definition refers to the "decentralized database" nature of blockchain3354. This is very different from the traditional "centralized database" in storage, update and operation.
A centralized database can be thought of as having this shape:
For example, if I want to use Alipay to pay a Taobao seller, all data requests from when I make money to when he receives the money will be centrally processed by Alipay. The advantage of this data structure is that as long as Alipay is responsible for the efficient and safe operation of the system, others can unconditionally believe it without worrying; the disadvantage is that if there is a problem with Alipay, such as being hacked, the server being burned, a traitor appearing, and the company running away (Of course, the possibility of the above is extremely low), the balance details and other information in our Alipay will be confused.
Then some people think thisFor such small probability events, any technical means can be used to avoid individual risks, and the data is not just handed over to a centralized organization. For example, everyone can store and process data.
The database structure may look like this:
This picture is a schematic structural diagram of a "distributed database". Each point is a server, they all have equal rights to record and calculate data, and information is spread point-to-point. At first glance, it seems that it can indeed resist the risk caused by the crash of a certain node, but it is also very confusing and inefficient intuitively. Who will handle my information, and who has the final say on the outcome?
At this time, the "consensus mechanism" in the definition of blockchain comes into play. The consensus mechanism mainly "stipulates" the following things: who will process a data request (what qualifications are required); who will verify the results (to see if he has handled it well); how to prevent processors and verifiers from colluding with each other, etc.
Some people may like to be questioned when a "rule" is made. In order to form a stronger consensus, in addition to making the rules more reasonable, they must also be more attractive so that people are interested and motivated to participate in data processing. This involves the incentive mechanism of the public chain. We will start again later when we discuss the classification of blockchain and the role of digital currencies.
When we hand over a transaction to a distributed network, there is also a "psychological threshold": there are so many nodes that can process information, and I don't know any of them (unlike Alipay, if it hurts me, I can go and file a lawsuit against it). They all have my data, why should I trust them?
At this time, encryption algorithm (the last descriptive word in the definition of blockchain) comes on stage.
In the blockchain network, the data requests we send will be encrypted according to cryptographic principles into a string of characters that the recipient cannot understand at all. Behind this encryption method is the support of a hash algorithm.
Hash algorithms can quickly convert any type of data into hash values. This change is one-way irreversible, deterministic, random, and anti-collision. Because of these characteristics, the person handling my data request could record the information for me, but they had no idea who I was or what I was doing.
So far, the working principle of the decentralized network has been introduced. But we seem to have overlooked one detail. The previous diagram is a net. Where are the pulleys and chains? Why do we call it blockchain?
To understand this matter, we need to clarify a few knowledge points first:
The previous picture is actually a "macro" database perspective, showing the basic rules and processes of the blockchain system for processing information. . And specifically at the "micro" data log level, we will find that the ledger is packaged, compressed, stored in blocks, and strung together in chronological order to form a "chain structure", like this:
Figure Each ring in can be regarded as a building block, and many links are linked together to form a blockchain. Blocks store data, unlike ordinary data storage: on a blockchain, the data in a later block contains the data in the previous block.
To explain academically the fields for each part of the data in the chunk, let's tryThe figure uses a book as a metaphor to describe what a blockchain data structure is.
Usually, when we read a book, we read the first page, then the second and third pages. The spine is a physical existence that fixes the order of each page. Even if the book is scattered, the order of each numbered page can be determined.
Inside the blockchain, each block is labeled with a page number, the second page contains the first page's content, the third page's content contains the first and second page's content. The tenth page contains the previous Nine pages of content.
It is such a nested chain that can be traced back to the original data.
This brings up an important attribute of blockchain: traceability.
When the data in the blockchain needs to be updated, that is when new blocks are generated in sequence, the "consensus algorithm" comes into play again. This algorithm stipulates that a new block can only be formed if it is recognized by more than 51% of the nodes in the entire network. To put it bluntly, it is a matter of voting, and it can be elected if more than half of the people agree. This makes the data on the blockchain difficult to tamper with. If I were to force a change, there would be too many people to bribe and the cost would be too high to be worth it.
This is what people often call the "non-tamperable" feature of blockchain.
Another reason why blockchain gives people a sense of trust is because of "smart contracts."
Smart contracts are commitment agreements defined and automatically executed by computer programs. It is a set of transaction rules executed by code, similar to the current automatic repayment function of credit cards. If you turn on this function, you don’t have to worry about anything. The bank will automatically deduct the money you owe when it is due.
When your friend borrows money from you but doesn't remember to pay it back, or makes excuses not to pay it back, smart contracts can prevent breach of contract. Once the terms in the contract are triggered, such as when it is time to repay the money, or there is a limit in his account, the code will automatically execute, and the money he owes you will be automatically transferred back whether he wants it or not.
Let’s briefly summarize. Blockchain technology is mainly decentralized, difficult to tamper with, and traceable, which represents more security and trustlessness. But it also brings new problems: redundancy and inefficiency, which requires many nodes to agree with the rules and actively participate.
This concludes the "drying" section. Next, let’s talk about unofficial history and the official history of blockchain.
A new technology is often used to serve a certain task.
Or goals. So where was blockchain first used, and who came up with it first?
Let's go back to 2008.
On September 21, Wall Street investment banks collapsed one after another, and the Federal Reserve announced that it would convert the only two remaining investment banks (Goldman Sachs Group and Morgan Stanley) into commercial banks; it hoped to survive the financial crisis by absorbing savings. On October 3, the Bush administration signed a $700 billion financial rescue package.
Twenty-eight days later, on November 1, 2008, a new post appeared in a cryptography mailing group: "I am developing a new electronic currency system that is completely peer-to-peer and does not require a third party. Third-party trust institution." The text of the post is an article titled "Bitcoin: A Peer-to-Peer Electronic Cash System" paper, signed by Satoshi Nakamoto.
The paper explains the design of this peer-to-peer electronic cash system with a more rigorous logic. It first discusses the problem that financial institutions are subject to "trust based" (based on credit), and then explains step by step how to achieve "no third-party agency" , and cleverly solved the technical problems left by the predecessors.
Two months later, Satoshi Nakamoto released the first version of the open source Bitcoin client and mined 50 Bitcoins for the first time. The block that generated the first batch of Bitcoins is called the "Genesis block". The genesis block was compiled into block 0 and was not uploaded to the chain. It took Satoshi Nakamoto 6 days to mine this block. This also sparked discussion in the bitcointalk forum. Bitcoin "believers" thought of the Bible, "God created the heavens and the earth in six days, and then rested on the seventh day."
Although concepts such as decentralized, token, and economy did not appear in the paper, Satoshi Nakamoto explained in detail the role of blocks and chains in the network. working principle. So, there is Block Chain.
This paper later became the "Bible" of the "Bit Cult", technology became the cornerstone of faith, and developer documentation became the "Code of Hammurabi".
After that, Bitcoin realized the first real-life payment by exchanging pizza, WikiLeaks, whose account was blocked by the US government, miraculously survived by relying on Bitcoin, Satoshi Nakamoto's "decentralization" and retirement, and the appearance of the real and the fake A series of legends such as and refutation of rumors, combined with the expectations, imagination and speculation of later generations, became "Bible stories".
There are also people who are not satisfied with the world described in the "Old Testament" and start new sects, write the doctrines into white papers, and tell the story of their faith in the ten years after Bitcoin. Just like the writing of the 66 books of the Bible spanned 1,500 years, and after 2,000 years of interpretation, Christianity has divided into 33,000 branches.
CoinMarketCap shows that there are more than 4,900 types of digital currencies, and the overall digital currency market size is nearly 140 million yuan. Bitcoin still leads the entire digital currency market with a market share of 66%, and the recent price has been hovering around US$7,200 per coin.
So many currencies have different functions and are divided into different categories: digital currencies represented by Bitcoin are positioned as "digital gold" and have certain value storage and hedging characteristics; Ethereum The digital currency represented by Bitcoin has become the "operational fuel" in its network system; the stable currency represented by USDT and Libra has good payment properties due to its low volatility; the digital currency issued by the central bank represented by DCEP will definitely To a certain extent, it replaces M0, allowing commercial institutions and ordinary people to receive and pay without delay when they are out of cash and disconnected from the Internet.
It can be seen that after 10 years of development of blockchain technology, the first and largest application is digital goods.currency.
Digital currency has also become an attractive reward for participants to maintain the public chain.
So besides digital currency, where else can blockchain technology be used?
Let us recall what the essence of blockchain is—a decentralized database, and its corresponding characteristics: traceability, publicity, anonymity, and tamper-proofing. In theory, you can try to use blockchain to transform traditional scenarios that use centralized databases to see if they are suitable.
Next, let’s talk about several industries and scenarios where blockchain has been successfully implemented:
Blockchain can prove the existence of a certain file or digital content at a specific time through hash timestamps, providing judicial authentication, Identity proof, property rights protection, anti-counterfeiting traceability, etc. provide perfect solutions
In the field of anti-counterfeiting traceability, blockchain technology can be widely used in various fields such as food and medicine, agricultural products, alcohol, and luxury goods through supply chain tracking.
Give two examples.
Blockchain can allow government data to be run, greatly streamlining service processes
The distributed technology of blockchain can allow government departments to be centralized on one chain, and all service processes are delivered to smart contracts, and the workers only need to be in one department Through identity authentication and electronic signature, smart contracts can be automatically processed and transferred, and all subsequent approvals and signatures can be completed in sequence.
Blockchain invoices are the earliest use of blockchain technology in China. The tax department launched the "Tax Chain" platform for blockchain electronic invoices. The tax department, the issuer, and the payee join the "Tax Chain" network through unique digital identities, truly realizing "instant invoicing for transactions" and "instant reimbursement after invoicing" - in seconds Level invoicing and minute-level reimbursement accounting significantly reduce tax collection and management costs, and effectively solve problems such as data tampering, over-reporting of one ticket, and tax evasion.
Poverty alleviation is another practical application of blockchain technology. Utilize the characteristics of openness, transparency, traceability, and non-tampering of blockchain technology to achieve transparent use, precise investment, and efficient management of poverty alleviation funds.
Give two examples as well.
The eID network identity operation agency guided by the Third Research Institute of the Ministry of Public Security is jointly developing a "digital identity chain" with Gongyilian, which will be issued to Chinese citizens based on the citizen's identity number as the root and cryptographic algorithm. Since it was put into operation, the eID digital identity system has served the full life cycle management of 100 million eIDs, effectively alleviating the problems of personal identity information being fraudulently used, abused and privacy leaked.
Odaily Planet Daily compiled 5 identity chain projects registered with the Cyberspace Administration of China
Blockchain technology naturally has financial attributes
In terms of payment and settlement, under the blockchain distributed ledger system, there are many markets Participants jointly maintain and synchronize a "general ledger" in real time. In just a few minutes, they can complete payment, clearing, and settlement tasks that currently take two or three days to complete, reducing the complexity and cost of cross-bank and cross-border transactions. At the same time, the underlying encryption technology of the blockchain ensures that participants cannot tamper with the ledger, ensuring that transaction records are transparent and safe. Regulators can easily track transactions on the chain and quickly locate high-risk capital flows.
In terms of securities issuance transactions, the traditional stock issuance flowThe process is long, the cost is high, and the links are complex. Blockchain technology can weaken the role of underwriting institutions and help all parties establish a fast and accurate information exchange and sharing channel. The issuer handles the issuance on its own through smart contracts, and the regulatory authorities conduct unified review and verification. Investors can also Bypass intermediaries for direct operations.
In terms of digital bills and supply chain finance, blockchain technology can effectively solve the financing difficulties of small and medium-sized enterprises. It is difficult for current supply chain finance to benefit small and medium-sized enterprises in the upper reaches of the industrial chain, because they often do not have direct trade relations with core enterprises, and it is difficult for financial institutions to evaluate their credit qualifications. Based on blockchain technology, we can establish a consortium chain network covering core enterprises, upstream and downstream suppliers, financial institutions, etc. The core enterprises issue accounts receivable vouchers to their suppliers. After the bills are digitized and uploaded to the chain, they can be uploaded to the supplier Transfer between them, each level of supplier can realize the corresponding amount of financing with the digital bill certificate.
Give me an example.
The China Enterprise Cloud Chain, jointly launched by ICBC, Postal Savings Bank of China, 11 central enterprises, etc., has covered 48,000 companies since its establishment in 2017, with the amount of rights confirmed on the chain reaching 100 billion yuan, and factoring financing of 57 billion yuan. , cumulative transactions reached 300 billion yuan. After receiving the loan application, financial institutions can verify the authenticity of the contract on the chain and whether the contract has been verified multiple times (multiple loans); the smart contract automatically clears and settles, reducing costs and increasing efficiency; at the same time, the accounts payable of core enterprises can have The corresponding vouchers will be split by the first-level suppliers and handed over to the second- and third-level suppliers in the chain to help them with financing; core enterprises can also use this to understand whether the entire chain is operating normally and avoid emergencies. Redemption pressure.
Blockchain technology will greatly optimize the existing use of big data and play a huge role in data circulation and sharing
The aforementioned areas are areas that we are relatively familiar with. As more new technologies develop, blockchain may be able to be combined with them and play a role in unexpected cross-fields and new scenarios that are currently unforeseen.
In the future, the Internet, artificial intelligence, and the Internet of Things will generate massive amounts of data. The existing centralized data storage (computing model) will face huge challenges. Edge storage (computing) based on blockchain technology is expected to become a future solution. Furthermore, the non-tampering and traceability mechanism of blockchain ensures the authenticity and high quality of data, which becomes the basis for the use of all data such as big data, deep learning, and artificial intelligence.
Finally, blockchain can realize multi-party collaborative data calculations while protecting data privacy, and is expected to solve the problems of "data monopoly" and "data islands" and realize the value of data circulation.
In response to the current blockchain development stage, in order to meet the blockchain development and use needs of general business users, many traditional cloud service providers have begun to deploy their own BaaS ("Blockchain as a Service") solutions. The combination of blockchain and cloud computing will effectively reduce enterprise blockchain deployment costs and promote the implementation of blockchain usage scenarios. In the future, blockchain technology will also play an important role in many fields such as charity, insurance, energy, logistics, and the Internet of Things.
In this experiment from traditional technology to blockchain, we found that when certain scenarios have stronger demands for traceability, tamper-proofing, and decentralization, and the weaknesses of blockchain (such as performance) are not high, such areas are quite suitable for combining blockchain.
At the same time, in the process of blockchain evolution, it has also developed from a highly decentralized public chain accessible to everyone to a consortium chain with different permissions and maintained by multiple centers. Balances the advantages and disadvantages of the two systems.
Typical examples of alliance chains include: FISCO BCOS jointly developed by WeBank and the Golden Alliance Open Source Working Group, Fabric, a major contribution from IBM, and Ant Alliance Chain led by Ant Blockchain, etc.
These trustless systems represent more secure data authentication and storage mechanisms, where data is effectively authenticated and protected. Businesses or individuals can exchange or enter into contracts digitally, where these contracts are embedded in code and stored in transparent, shared databases where they cannot be deleted, tampered with, or revised.
It is boldly predicted that in the future, contracts, audits, tasks, and payments will all be digitized with unique and secure signatures. Digital signatures will be permanently identified, authenticated, legalized, and stored, and cannot be tampered with. There is no need for an intermediary to guarantee each of your transactions. You can conduct transactions without knowing the basic information of the other party. While improving information security, it effectively reduces transaction costs and improves transaction efficiency.
Generally speaking, there has been a lot of progress in the implementation of blockchain compared to two years ago.
Many improvements are at the bottom of the system, and users cannot directly see that blockchain is used, but they have actually benefited from it; some applications are still in pilot mode, and users have not yet been able to experience it. In the future, blockchain is expected to be used on a large scale and become one of the Internet infrastructure.
I hope that after reading this, you have a general understanding of what blockchain is and what blockchain can do.
Related Q&A: What is blockchain
Blockchain is actually equivalent to a disintermediated database, which is composed of a series of data blocks. Each of its data blocks contains information about a Bitcoin network transaction, which is used to verify the validity of the information and generate the next block.
In a narrow sense, blockchain is a chain data structure that combines data blocks in a sequential manner in chronological order, and is cryptographically guaranteed to be non-tamperable and non-forgeable. distributed ledger.
In a broad sense, blockchain is actually a distributed infrastructure and computing method, which is used to ensure the security of data transmission and access.
Blockchain infrastructure:
Blockchain is composed of six infrastructures: data layer, network layer, consensus layer, incentive layer, contract layer and usage layer.
Ⅸ What does blockchain mean?