A great challenge for democracy is to account for the conflict between the ideal of self-governance and the capacity of the average person to participate in democratic decision-making. This challenge has led some observers to question the defensibility of democracy and consider other systems of social organization. I argue instead that the problem can be solved with a technologically enhanced version of Thomas Christiano’s choice of aims model of democracy. I begin by setting up the voter competency problem: I describe the ideals of democracy and the role that is ascribed to citizens under traditional accounts of democracy, then proceed to a discussion of the empirical evidence that shows how unlikely it is that voters could ever adequately perform such a role. While I consider a number of alternative democratic models which attempt to reconstruct the role of citizens in a way that is consistent with their capacities and with the democratic ideal of self-governance, I find that the choice of aims model strikes this balance in a way that is most tenable. Despite this, I argue that changes to the way information is distributed in modern democracies, to do with the rise of the internet, pose a serious threat to the viability of even this model, as it is becoming increasingly difficult for voters to ascertain reliable information. The second half of the thesis offers support to Christiano’s model in the form of technologically enhanced institutions. Chapter 3 provides a basic understanding of an emerging technology called distributed ledger technology, which offers a new paradigm for how information is stored, controlled, and distributed around society. The final chapter demonstrates how this technology can be used to strengthen democratic institutions so that citizens are able to truly be said to self-govern in a way that is consistent with their capacities.
Nejc Rožman, Rok Vrabič, Marko Corn, Tomaž Požrl · 5 authors
This paper presents an approach to integrating Blockchain and IoT technologies into modern supply chains. We propose the concept of a new logistics platform that is built as a distributed network of nodes and offers an alternative approach dealing with the complexity of modern supply chains by breaking them into smaller, functionally independent parts. The modular structure of the platform allows users to add their own nodes or extend the functionality of the existing ones. Nodes are communicating with the use of IoT technology, which serves as a bridge between the virtual and real worlds, making this platform truly digital. Blockchain technology is not only used for writing down agreements and for making transactions, but also as a trustworthy public listing of services and information. It connects the nodes into a public and secure system that provides reliable services of a supply chain. In this work, we describe the individual nodes and their implementation and present preliminary results of experiments using a laboratory model of a logistic chain.
As an important method of making democratic decisions, voting has always been a topic of social concern. Compared with the traditional, e-voting is widely used in various decision scenarios because of the convenience, easy to participate and low cost. However, the proposed e-voting protocols are at the risk of excessive authority and tampered information, which makes it impossible to achieve true fairness and transparency in e-voting. By combining the blockchain technology, it enables to solve these problems with the decentralization and tamper-resistant features. Moreover, the misoperations of the voters will also affect this fairness, such as voting for non-candidates, abstention or repeated voting. Therefore, to ensure the efficiency of the voting process and maintain the fairness of the voting environment, it is important to append the function of audit in e-voting protocol. This paper proposes an e-voting protocol based on blockchain, which provides transparency in the process of voting. At the same time, this scheme has the ability to audit voters operating incorrectly and resist quantum attacks by adopting the certificateless and code-based cryptography. After performance analysis, our scheme is suitable for the small-scale election and has some advantages in security and efficiency when the number of voters is small.
Flexible regulation of smart grid is vital for grid operation. This paper proposes a smart grid data aggregation and regulation mechanism based on consortium blockchain, and its signcryption algorithm can be applied to multidimensional data acquisition and multiple receivers in the consortium blockchain. In the process of regulation, the control center, the grid operator, and the equipment supplier receive fixed-height blocks from the blockchain and obtain plaintext from the decryption. Each receiver analyzes the multidimensional data and formulates corresponding control policies for individual users. Grid operators implement user power regulation by feedback on smart contracts. The security analysis and performance comparison show that the proposed scheme has advantages in computing and communication costs while meeting security requirements for confidentiality and data integrity.
Blockchain is experiencing rapid development and has the full potential of revolutionizing the IoT platform in the industrial field. In this paper, a light-weighted Blockchain-based platform for IIoT is presented to address security, trust, and island connection problem in the process of IIoT ecosystem construction. BPIIoT is comprised of the on-chain network and the off-chain network. All transactions are processed in the on-chain network such as including digital signature based on access control and programmable permission. The off-chain network deals with the storage, complex data processing, and other problems that blockchain cannot solve. The smart contract is utilized as the service contract of consumers and manufacture resources, providing on-demand manufacturing service. Two smart application cases, manufacturing equipment data sharing and maintenance service sharing from smart manufacturing, are implemented to explain the smart contract for equipment maintenance service and status data sharing service throughout maintenance, repair, and operation service network by the BPIIoT.
The sharing of personal health records can help to improve the accuracy of the doctor's diagnosis and to promote the progress of medical research. Currently, to reduce the maintenance cost of data, personal health records are usually outsourced to a third party such as the cloud service provider. In this case, patients may lose direct control over their personal health records and the semi-trusted cloud service provider may tamper with or reveal personal health records. Therefore, ensuring the privacy and integrity of personal health records and realizing the fine-grained access control are crucial issues when personal health records are shared. As a distributed architecture with decentralized and tamper-proof features, blockchain provides a new way to protect the personal health records sharing system. In this paper, we propose a new personal health records sharing scheme with data integrity verifiable based on blockchain. Aiming at the problems of privacy disclosure, limited keyword search ability and loss of control rights in the process of personal health record sharing, the new scheme uses searchable symmetric encryption and attribute-based encryption techniques to achieve privacy protection, keyword search, and fine-grained access control. Compared with the existing similar schemes, the new scheme allows patients to distribute attribute private key for users, avoiding many security problems caused by the existing of attribute authority in the scheme. Furthermore, the new scheme uses blockchain to manage keys in the scheme, avoiding the single point failure problem of centralized key management. In particular, the new scheme stores the hash values of encrypted personal health records in blockchain, and the related index set is stored in smart contract, which can further improve the efficiency of data integrity verification. Finally, performance evaluation and security analysis indicate that our scheme is secure and feasible for practical use.
Wenli Yang, Erfan Aghasian, Saurabh Garg, David Herbert · 6 authors
The emergence of Internet protocol suites and packet-switching technologies tends to the considerations of security, privacy, scalability, and reliability in layered Internet service architectures. The existing service systems allow us to access big data, but few studies focus on the fundamental security and stability in these systems, especially when they involve large-scale networks with overloaded private information. In this paper, we explored the blockchain-based mechanism that aims to improve the critical features of traditional Internet services, including autonomous and decentralized processing, smart contractual enforcement of goals, and traceable trustworthiness in tamper-proof transactions. Furthermore, we provide a comprehensive review to conceptualize the blockchain-based framework to develop the decentralized protocols for the extensive number of Internet services. This comprehensive survey aims to address blockchain integration to secure Internet services and identify the critical requirements of developing a decentralized trustworthy Internet service. Additionally, we present a case study of the blockchain-based Internet of Things (IoT) for neuro-informatics to illustrate the potential applications of blockchain architectures. Finally, we summarize the trends and challenges of blockchain architectures that benefit a multitude of disciplines across all the Internet service fields of interest.
Blockchain, as well as Internet of Things (IoT), is considered as two major disruptive emerging technologies. However, both of them suffer from innate technological limitations to some extent. IoT requires strengthening its security features while Blockchain inherently possesses them due to its extensive use of cryptographic mechanisms and Blockchain, in an inverted manner, needs contributions from the distributed nodes for its P2P (Peer-to-Peer) consensus model while IoT rudimentarily embodies them within its architecture. This chapter, therefore, acutely dissects the viability, along with prospective challenges, of incorporating Blockchain with IoT technologies,inducing the notion of Blockchain of Things (BCoT), as well as the benefits such consolidation can offer.
Jordi Paillissé, Jordi Subira, Albert López, Alberto Rodríguez-Natal · 7 authors
The specification and enforcement of network-wide policies in a single administrative domain is common in today's networks and considered as already resolved. However, this is not the case for multi-administrative domains, e.g. among different enterprises. In such situation, new problems arise that challenge classical solutions such as PKIs, which suffer from scalability and granularity concerns. In this paper, we present an extension to Group-Based Policy -- a widely used network policy language -- for the aforementioned scenario. To do so, we take advantage of a permissioned blockchain implementation (Hyperledger Fabric) to distribute access control policies in a secure and auditable manner, preserving at the same time the independence of each organization. Network administrators specify polices that are rendered into blockchain transactions. A LISP control plane (RFC 6830) allows routers performing the access control to query the blockchain for authorizations. We have implemented an end-to-end experimental prototype and evaluated it in terms of scalability and network latency.
Ali Vatankhah Barenji, Hanyang Guo, Zonggui Tian, Zhi Li · 6 authors
Recently, there has been growing interest in the field of cloud manufacturing (CM) amongst researchers in the manufacturing community. Cloud manufacturing is a customer-driven manufacturing model that was inspired by cloud computing, and its major objective was to provide ubiquitous on-demand access to services. However, the current CM architecture suffers from problems that are associated with a centralized based industrial network framework and third part operation. In a nutshell, centralized networking has had issues with flexibility, efficiency, availability, and security. Therefore, this paper aims to tackle these problems by introducing an ongoing project to a decentralized network architecture for cloud manufacturing which is based on the blockchain technology. In essence, this research paper introduces the blockchain technology as a decentralized peer to peer network for multiple cloud manufacturing providers.
This article introduces the concept of ‘place-based civic tech’ — citizen engagement technology co- designed by local government, civil society and global volunteers. It investigates to what extent creating such a digital space for autonomous self-organization allows for the emergence of a parallel, self-determining and more place-based geography of politics and political action. It finds that combining online tools with offline collaborative practices presents a unique opportunity for decentralization of power and decision-making in a manner which both politically motivates civil society and begins to update the infrastructure of democracy. The discussion is supported by a combination of primary and secondary data, with research methods including ethnographic and participatory observation techniques. Research data is drawn from a range of empirical sources, including an in-depth case study of the radical municipalist movement in Spain. The article concludes that there is a clear and compelling narrative of cities taking power back, in the form of a plural and globally networked movement. As such, this study contributes to both the theory and practice of civic tech, collective impact, municipalism and place-based urban politics while emphasizing the need for further research on experiments and movements currently existing below the academic radar. <br/>
Open access
Innovative Approaches in Technology and Social Development
Development of digital technology opens up new opportunities for corporate governance. At the same time, modern law faces a difficult task – to find a balance between creating conditions for development of technologies including by means of non-interference, and providing the stakeholders in corporate governance with proper legal guarantees. This paper considers the impact of some of the most significant digital technologies on corporate governance, such as distributed ledger technology, smart contracts and artificial intelligence. There are certain legal trends and challenges arising from such innovations including the pursuance of sociability, peer-to-peer and decentralization of corporate governance which in many cases is associated with abolishing of bodies (of a part of bodies) for a corporation management, or transferring their powers (a part of powers) to the corporation members and/or to a computer program (artificial intelligence, algorithm, smart contract). Besides, the paper considers occurrences of new subject of corporate relations – crypto-assets (tokens) holders as well as the possibility for recognition of the legal personality of computer programs, in particular, decentralized autonomous organizations and artificial intelligence.
Mary Maller, Sean Bowe, Markulf Kohlweiss, Sarah Meiklejohn
Ever since their introduction, zero-knowledge proofs have become an important tool for addressing privacy and scalability concerns in a variety of applications. In many systems each client downloads and verifies every new proof, and so proofs must be small and cheap to verify. The most practical schemes require either a trusted setup, as in (pre-processing) zk-SNARKs, or verification complexity that scales linearly with the complexity of the relation, as in Bulletproofs. The structured reference strings required by most zkSNARK schemes can be constructed with multi-party computation protocols, but the resulting parameters are specific to an individual relation. Groth et al. discovered a zk-SNARK protocol with a universal structured reference string that is also updatable, but the string scales quadratically in the size of the supported relations.<br/> <br/>Here we describe a zero-knowledge SNARK, Sonic, which supports a universal and continually updatable structured reference string that scales linearly in size. We also describe a generally useful technique in which untrusted “helpers” can compute advice that allows batches of proofs to be verified more efficiently. Sonic proofs are constant size, and in the “helped” batch verification context the marginal cost of verification is comparable with the most efficient SNARKs in the literature<br/>
Blockchain, like the internet, or democracy, or money, is many overlapping things. It is a decentralized record of cryptocurrency transactions. It is a peer-to-peer network of computers. It is an immutable, add-on-only database. What gets confusing is the way in which these overlapping functions override one definition or explanation of blockchain, only to replace it with an altogether different one. The conceptual overlaps are like glass lenses dropped on top of one another, scratching each other’s surface and confusing each other’s focal dimensions. This guide takes apart the stack of these conceptual lenses and addresses them one by one through the reconstruction of the basic elements of blockchain technology. The first section of this report gives a short history of blockchain, then describes its main functionality, distinguishing between private and public blockchains. Next, the guide breaks down the components and inner workings of a block and the blockchain. The following section focuses on blockchain’s journalistic applications, specifically by differentiating between targeted solutions that use blockchain to store important metadata journalists and media companies use on a daily basis, and hybrid solutions that include targeted solutions but introduce cryptocurrency, therein changing the journalistic business model altogether. Finally, the report speculates on the proliferation of what are known as Proof-of-Stake blockchain models, the spread of “smart contracts,” and the potential of enterprise-level and government-deployed blockchains, all in relation to what these mean to newsrooms and the work of reporters.
Democracy requires rules that are designed to prevent the abuse of power and money. Blockchain technology is sometimes heralded as a solution to mitigate the problems associated with voting procedures, such as counting errors, fraud, or the improper use of money to influence the outcome of the collective choice procedure. In this article, I argue that the democratic potential of the blockchain hinges on the specific design of the rules governing the validation of blocks.In support of this argument, I shed light on the governance problems raised by standard protocols such as proof-of-work, proof-of-stake, and on-chain voting.
Cryptocurrencies employ different consensus protocols to verify transactions. While the Proof-of-Work consensus protocol is the most energy consuming protocol, Proof-of-Stake and Hybrid consensus protocols have been introduced which consume considerably less energy. We employ portfolio analysis to explore whether energy is a fundamental economic factor affecting cryptocurrency prices. Surprisingly, our results suggest that, on average, cryptocurrencies employing Proof-of-Work consensus protocols do not generate returns that are significantly different from those that incorporate Proof-of-Stake consensus protocols. Even more surprising is that our results show that cryptocurrencies that incorporate Hybrid consensus protocols generated significantly higher average return than the other groups. A possible explanation for that phenomenon may be that investors’ demand for cryptocurrencies that they perceive as offering more trust is larger than for those that carry potential risks of blockchain manipulation.
Blockchain and distributed ledger technology (DLT) are used interchangeably. In the aftermath of the 2008 global financial crisis, Bitcoin gave birth to blockchain, or vice versa. A decade has passed since the launch of the first successful cryptocurrency in January 2009 by a mysterious creator under the alias Satoshi Nakamoto. Now along with Bitcoin, 2,915 altcoins are trading with a combined market cap of $222 billion, Bitcoin’s market cap alone is $150 billion (67.6% of the market). Blockchain’s potential is much bigger than Bitcoin; if regulatory uncertainty alleviates, the blockchain’s value can easily increase by hundred-fold to $3 to $4 trillion dollars by 2030. Although financial sector leads blockchain adoption, blockchain’s opportunities in non-financial sectors are immense. In the simplest terms, blockchain is a distributed ledger made up of two parts, blocks containing of data and a chain that holds them together. Blocks are like storage units that store anything of value related to minting coins (i.e. Bitcoin) via a mining process and keeps a chronology of transactions (e-commerce); chain can be metaphorically viewed as a string that holds all the blocks together, created using a consensus algorithm based on proof-of-work (PoW) or proof-of-stake (PoS). Blockchains are often organized into three most common forms; as such, public blockchain (purely peer-to-peer, decentralized and permissionless; any miner (i.e. node) at any time can access the network to add, verify or validate data without restrictions), private blockchain (permissioned, it is controlled by a central authority which grants permission to pre-selected people who can add and verify records), and consortium blockchain (also formed as permissioned, a group of nodes governs all transactions). It is true that blockchain provides anonymity making identities of its users pseudonymous; but contrary to popular belief, blockchain will not possibly solve all our problems and a permissionless blockchain will not guarantee complete privacy since all transactions become visible to all nodes of the network.
In this article, the authors consider issues of fiscal decentralization in the context of sustainable development of territories, justify the development trends of the world community in providing public goods for the population. The analysis of this issues is carried out in comparison of indicators for Russia and the countries of the Organization for Economic Cooperation and Development (OECD). This allows assessing the current level of fiscal decentralization in the world community, in Russia, and also determining its prospects. The authors presented the results of the study, which contain the dynamics of subnational budgets of Russia and OECD countries, separately identified local budgets, the dynamics of financing of proactive budgeting, the typology of the main projects of proactive budgeting, examples of municipal-private partnership projects implemented in Russia. In addition, the article sets out new approaches to the financial support of local government activities in the country, based on the introduction of self-taxation, bond loans and other forms of financing at the municipal level.
N. Sánchez-Gómez, L. Morales-Trujillo, Jesús Torres Valderrama
Immutability - the ability for a Blockchain (BC) Ledger to remain an unalterable, permanent and indelible \nhistory of transactions - is a feature that is highlighted as a key benefit of BC. This ability is very important \nwhen several companies work collaboratively to achieve common objectives. This collaboration is usually \nrepresented by using business process models. BC is considered as a suitable technology to reduce the \ncomplexity of designing these collaborative processes using Smart Contracts. This paper discusses how to \ncombine Model-based Software Development, modelling techniques, such as use cases models and activity \ndiagram models based on Unified Model Languages (UML) in order to simplify and improve the modelling, \nmanagement and execution of collaborative business processes between multiple companies in the BC \nnetwork. This paper includes the neccessity of using transformation protocols to obtain Smart Contract code. \nIn addition, it presents systematic mechanisms to evaluate and validate Smart Contract, applying early testing \ntechniques, before deploying the Smart Contract code in the BC network.
Smart contracts are the new norm, yet state legislatures and courts have not developed set rules and answers to legal disputes that these contracts create. Is traditional contract law sufficient? Or should we create an entirely new legislative or common law scheme to deal with these disputes? The common law has proven to be successful in dealing with new technologies and contracts, particularly because of its flexibility. Although a major overhaul may be in the future, there are still solutions that we can find today with the current legal landscape given the state of contract law and its evolution over time. One particularly analogous body of case law is instructive: the law of the vending machine. In the end, thinking about smart contracts as vending machines may be fruitful for the future of this evolving area of the law.
Henry Kim, Marek Laskowski, Michael Zargham, Hjalmar Turesson · 6 authors
The study of setting up cryptocurrency incentive mechanisms and operationalizing governance is called token economics. Given the US$250 billion market cap for cryptocurrencies, there is compelling need to investigate it. In this article, we present facets of the token engineering process for a Swiss blockchain startup.
Cryptocurrency is a digital form of currency that uses mathematical equations to encrypt data. This type of currency has significantly grown in popularity over the past 5 years due to more people and companies using it. Some companies have started accepting it as payment in exchange for goods and services. More people are going to be turning to cryptocurrency in the future. Businesses will have to come up with ways to deal with cryptocurrency; however, the FASB has yet to define cryptocurrency, leaving businesses with no formal guidance on the subject. The purpose of this paper is to recommend a solution on how companies should report cryptocurrency in the future.