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we welcome mr sumesh gupta who is an ex in forces and is now working in block digest today he will be enlightening us all on the topic use cases of the blockchain he is an influential speaker and have impressive work published all around the world so today i welcome him and sir please take this time and enlighten us all thank you thank you miss kanika am i audible yes sir you are yes sir yes thank you thank you so first of all um to all the gurus who are here and um utmost respect for for all the teachers around just to introduce myself been associated with infosys for 25 years now before that i did my engineering from iit bhu and mba in finance from i am calcutta and i've been in the blockchain space for close to seven years let me quickly share my screen miss kanika let me know once you are able to see my screen yes the visibles are visible okay yes visible so blockdigest.com is is a very popular website uh that does work um blockchain space so what i'm going to talk about today is uh how the blockchain blockchain technology is the next frontier and among the horizon 2 technologies what are the key properties and limitations uh these two areas are primarily a recap of what you have already gone through uh last four days i understand all of you have had some kind of hands-on on ethereum stack as well you've gone through truffle you've gone through remix solidity programming you've you've deployed some smart contracts you've looked at um you've looked at different blockchain stacks and so on so forth then i i would be talking about a very popular blockchain use cases evaluation framework and how to how to say whether a use case in particular is is suitable to blockchain and then i'm planning to cover time permitting four particular use cases one on international trade finance the how the system works before before application of blockchain how it works um in some of the developed economies and here in india once part of of the processes are automated using blockchain and then how some of those processes and international trade finance are getting enhanced through uh the the use of smart contracts um properties of a blockchain then i'd be talking about syndicated loan servicing and billion dollar plus loans how they're syndicated currently and how blockchain is changing um changing those spaces about parametric crop insurance and how crop insurance can be can be automated using using blockchain and then an example of a new area developing called flight delay insurance and automated processing of that and then i'd talk about use cases typical use cases in retail in healthcare education government some of those sectors ah few ground rules only two ground rules number one no question is wrong only answers can be wrong so feel free to ask me questions at any point through this presentation if i'm if i'm not covering that particular space in in my subsequent slides i would go ahead and answer it there if i am covering it in for the slides i would go ahead and and point you to those slides second is please let's make it more interactive while i am writing couple of books course books on blockchain uh i think there's a space where all of us have to learn a lot from each other and let's make it as interactive as possible good to go my anks are kanika man very perfect okay so i call blockchain the next front here those of you who have studied computer science realized that one newman was a pioneer in the fold in the field of general computers and the one human architecture of storing data and instructions in the same place gave birth to general purpose computers blockchain in my my view is a different paradigm altogether when one newman kind of gave that paradigm at that time network was not in play blockchain is a different paradigm whereby data instructions which is program called smart contracts in blockchain language and network all are enmeshed together and are together in the same space if you look at any other technology it doesn't doesn't provide that kind of paradigm there are different reports uh by some of the very well known and respected analysts and organizations that say about 10 percent of world's gdp would pass through blockchain based systems by 2030 which would add something like 3.1 trillion uh to to the world's gdp uh by 2030 and that's that's about about three times of india's gdp today ninety percent of government organizations across uh plan to invest in blockchain technology um more than twenty countries are uh working on blockchain based national currencies or what are called cbdc's while we have seen some application of blockchain in business to business space some of it has trickled down to business to consumer space i do believe that government to citizens interaction would be completely revolutionized through the use of blockchain across across different domains blockchain again can can kind of give significant benefits for example healthcare supply chain banks infra and so on so forth hence the opportunity is obvious the jobs are growing multifold however last year um earlier this year niti ayog published a report that said there are more less than 10 000 blockchain developers across the world compared that that to about 36 million it workers in india right um the developer demand is growing by 33 x in 2019 by by a significant number this year blockchain jobs pay 20 to 80 percent higher and hence the opportunity is obvious now having said that let me kind of define blockchain or redefine blockchain for you blockchain is nothing but a distributed digital ledger a ledger that has been used by india's baniyas banks world over its digitized and then it exists on on a distributed network like the one shown here on a p2p or peer-to-peer network which is quite different from client server architecture that most of us are used to that provides an immutable database of transactions so it does not store it does not store master data it does not store reference data it stores transaction data those of you who who are who teach in computer science and the database is immutable you cannot edit you cannot delete from from the database hence it facilitates transfer and storage of value in digital form now what are the properties you you have already seen this it's on a peer-to-peer network where data is while it is called distributed the data actually is replicated on all nodes of the network and we are talking of full nodes those of you who already understand blockchain and and not the spv kind of models there's a linked history of data or backward linked list in in computer science jargon there's transaction data that is linked to each other through the hash of the previous header of the previous block it's supported by uh some of very strong very simple but strong cryptography uh cryptographic uh primitives and i i understand you have had a session on that all the transaction data as well as metadata is practically encrypted um there are three or four very strong uh crypto graphic primitives that are used there's practically nothing that's that's encrypted unencrypted in blockchain space and as i said earlier blockchain has programmable contracts programmable currency if you if you will in bitcoin space for example platforms like ethereum provide fully programmable capabilities and these programs called smart contracts there are some some platforms for example multi-chain you've had a session on multi chain on aws i understand does not provide does not provide smart contracts bitcoin provides limited smart contracts and so on so forth but any blockchain worth its name now provides smart contracts which are nothing but programs on blockchain executed through their own virtual machines the data is immutable the data is immutable i talked about this it's a trustless system the system that satoshi nakamoto whoever he she or they are designed to be a trustless system whereby in public blockchain space you don't even need to know uh whether the other person is trusted party or not and and um you can go ahead with that in private blockchain space or enterprise blocks chain space of course you you uh have certain amount of trust in build but is not needed it provides complete traceability and audibility because there's a linked history of data that combined with immutability of data means right from the origin you have complete traceability and audibility auditability which brings in certain challenges i talk about those and it was primarily built as a solution to double spending would like to pause here for for few seconds and see if anybody any participant has any comments mike sir is this space okay so perfectly fine sir uh i think on the chat window there's a question my answer would would it be possible for you to read it yes sir could you please show us some light on video slash image related use case which may not be a good candidate of storing in database okay okay i i'll that kind of provides me a segue to the next slide let me just talk about it at that point in time so like all i t systems blockchain has its own limitations most of the people that you most of the so-called experts that you talk to would probably uh go all out to place blockchain and blockchain based systems and like any beauty pageant uh miss world or miss universe pageants they would claim that it can solve all all the world's problems including world hunger however the technology does have its underside and its limitations and i want to spend a few minutes on that it's a very complex technology it's a sophisticated technology it has new vocabulary you need understanding of cryptography you need different set of development skills to tackle blockchain it is not it is a fundamentally new technology not like ar vr or machine learning deep learning ai autonomous vehicles which are linear progressions of the technology paradigms that most people are familiar with it's a new technology altogether because network is closely enmeshed with programming with data with cryptography the throughput the transaction per second capability of of blockchains by design is very very low a visa net system that i personally worked on um handles about 2000 to 10 000 transactions per second worldwide all the visa traffic all the master card traffic all the discover traffic all goes through visa net similarly other payment networks they have similar kind of capabilities blockchain most public blockchains can handle seven to ten transactions per second ethereum with its latest ethereum 2.0 is moving towards um higher throughput but i don't expect that throughput to be more than let's say 100 to 200 transactions per second nx best 8. private blockchains are are like private networks vpn networks and hence they have the capability to handle much much more throughput a hyperledger based network can handle few hundreds multi-chain claims um that that it can handle to 2000 transactions per second but those have limited applicability and have not been battle tested the confirmation time uh is long so bitcoin which is the biggest industry industrial grade blockchain and has withstood 11 years so far in the most ideal state you need to wait for 60 minutes or one hour to say that your payment transaction has gone through which is sub second in case of of visa network um ethereum does a much better job and and you you in the most ideal case you can say within 90 seconds a transaction is confirmed in practical scenario when the fees are low the the confirmation times can can be even long longer so blockchains cannot be used as oldps on online transaction processing systems the data storage on blockchain is very very low blockchain per se does not stay store much data there are technologies that have developed for example swarm database or interplanetary file system along with ethereum that can store data and you can you can kind of say that the data is similar to what the proof of which is on blockchain but blockchain by its very nature cannot store a lot of data so a blockchain or specifically a public blockchain is useless as a data storage mechanism cannot be should not be used for things like video or image storing video or images all that you can store on a public blockchain is the hash 256 bit hash of um of the data to make sure that to provide a confidence that the data has not changed since the time you stored it a private blockchain because it's private its enterprise you can practically do anything right but there also you have to have the data stored in a separate database for example hyperledger uses couch database just as an example right ethereum private space you can download ipa ipfs instance and you can use the data data bloating is is another big issue and hence the whole concept of lightweight nodes or spv nodes have come through bitcoin today consumes about point zero point um three percent of world's electricity that is good enough to light a complete nordic country of switzerland a finland and norway so the complete electricity consumption of norway is equivalent to what bitcoin today consumes ethereum is moving in a direction through speaking mechanism where this problem would be resolved but it has taken ethereum five and a half years after its initial commitment to come any closer to that goal immutability provides a lot of problem you cannot have much privacy or privacy is not inbuilt in blockchain most blockchains provide and a bolt-on privacy layer uh there are a lot of private blockchain spaces ecosystems stacks like hyperledger so hyperledger fabric for example provides you certification authority but that kind of removes the trustless nature and the distributed nature compromises the distributed nature of of blockchain itself it also you cannot comply with a lot of privacy regulations that exist today for example your forget right to forget is incompatible with blockchains blockchain is highly dependent on cryptography and now we we are seeing some developments in quantum quantum computing we are talking of sub second processing for calculations that were that were earlier possible in billions of years and hence all of that threatens blockchains blockchains are built on what is called public cryptography primitive or asymmetric cryptography or public private keys which is uh not amenable to um to quantum computing there are two algorithms uh shows and grows algorithms which if possible in quantum computing would break not only blockchain but most of the password mechanism the privacy mechanism the encryption mechanism that we have today the only thing that can survive is the symmetric uh uh cryptography so if the cryptographic primitives are um are hacked then the very basis of blockchains gets compromised the change in governance is is very difficult um change management is an extremely sophisticated concept in in blockchains and if you have to kind of understand the the lengths that some of the private blockchains or privacy focus blockchains go through the pains go through look at the example of what z cash goes through every time it changes its versions it's a worldwide ceremony inter blockchain communication still an emerging area and hence you have different blockchain stacks that exist in isolation it's still an evolving technology a lot is happening and hence by the time you master it there are new concepts that come in public blockchains of course have this 51 percent attack or concentration risk possible and we've seen that in ethereum classic for example went through a 51 percent attack a month back and blockchain's technology uh while it has joined at the hip with uh cryptocurrencies uh the two are different and uh the cryptocurrencies are the more glamorous more sexy kind of technology and blockchain has not got its due so far so those are the limitations um there was this question on storing video and image files has that question been answered mike sir are we okay should we go ahead ok now a question with so many limitations and so many advantages do we really need to go through uh go through blockchain so this is a this is a um framework for evaluating uh blockchain use cases that was initially developed by world economic forum demos and was adapted by nithyayog in its report earlier this year i am going to present that so you have a use case you want to know w ether blockchain can be applied to it or should should it be implemented on blockchain so first question to ask are there multiple parties involved in your use case if there are no if you have a single party if you trust the party the no multiple party interactions do not use blockchain if yes do you need to remove intermediaries from your workflow no there is no need to remove intermediaries your workflow is efficient don't use blockchain blockchain most probably is an overhead and overkill in that case yes are you working with digital identifiers digital assets instead of physical assets because remember blockchain has no physical after it's all digital so if you are using for example to uh to store information about all the mobiles in the world you can't directly do that on blockchain you have to identify each mobile phone thankfully there are numbers like imei numbers that can be used to identify each individual cell phone now if you are using blockchain to identify land parcels you have to give a unique identification to each land parcel and you have to have a digital identifier for that so if you are not working with digital identifiers can you couple digital and physical assets with a permanent and authenticated record of proof no there is possibility that you cannot assign a one-to-one permanent digital identifier with your physical asset you should not use blockchain if you already have a digital identifier you're working with the digital asset or you can identify it uniquely with a physical asset then you can proceed and if check if multiple parties need shared right access blockchain kind of allows you to write shared in a shared manner if you don't if multiple parties don't need shared write access blockchain is useless to you right you have all kinds of mechanism broadcast mechanisms that are available where only one party writes and other parties listen or other parties read or other parties view you don't need blockchain blockchain is a distributed database where their shared write access it's a peer-to-peer network yes do you require to store non-transactional data yes blockchains can't do this efficiently yet a master data a reference data a permanent data blockchains really don't provide you the efficiency though you can you can you can store them if you require to store transaction data do you require high performance high dps yes blockchains again can't officially do that as i said blockchains are not very good as oltps if no then do you need to need the ability to control the functionality yourself if yes you have a very strong case for a private blockchain a private instance of ethereum a multi-chain a hyperledger fabric ah neo uh all those new blockchains a private instance of bitcoin um all those you can use no do you want your transactions to be private if you want your transactions to be private your private blockchains provide good privacy overlay or privacy bolt-on and hence you you you would still should go for a private blockchain if privacy is not such a big concern you have a strong case for public blockchain so this is the way to evaluate whether your use case is suitable for a public blockchain a private blockchain or moving it implementing it on blockchain would give you any benefit or not now blockchain is a is a horizontal technology it is not associated with finance it's just like database is a horizontal technology programming is a horizontal technology network is a horizontal technology so is blockchain and hence blockchain can be used across industries can be used in finance insurance retail logistics education real estate manufacturing healthcare government and so on so before i move to uh the next slide my answer if you want to kind of unmute people and um see if there are any questions comments answer answers are done participants are allowed to unmute if they wish though there is a question on blockchain and big data champagne would you like to elaborate on the question jump except kindly unmute yourself no no you can unmute also so i see that like um data i think so let's understand what is big data right and so big data is nothing but a huge data huge amount of data to be processed number one number two the data in stream is practically continuous the data keeps coming in and number three the data needs to be analyzed in real time and hence some of some of the companies and developers have developed these algorithms map-reduce algorithms or they are called and they are codified in the collection of technologies such as hadoop spark etc where you need to analyze the data um and you you kind of divide the work and quickly analyze it and analyze it in real time right uh the problem is very trivial if you don't need to analyze into real time blockchain you can use to analyze you can use to analyze big data or huge quantities of data however it is very very difficult to do it in real time so big data or the technologies like hadoop and spark imposing blockchain on them or implementing map reduce kind of algorithms on blockchain do not give you any real benefit you need oltp systems to to analyze the data see blockchain is nothing but a database on a network with shared write access and that data is replicated across all nodes of the blockchain in a guaranteed manner and that data does not ever get deleted right now with that definition of blockchain or that understanding of blockchain you can understand that anything that needs to be done real fast in real time you need lot of parallel processing and blockchain is anti-thematic to parallel processing blockchain has a huge amount of redundancy built in to ensure that there is guarantee of a golden view across the network to all participants that there is complete visibility of data to all the participants there is replication of data and it takes time to replicate that data so blockchain is anti-to parallel processing it's unparalleled processing or duplicated processing now there are research there is research happening on sharding applying sharding techniques to blockchain um of course vitalik buterin and his theme in ethereum foundation is leading some of that or application of of of that however that's only a partial solution to the problem and i don't expect uh oltp kind of performance even after applying charting to blockchains a public blockchain would most probably be able to give you only hundreds of um or sub 100 sub 100 transactions per second in the best scenario unless you are ready to compromise with some other aspects of blockchain and sharding does so big data very bad idea to process it on blockchain hope that answers the question uh there is only one question which can be seen that is can we use a i in blockchain oh yes so blockchain is the ultimate ai what is artificial intelligence artificial intelligence is is i'll come to the machine learning part but artificial intelligence by definition is working of a computer system similar to human brain on its own decision making on its own by that definition blockchain is the ultimate in ai um it produces money on its own produces digital assets on it on its own nobody controls it right and money is the ultimate currency right there's nothing bigger than money in in the physical world of course god is bigger but keeping god aside right so by that definition blockchain can be considered a part of artificial intelligence however if you go to the conventional definition of blockchain it is applying machine learning techniques sorry if you go to the classical classical or conventional definition of ai it is applying machine learning algorithms to make decisioning better and better and hence create self-learning systems blockchain is not and cannot be a self-learning system it is extremely extremely difficult to apply blockchain to self-learning systems deep learning is virtually impossible machine learning while it is possible it is extremely slow and totally useless hope that answers both those questions can blockchain reduce the use of ai in international paid finance um that's an interesting one international trade finance there's hardly any ai it's a hardly it's it's a physical document based system so far for hundreds of years um and document is the proof of of delivery so i do not think there is much of ai in international trade finance and we will talk of international trade finance in a moment um but um yeah so in that sense i i don't think there's a lot of ai in in international trade finance and hence i'm not sure if um there was a one question before the smart grid question supply chain i would i would talk about supply chain related uh use cases shortly uh smart grid what do you what do we mean by smart grid what what do you want to say when you say when you talk of smart grid you you talk of electricity grids computing grades what kind of smart grids are you talking about energy distribution yes so energy distribution grids or microgrids or smart microgrids blockchain is huge on it there are so all this renewable energy um has created so people now are producers of electricity for example i have rooftop solar power plant and all my excess energy i would like to kind of pass it on to a grid and want credit for it and in a trustworthy manner blockchain is being utilized for this uh yes blockchain also is being utilized for regional grids integrated to national grids um whereby you kind of today a lot of energy product production and consumption patterns on these grids is what drives the frequency and switching on and off the power plants uh or bringing plants onto the grid and consuming units onto the grid and a lot of that can be automated and is being automated in smart grids and blockchain again is a big use case there so yes smart grids blockchain is highly applicable okay i hope that answers those questions except the supply chain one my answer with your with your approval i'd move to some other use cases no but please sir no need of any approval sir you are the master for this session please please please okay so we talked about this okay international trade finance let's look at what the current process is you have a buyer you have a seller there are national borders between the two and that's why international trade finance the seller does not want to sell without some kind of upfront guarantee or a payment because the buyer is in another country and hence you involve sellers bank and buyers bank and then there are customs uh and there's a simplified representation this shipping company buyer and seller make a purchase agreement buyer wants to give a guarantee to the seller and hence requests a letter of credit open um open trade finance is is very very less uh letters of credit letters of guarantee open lc closed lce factoring all those things is is very common in international trade and and uh direct payment hardly happens so buyer asks um the its bank to provide a guarantee to the seller's bank this called a lot of credit buyers bank issues are let off credit to the seller's bank the seller's bank advises the lc to the seller saying i guarantee that you would get the payment you basically send the product to customs for clearance custom clears it cleared products go to the shipping company shipping company creates a particular document and replicate called bill of lading or bol that basically is apart from lc is the master document and a proof that something has been shipped by the seller product gets shipped and goes to the other country the bill of lading or the trade documents the seller presents to the to its bank the bank goes ahead and makes the payment the seller sells these physical documents in a physical form courier form to the buyer's bank buyers gives it to the buyer buyer collect in the meanwhile has collected the shipment has the third copy of the lc matches it and pays to its bank [Music] the buyers bank through a nostrobuster arrangement pays it to the seller's bank the payment is complete this is the current process now let's look at with blockchain if we put blockchain we can basically have the trade documents or the lc instead of physical form completely on blockchain you do not need to send the physical bill of lading and the phys lc advice across while lc is still a digital document the bol is a physical document all of that on a common network on a blockchain network and a lot of countries have done that singapore and hong kong have created national networks for taking care of this and billions of dollars of lcs are going through this process you can also use smart contracts and automatically trigger payments in flow numbers 10 14 and 15 and in fact you don't need the payments in that order as soon as the bill of lading or the trade document is generated within a few minutes the seller can be paid and the buyer can can pay it out because buyer has a proof of payment or can part pay and smart contracts can play a big role in that so this is the process that can in a in a very simplified form be used on using blockchain blockchain provides a single view of data in real time across all parties and when we say real time with the lack of few minutes reduces time significantly if you look at it in this process it takes about three months if everything goes well for the lc documents and the trade documents to be exchanged across the four corners the buyer the seller the seller's bank and the buyers bank number one number two a lot of fraud is possible you can forge bills of lading you can forge lcs in case physical lcs are still being used you can duplicate bills of lading and can get duplicate lcs or duplicate payments from from different banks reduces paperwork protection against tempering of documents you can do further automation through smart contracts conflicts are easier to resolve now there are you you realize that blockchain is a social concept it's not you can't do it alone you can't have a blockchain for yourself right and hence a lot of industry consortia have emerged for example ibm and uh is is instrumental in creating we trade where some of the large banks like uni credit robo softgen cxcs which is um r3 on corda along with a technology company called tradeix where bangkok bank is there dnb is there bnp paribas there op financials from finland is there stand chart is there another one um that that hyperledger and ibm are created is batavia and then r3 and has created one with crypto blk primarily for far east and us uh and canada scotia bank is there bank of nova scotia ctbc bank is their ingp so i'd like to pause for a moment and see if you have any questions with respect to international trade finance the next next use case syndicated loan servicing these loans are huge loans the current process is there's a borrower which has a requirement for a multi-million multi-billion kind of a loan let's say it approaches a bank of america that bank of america lends 100 million dollars to the to the borrower let's say apple for at x percent interest and has all the records in its database now bank of america for its own reasons does not want to partake uh this complete hundred million um it is a strong bank it has um it has negotiated very good terms and it has potential to refinance this uh in insurance terms it's called refinancing in loans it's called selling the loan so and there's a collateral or security that apple provides now what what the bank bank of america does is it basically goes to u.s bank it goes to truest bank it goes to fifth third bank of national of uh northern kentucky and offers part of this loan at um interest rates that are kind of um favorable to it and because those banks cannot get loans those loans cannot sell those loans directly to apple and at those terms they they buy part of this loan this is called primary market these banks then can on sell part of these loans in secondary market to other banks when apple pays interest in principle the agent bank bank of america does manual calculations and splits repayments across the network and releases part of collateral or security and part of that proportional parts of that collateral or security is leaned to the participant banks according to their internal arrangements so this is the current process the pain points the agent bank bank of america keeps tracks of all the participants heir interest rates each of them are negotiated interest rates negotiated over phone and their respective shares agent bank calculates and then there are sub agents as you realize bank one and bank three in this scenario are sub agents they they have manual decisions on payments and the process is prone to errors um u.s bank for example would have um just to give you a sense when apple wants a billion dollar loans it takes it from chase um it takes it from jpmor j.p morgan chase one it takes it from bank of america it takes it from mizuho bank right and all these banks on sell to different banks so us bank may actually be taking loan part loan from bank of america another part from mizzou bank uh another part from j.p morgan chase right and hence it's a very very complex calculation you have to keep our track of collateral and security all parties have to rely on the agent's database and they have different views of data at different times all these are paper based engagements all of them because they are multi-million and most of times going to billions are legal documents rules of engagement are difficult to maintain in fact with blockchain when the agent bank syndicates in the primary market with bank one bank two and bank three you create a private blockchain everybody has the same data you include the borrower also collateral's information is also in the blockchain loan repayment conditions are logged on the blockchain and are encoded in the smart contract agent bank can extend the network to the new participants that have come in through the secondary market and the smart contract gets updated hence there's an automation on payment on collaterals share distribution reduces manual interventions so this is a very good example a lot of this happens through uh packages nobody does it final uh through custom applications so lone fusion is is an example of a product from finestra that kind of does this work and has incorporated blockchain in its ways of working so you obviously you reduce the manual interventions authentication of documentation is there you can't repudiate the transactions they are stored in an immutable database you validate each transaction through consensus and the agent's agent banks power is significantly reduced because you are on peer-to-peer network your transactions are temper proof you have traceability of transactions from their genesis and reduced paperwork so those were two use cases from um from finance uh would want to take a little pause and see if there are any questions on the syndicated loans examples of other finance related use cases you have cross-border payments that's another big use case and ripple uh blockchain network is being used in a in in a very big manner on cross-border payments all the vostro nostro networks are getting reduced and ripple has become a multi-billion dollar organization based on this lending platforms investments record keeping stock exchanges where there are multiple parties ipos keeping credit scores investment management reduction of frauds because you have the complete traceability kyc today not only each bank does its own kyc processing if you approach a bank at slightly different times for different businesses for example opening a savings bank account opening a business account taking a loan you would need to do kyc again and again and blockchain there can be central kyc providers that can that can basically provide the kyc intervention transactions is another big area for finance so those were some of the examples moving on to couple of use cases in insurance there is a new and emerging field in insurance that i took today for explaining um insurance use cases there's something called parametric insurance it basically parametric insurance is not a payment that is not based on actual loss or pure loss it's based on occurrence of a triggering event or a parameter so for example if you say that rainfall is a key determinant of success of wheat crop and if your rainfall in any month goes above 200 mm in that particular area your crop is likely to get destroyed or is sure to be destroyed we are talking of a scenario like this or let's say there is a earthquake on ritter scale anything less than more than 7.5 would destroy this this and this ascent you can you can basically apply parametric insurance there it can apply to crop insurance home insurance flight delay etc now let's look at parametric insurance for crop the current process and i'm talking of um of developed world uh most other economies uh and not like pradhan mantri fazal bhima yojna which are very new and not not very effective today but are on on their way so there's a farmer there's an insurance and there are independent agents farmer talks to the insurance agent decides on the policy the agent files the insurance with the insurer along with all the paperwork farmer pays premium to the insurance agents pay to the insurance company calamity happens farmer provides proof to the agent agent forwards the proof to the insurer insurer pays to the farmer through the agent that's the process today now my answer quick question has have the participants taught about oracles no sir okay i'll then talk about articles as well okay so um how does it happen on on blockchain okay before that i'll talk about oracle and oracle uh a blockchain typically is a self-sufficient system uh it's a closed system it does not interact um very well it's an insular system does not interact very well with outside world except for transactions as an input that goes into the blockchain and any output that basically through an api can be extracted and shown or analyzed so there is an input output mechanism oracle is a concept that is developed to make sure that external inputs of reference nature can be provided to blockchain so as an example let's say i want to automate nifty futures right uh in in uh in nse stock exchange um i i buy a nifty future and i say if nifty goes to fifteen 000 within this time frame then i would get this much money otherwise i'd lose so much money in this scheme of things you would need to refer to the nifty value which is a sensitive index of nsc of the top 50 stocks and is published every 15 seconds by nseit of india right so oracle technology is built specifically to take inputs like this in blockchain a oracle is an external application which provides reference data to blockchain on demand okay so oracle could be a weather channel for example accuweather.com could be a good good oracle that provides you weather for japan city you can check every one r just as an example right um there are oracles that that have been developed so parametric insurance works on oracles you basically insurers put their insurance schemes on blockchain they publish it on blockchain there are smart contracts the oracle provides regular updates to the smart contract on blockchain there is a pulling mechanism or push mechanism that is built in through various technologies farmer chooses an insurance policy farmer pays premium through through the smart contract to the insurer natural calamity happens oracle has been monitoring natural calamities it basically provides provides that input to the smart contract the smart contract has already a funding mechanism or a direct mechanism with the insurance company or insurance companies bank and an automated payment is triggered when the threshold is achieved this is how parametric insurance crop insurance can be automated and is being automated through blockchain the advantages are obvious reduced middlemen reduced paperwork great amount of automation for example germany based ether s company ethereum based crop insurance solution it has developed for automatically making payments in case of droughts or flights any any questions comments on crop insurance perfectly fine sir please proceed another example of a parametric insurance flight delay insurance i i took this example because without blockchain while crop insurance is a big area flight insurance flight delay insurance is not a big area and is practically a micro payment you um it has developed of late and can be enhanced and implemented through blockchain so uh i would describe directly the process on blockchain similar to whatever is there uh insurer puts the flight delay insurance through blockchain there is an oracle that kind of is a public database for flight schedules and regular updates consumer chooses a flight delay insurance at the time of ticket booking and pays a one-time premium flight is delayed the oracle notes it down the smart contract is already funded and automatic payment is triggered when threshold is achieved these are not large payments but they are large in number right and hence the the the processing is is costly assume indigo if it had has to field let's say during winter every flight in delhi uh delhi due to fog is delayed for more than five hours indigo having its hub in delhi probably has to take more than a lakh calls for the claims on that particular day all of that can be automated through this scheme it's a transparent insurance no necessity of presenting proofs calling getting updates automation when threshold is achieved when flight is delayed beyond five hours for example claims is directly deposited axa aksa um had provided this uh called fizzy automated claims were getting settled for lufthansa uh by more than two hours for flight delays more than two hours for some reason lufthansa has not continued with it and withdrew it in early part of this year there can be multiple blocked use cases for prevention pnc insurance health insurance micro insurance reinsurance life insurance on-demand insurance peer-to-peer kyc again can be done here underwriting automatically can be done in insurance again i want to take kind of a pause here and see if there are any questions in those detailed examples any questions comments sir so there is a query which says is there any academics management so mit for one one of its batches uh awarded degrees directly on blockchain awarding degrees and credentials and storing marks on blockchain is a very big use case and is implemented in a lot of places across government of india is currently debating whether to implement such a use case across india or they want to continue to use digi locker um which does not have much automation but great storage and privacy capabilities for this purpose i had personally met the chairman of aicte to put this proposal there yes so there are a number of use cases in education again because blockchain is a horizontal technology it can be used everywhere and the only limitation of applying blockchain in any space whatsoever is one is you understand those limitations and the properties of blockchain and second is your imagination so listed here are some of the common use cases you you of course can store education certificates degrees uh automate them uh bring in certain amount of intelligence within them you can provide decentralized educational products uh the tutoring space uh the by jews and the courseras of the world there is good space there you can provide infrastructure security and school admin you can basically provide some kind of cloud storage though this is uh along with some other databases that i talked about you can store student identity student funding can happen through smart contracts learning marketplace records management metadata for libraries publishing industry again a big use case any kind of public assistance and welfare payments and there are large such examples in countries like the us can can go through blockchain cryptocurrency payments is an obvious one uh learning badges can be maintained on blockchain financing ensuring micro credentials can be can be automated using blockchain so those are some of the some of the examples of blockchain in education sector does that help you understand does does that help with the question have i answered the question the big subject and can can basically blockchain can come in really really handy because auditability is there public viewing is possible and customer identity in retail uh use cases uh the big players or the wannabe players can can use it for customer identity taxation can be easily automated it's a complex area and that can be easily automated using blockchains fraud and counterfeit goods can be can be on blockchain an example nestle has come out with a coffee called um it's called proof of origin if i'm not wrong proof of origin coffee it's a very costly coffee what nestle does is it publishes on the coffee [Music] powder or the coffee beans packet you have a qr code and nestle encourages you to scan that qr code on your smartphone and using that qr code you would be able to view on map on timeline images and videos of that coffee how that coffee was grown organically in certain region of brazil um how those planks became bigger how the coffee was plugged coffee beans were plugged they were processed they were roasted they were ground and which all borders and nestle plants and warehouses they pass through which distributor nestle handed it to and um um so that is batch number along with the batch number you can see all of that on your phone and all of that has been implemented using blockchain okay customer consumer demand contracts product contracts micro payments loyalty programs is another big example of blockchain uh digital marketing authentication so there's a lot of fraud that happens in blockchain space and in marketing space sorry and um advertising space and edtech is a is a big consumer there are a few friends of mine who in new york have a company that kind of eliminates frauds in digital marketing and ads using blockchain so these are examples where where blockchain can be used in detailed space i understand there was a question on earlier on retail space retail and logistics and how blockchain can be used in best this kind of is my answer to that question wanted to ask if that question has been answered okay sir i am assuming sivan aaron sir had that this company called votes that um so vote uh and we've seen this in the this year's u.s presidential election the ballot votes make a huge difference and it takes time to count them because it takes time to have them transport and you have to follow all the timelines there's a company called votes that's doing some pioneering work and has implemented this in three different states in the u.s it is also being implemented in the public election general elections in russia where the remote voting of military personnel who are stationed outside of their home state is being done using using that particular application and blockchain provides the necessary infrastructure along with the mobile phones fertilizer subsidy india has experimented with fertilizer subsidy and nithya report has a great example there government records government records in dubai for example are uae and dubai are getting completely on blockchain and the government of block government of dubai hopes to implement blockchain based government record systems for about 2 billion and their saving estimates are are about 20 billion dollars when i gupta a well-known expert in in this space of blockchain has laid down the roadmap corruption obviously can be reduced taxation transparent budgeting all kinds of identity management and attestation can can happen through blockchain secured data entry welfare distribution is happening through blockchain digitized ids uno and unesco have been working in this space along with world economic forum government healthcare services are being digitized and put on blockchain governments of telangana karnataka um government of andhra government of rajasthan have done some pioneering work in it cyber protection is a is a big area social security and safety is another big area enforcement of legal contracts national digital currencies i talked about and so on so forth similarly health care has also a lot of such areas real estate my phd subject there's quite a bit of blockchain in there it's a it's a big expander and hence big ticket item on blockchain so i had a company called skr technology and we run up very popular websites called blockbusiness.com and blockbusiness.thinkific.com where we have unique training models o r founders are experienced in infosys with provices bank they come from pedigree schools we provide training courses on blockchain for leaders and entrepreneurs certified blockchain professional cryptocurrency individual blockchain stacks we specialize in bitcoin in ethereum in hyperledger fabric in multi-chain in zcash and in ripple we help you learn certified smart contract development certified uh cryptocurrency development uh we we help you through and there is a very popular internship for engineering students as well this is how you can contact us perfectly managed session uh if there the platform is open for queries then present the thanks and we will have a group photograph also