Introduction

1. Introduction#

Blockchain - the all-purpose weapon, just a buzzword or hacker's paradise?

1.1. Agenda#

  • Overview of blockchain technology

  • Security aspects & technical fundamentals

  • Blockchain attack vectors

  • Hands-on exercises

1.2. Overview#

INFO
Initial concept originally introduced in 2008 by (anonymous) Satoshi Nakamoto to provide a solution to double-spending problem

  • Definition:

  • Key Characteristics:

    • Immutable: Once recorded, data cannot be altered

    • Transparent: Transactions are visible to all participants

    • Decentralized: No central authority

    • Secure: Uses cryptographic techniques for security

    • Consensus: Agreement among participants on the validity of transactions

1.3. Development of Blockchain#

THE Blockchain does not exist - there are different types and generations of blockchains

  • Blockchain 1.0: Cryptocurrency [Vokerla et al., 2019]

    • permissionless, public blockchains

    • main use case: digital currency

  • Blockchain 2.0: Smart Contracts

    • lack of scalability and privacy in Blockchain 1.0 led to the development of Blockchain 2.0

    • introduction of smart contracts

      • simple “if/when…then…” statements that are written into code on a blockchain which are executed when all conditions are met

    • main use case: trade finance, supply chain management, digital ownership

  • Blockchain 3.0: Decentralized Applications (DApps)

    • extension of Blockchain 2.0 allowing for decentralized applications

      • blockchain-based applications that run on a peer-to-peer network

  • Onwards:

    • Blockchain in industry and governments (IoT, healthcare, finance, etc.) [Lockl et al., 2020]

    • Interoperability between blockchains

    • Scalability solutions (sharding, side chains, etc.)

    • Privacy improvements (zk-SNARKs, etc.) [Nitulescu, 2020]

1.4. Relevance and Use Cases#

  • Financial Services:

    • Cross-border payments

    • Decentralized finance (DeFi)

  • Supply Chain Management: [Guggenberger et al., 2020]

    • Transparency and traceability

    • Counterfeit prevention

  • Healthcare:

    • Patient data management

    • Drug traceability

  • Other applications:

    • Voting systems

    • Digital identity

    • Intellectual property rights

    • Real estate

    • Energy trading [Mengelkamp et al., 2018]

Contents