How to Use Blockchain?

Blockchain is the digital, distributed, and decentralized ledger underlying most virtual currencies that's responsible for logging all transactions without the need for a financial intermediary, such as a bank. In other words, it's a new means of transmitting funds and/or logging information.

Why the sudden need for blockchain? Blockchain is the vision of developers who believed that the current banking system had flaws. In particular, they viewed banks acting as third-parties and pilfering transactions fees as unnecessary, and they scoffed at the idea that payment validation and settlement could take up to five business days in cross-border transactions. With blockchain, real-time transactions are a possibility (even across borders), while banks are left out of the equation entirely, presumably reducing transaction fees.

There are other uses for blockchain, too, beyond the currency setting as, for example:

1. Payment processing and money transfers

Arguably the most logical use for blockchain is as a means to expedite the transfer of funds from one party to another. As noted, with banks removed from the equation, and validation of transactions ongoing 24 hours a day, seven days a week, most transactions processed over a blockchain can be settled within a matter of seconds.

2. Monitoring supply chains

Blockchain also comes in particularly handy when it comes to monitoring supply chains. By removing paper-based trails, businesses should be able to pinpoint inefficiencies within their supply chains quickly, as well as locate items in real time. Further, blockchain would allow businesses, and possibly even consumers, to view how products performed from a quality-control perspective as they traveled from their place of origin to the retailer.

4. Digital IDs

More than 1 billion people worldwide face identity challenges. Microsoft is looking to change that. It's creating digital IDs within its Authenticator app -- currently used by millions of people -- which would give users a way to control their digital identities. This would allow folks in impoverished regions to get access to financial services, or start their own business, as an example. Of course, Microsoft's attempts to create a decentralized digital ID are still in the early stages. 

5. Digital voting

Worried about voter fraud? Well, worry no more with blockchain technology. Blockchain offers the ability to vote digitally, but it's transparent enough that any regulators would be able to see if something were changed on the network. It combines the ease of digital voting with the immutability (i.e., unchanging nature) of blockchain to make your vote truly count.

6. Medical recordkeeping

The good news is the medical sector has already been moving away from paper for recordkeeping purposes for years. However, blockchain offers even more safety and convenience. In addition to storing patient records, the patient, who possesses the key to access these digital records, would be in control of who gains access to that data. It would be a means of strengthening the HIPAA and other laws that are designed to protect patient privacy. 

7. Managing Internet of Things networks

Networking giant Cisco Systems may be behind a blockchain-based application that would monitor Internet of Things (IoT) networks. The IoT describes wirelessly connected devices that can send and receive data. Such an application could determine the trustworthiness of devices on a network -- and continuously do so for devices entering and leaving the network, such as smart cars or smartphones. 

(An excerpt from longer text about various uses of blockchain found on 

https://www.fool.com/investing/2018/04/11/20-real-world-uses-for-blockchain-technology.aspx)

Picture by courtesy of FinMag https://finmag.ir/

FinTech News Interview on Iranian Cryptocurrency Scene

FinTech News has had pleasant talk with Mr Ehsan Darbanian, head of FinMag's R&D department, about current Iranian cryptocurrency scene. FinMag (an acronym of Financial Magazine) is an Iranian FinTech company and media creator, organizing FinTech events, such as Blockchain Cafe we wrote about earlier  here, and publishing numerous educational and informative contents on FinTech, Blockchain and economy topics on their website https://finmag.ir (regretfully, articles are published only in Persian language so far).

Mr Ehsan Darbanian, head of FinMag's R&D department

FTN Q1:

What can you tell us about current Iranian regulation on cryptocurrency?

ED A1:

The Draft version of cryptocurrency and blockchain regulations of Iran was published on 28 January 2019 (more about Draft in our previous post - here). This version was designed by Iranian Central bank's Vice Presidency of IT and new technologies, which covers FinTech innovations policies. CBI also provided an e-mail for FinTech community to send their comments. In this Draft version there are several policies for exchanges, wallets, token issues and ICOs.

I think this new regulation Draft will be a good start. It has its own weaknesses but I think having a weak regulation is better than no regulation. CBI's e-mail for sending suggestions is a good initiative to include opinions of whole FinTech community in Iran. In an overall view, I can say that this new method in regulation is a great leap forward. Some parts of Draft will probably have to be changed because they strictly limit Blockchain and cryptocurrency usage opportunities.

FTN Q2:

How does Draft regulate payments with cryptocurrencies?

ED A2:

About payments, I think that we need a long discussion. Back to years 2008 - 2009, we have had serious problems in payments. But FinTech has had great improvements since then. So, I think that payment problems are not as hard nowadays as in the time when cryptocurrencies and bitcoin were invented. In countries that have a good level of FinTech, payments will not be the main use cases of cryptocurrencies but we need to take into the consideration that no government has the right to limit legal businesses. So, I think that payments with cryptocurrencies must be legalized, but, if a country has a good level in FinTech, it will be hard to have a working business in payments with cryptocurrencies. For example if you look at Europe, with TARGET 2 solution, people don't have a problem in payments. In less developed countries, crypto payments would be a revolution.

Iran has a mid level of development in FinTech. Current legal situation on payments (that was expressed in Draft version on regulations of cryptocurrencies) with cryptocurrencies is not good. In this Draft version payments are strictly limited to cryptocurrencies which are under control of CBI. Several Blockchain developers want to develop their own tokens for inter-app payments which will be illegal by current standpoint of CBI.

Regarding Iranian remittance and tourism, I think that we do not have a better tool for payments than cryptocurrencies right now.

How Draft allows payments with cryptocurrencies

FTN Q3:

What is, by your opinion, current general sentiment in Iran regarding cryptocurrencies and Draft?

ED A3:

There are mixed views in Iran about Draft. As you can see in our video, everyone was waiting for the regulations for a long time and having a certain regulation is necessary for businesses, but every business have its own view on Draft after its issuing. In CBI's view, cryptocurrencies could be a threat to their policies in monetary problems and can possibly end in certain levels of crime and also inflation. About payments, new Draft would be a problem for developing businesses.

In token issuing we have seen a mixed view too. Iran's OTCs, for example, have problems about metal pegged cryptos. ICO's are in a "gray area" about their legal status. But, in overall, I think it's a good starting point if CBI and other regulators could be open for suggestions.

At the end, I have to say that this Draft has a lot of missed points, for example about loans, KYC and AML solutions (CBI said they are necessary, but did not offer a good solution) maximum amount of money transfer and similar flaws. Anyway, I am optimistic about further development of FinTech environment in Iran, whoever will take a lead in its improvement.

FinMag's video clip dedicated to new cryptocurrency regulations in Iran

Pictures and video clip by courtesy of FinMag (https://finmag.ir) 

New Cryptocurrency Regulations in Iran

In a development that could give breathing space to the Iranian economy and the falling value of the country’s currency, Rial, the Central Bank has issued draft rules and guidelines with respect to the cryptocurrency market, in effect recognizing Bitcoin and other cryptocurrencies. This reverses the Bank’s own ruling in April 2018 when it banned any cryptocurrency dealings, including Bitcoin anywhere in Iran.

The new rules come in light of Iran’s own efforts to launch a native cryptocurrency, the ‘Crypto-Rial.’ It is part of a sustained effort on the part of Iran to reverse the adverse effects of the American sanctions on its economy. US sanctions, imposed by the Trump administration in response to Iran’s nuclear programme have tanked the Iranian economy by closing the country to the global financial transaction network.

The draft dubbed ‘Version 0.0’ not only recognizes Bitcoin among other cryptocurrencies but also the initial coin offerings, tokens, cryptocurrency wallets as well as cryptocurrency exchanges and bureaus. However, the use of Bitcoins or any other cryptocurrency as a form of payment in the country remains prohibited by the Central Bank. Any payments still have to be made using the Rial.

Furthermore, it also restricts Iranians from holding huge amounts of cryptocurrencies in their wallets, a move very similar to the €10,000 cap Iran had imposed on its citizens from holding in their bank accounts.

This development has also lent more urgency to the State’s own development of a cryptocurrency, which Iran hopes will be ready for launch soon.

According to the acting head of Iran’s Trade Promotion Organization, Iran is presently negotiating to introduce cryptocurrency to financial transactions with representatives from eight countries including Russia, Switzerland and South Africa. Iran is also presumed by many to be a part of the Russia-led group that is developing an alternative to the SWIFT financial network.

The new rules come as a relief for the many Bitcoin investors in the Persian country, whose daily transactions are valued at $10 million, according to the Iran Association of Blockchain.

(text from: https://ambcrypto.com/bitcoin-btc-ban-lifted-as-irans-central-bank-issues-new-draft-rules-on-cryptocurrency/)

Cryptocurrency Laws and Regulations in China

Cryptocurrency-related activities have received little tolerance from the Chinese government. Initial coin offerings (ICO) were banned in China in September 2017. Exchange platforms that traded cryptocurrencies or provided facilitation services were also  ordered to be closed following the crackdown on ICOs. Many exchanges chose to relocate to jurisdictions that are more favourable to cryptocurrencies than China. However, organizers and promoters of overseas ICOs and exchanges may not be free from the long arm of jurisdiction of Chinese criminal laws if those persons are Chinese citizens, or if Chinese investors have invested in overseas ICOs or traded cryptocurrencies on overseas exchanges.

Interestingly, it is not illegal to hold Bitcoins and other cryptocurrencies, or even to buy or sell them in China. The Chinese government also encourages the development and application of blockchain technology, but has made it clear that blockchain technology must service the real economy.

On 4 September 2017, seven government agencies of China, i.e. the People’s Bank of China (PBOC), the Central Cybersecurity and Information Technology Lead Group of the Communist Party of China, the Ministry of Industry and Information Technology, the State Administration for Industry and Commerce, China Banking Regulatory Commission, China Security Regulatory Commission and China Insurance Regulatory Commission, jointly issued the Notice regarding Prevention of Risks of Token Offering and Financing. The notice banned all ICOs in China and ordered that any organizations or individuals who had previously completed an ICO to make arrangements including the return of token assets to investors to protect investor rights.

To understand this harsh attitude, we have to look at the big picture of China’s economy and financial market. In the past 20-plus years, China has enjoyed rapid economic development which, many believe, came at the cost of high leverage in the financial system and accumulation of financial risks. In the past two years, control of financial risks and stabilization of the financial system has become the top priority of the PBOC. Before ICOs, internet platforms providing P2P loans and micro lending had been targeted by the PBOC and other financial regulators, and are still in the process of cleansing and rectification. It is no surprise that ICOs, due to the sheer increase both in numbers and the amount of funds raised, as well as some socially chaotic events caused by ICOs, received the death sentence from the PBOC.

In the Notice, an ICO was described as a process by which fundraisers distribute digital tokens to investors who make financial contributions in the form of cryptocurrencies such as Bitcoin and Eethereum. The notice further pointed out: “By nature, it is an unauthorized and illegal public financing activity, which involves financial crimes such as illegal distribution of financial tokens, illegal issuance of securities and illegal fundraising, financial fraud and pyramid scheme.”

Among the crimes mentioned in the notice, illegal fundraising, which generally means raising funds without government approval, is a crime that has been widely used in cracking down on undesirable financial activities, as the scope of the crime can be interpreted very broadly.

(excerpt from text on: https://www.vantageasia.com/cryptocurrency-law-china/)

Cryptocurrency Regulation In The European Union

Virtual currency regulation in the European Union is still in its early stages, and even though the FinTech Task Force is working on the harmonization of the existing national laws regulating virtual currencies, most individual member states have undertaken separate legislative strategies in accordance with their specific legal traditions and practices.

Back in October 2012, the European Central Bank was among the first reputable institutions in the world to weigh in and present its own response to the questions. In the report titled “Virtual Currency Schemes,” the ECB defines bitcoin as "a convertible, bidirectional and decentralized virtual currency, or a “type of unregulated, digital money, which is issued and usually controlled by its developers, and used and accepted among the members of a specific virtual community.”

In 2015, the ECB produced another, updated and revised Virtual Currency Schemes report, in which the Central Bank argues that virtual currencies do not fully meet the three golden criteria of “money” as defined in the economic literature: medium of exchange, store of value, and unit of account. Accordingly, the ECB proposed a new definition: “virtual currency is a digital representation of value, not issued by a central bank, credit institution or e-money institution, which, in some circumstances, can be used as an alternative to money” – purposefully omitting words such as “digital money” or “unregulated.”

On July 5, 2016, the European Commission (a politically independent body representing EU’s executive branch) proposed an amendment to the 4th AML Directive in which it affirmed that “gaps still exist in the oversight of the many financial means used by terrorists, from cash and trade in cultural artifacts to virtual currencies and anonymous pre-paid cards.”

According to the Commission, the biggest problem regarding virtual currencies is the fact that most virtual currency transactions cannot be linked to identified persons.

Following the proposal, on December 15, 2017, the European Council and the European Parliament finally agreed to the new set of rules, and the 5th AML Directive was born. The intention of this new-and-upgraded Directive was to bring virtual currency exchanges and custodian wallet providers under the umbrella of the existing European AML legislation.

This means that – as soon as the Directive is incorporated into the national legislation of EU member states – virtual currency exchanges and custodians will have to register with the relevant AML authority in their jurisdiction, identify users, monitor transactions, report suspicious activity, and give national investigators greater access to information.

Furthermore, the 5th AML Directive contains the first legally binding definition of virtual currencies and is, simultaneously, the most significant regulatory action towards the regulation of virtual currencies on the supranational level in the EU.

(excerpt from text on https://cryptobriefing.com/cryptocurrency-regulation-european-union/)

Permissioned Blockchain in Healthcare

Imagine a network on healthcare institutes where they don’t own a patient’s personal data. The data all belong in the blockchain. The patients are identified via their hash ID which will be their unique identifier. The hashing allows the ID to be unique and secure, protecting also the privacy of the user.

The blockchain can also aid in the creation of a patient information sharing marketplace. This way, it will be possible to actually incentivize information sharing between the different institutes to prevent any kind of info blocking.

However, what if we still have some malicious actors who attempt to do information blocking or tampering?

In that case two of the blockchain’s most significant features will step up and handle this situation:

Firstly, the blockchain is a transparent medium. Anyone, who is part of the network, can look into the blockchain and look at how each transaction takes place and whether all the relevant information is getting passed through or not.

Secondly, we have anti-tampering.

If anyone tries to block the data then via the snowball effect, it will change the hash drastically. Now, remember, that the blocks in the blockchain are linked to one another via a hash pointer. Each block in the blockchain stores the hash of the data that is stored in the previous block. If the data inside any one of the blocks change, it sets up a chain reaction which could freeze up the whole blockchain. Since this is a theoretical impossibility, it is impossible to tamper with any data that is inside the blockchain.

(original text can be found on: https://blockgeeks.com/guides/blockchain-in-healthcare/)

Picture by courtesy of FinMag https://finmag.ir/

Can Blockchain Help Freelancers?

Some freelancers worry that careers in freelancing offer less protection than traditional jobs at established companies. If the work dries up, freelancers can have a difficult time reestablishing income. Moreover, financial burdens like expensive independent insurance can sidetrack an independent worker’s growth potential.

However, many of the most pressing issues for freelancers aren’t limitations related to income projections or cost burdens. Freelancers are uniquely adept at deriving a profit from their skills and resources.

Instead, the most restrictive obstacles are mainly technical. Obstacles such as achieving contractual trust in a digital environment, acquiring technological resources, and the lack of compelling markets are hindering freelancers’ success.

These technical problems are mainly relating to difficulties in transactions, which means that blockchain is uniquely positioned to provide tangible solutions for freelancers. It’s already demonstrated its prowess in managing the millions of cryptocurrency transactions that take place every day, and it can create trust and certainty in an otherwise uncertain environment.

Many freelancers find clients online, which means that they don’t have any direct, personal relationship with one another. Without that degree of trust, freelancers fret about payment viability and job posters worry about the quality of the final product. Blockchain’s smart contracts are a natural way to remedy that shortcoming.

With a smart contract, freelancers can set predetermined benchmarks for a project, and those checkpoints can be assigned a payment. In this way, freelancers don’t have worry about being compensated for work performed, and job posters have a level of quality control over the final product. Smart contracts are a working agreement between the two parties that eliminates the prerequisite of trust and allows everyone to operate with confidence.

(an excerpt from text on https://hackernoon.com/blockchain-is-helping-to-restructure-the-freelance-economy-cdae29f91ba0)

Picture by courtesy of FinMag https://finmag.ir/

Open Finance Global Infrastructure

Open Finance - financial services infrastructure, based on open source Blockchain, can make FinTech largest digital transformation of the world. This system can turn into a new field for financial services by converting analogue liquidity (traditional currency existing in bank accounts) into digital liquidity (digital currency in digital wallets ). 

As a result, there are new financial incentives that can help flourish innovations that could not have been made possible before. For a long time, technology has changed the economy. The dream of the community has always been to use technology to digitize financial services, increase competition, reduce risk concentration, and improve customer experience. Many are looking to achieve this goal in offering their products for sale in areas such as  FinTech, TechFin, Open Banking and Permissioned Blockchains.

In traditional financial systems, banks have a particular role in the mechanisms of money transfer (liquidity) in the economy.

In a world where money transfers are not controlled by a network of banks, value can be moved in new ways that are not limited by physical boundaries. With the Open Finance infrastructure, we can build a system that collects money and cash flows in different ways. 

In order to better understand the future of digital financial services, we can take a look into one of the most interesting examples today. It is the decentralized ecosystem (#DeFi) that is being built on Ethereum Blockchain.

The decentralized financial services apps built on Ethereum use Blockchain as the distributed, open source ledger. The ledger entries (such as who is owner or what is the date of transaction) are similar to those of Bitcoin, retaining proof of work (PoW) through consensus mechanisms.

We will write more about Ethereum "Open Finance" concept more in future posts.

Text and pictures by courtesy of FinMag (translated from Persian) https://finmag.ir/

IBM Blockchain for Trade Finance

Massive volumes of antiquated processes clog today’s trade and trade finance systems. This exposes institutions involved in trade to operational risk and high costs – and prevents many enterprises from accessing the credit they need to grow.

A better trade experience is here for buyers and sellers of all sizes. With everything from matching engines of bank-verified participants to automatic, event-based payments, IBM Blockchain for Trade Finance solutions make it easier for enterprises everywhere to find, trust and transact with each other.

The IBM Blockchain Platform makes it all possible. Its distributed ledger technology, smart contracts, security, built-in governance and control capabilities give institutions real-time access to trade finance data and information. This helps to mitigate risk, eliminate wait times, and increase transparency well beyond other digitization initiatives.

Removing longstanding friction can lead to new levels of trust and transparency – not just in trade finance, but across any trade network facilitating the movement of goods, documents and funds.

Networks built with IBM Blockchain for Trade Finance are designed to expand beyond regional or geographic boundaries, interconnecting with other trade finance networks to establish trusted trading corridors – and eventually – true trading hubs.

Soon, these networks will interconnect with blockchain-based industry networks that manage food safety and provenance data, documentary supply chain activities and others.

(excerpt from IBM promotional text on https://www.ibm.com/blockchain/solutions/trade-finance)

Picture by courtesy of FinMag https://finmag.ir/

Bitcoin Regulation in USA

The US does not yet (in 2018) have a uniform approach to the regulation of Bitcoin at a Federal or State level. The Federal Reserve does not have a policy towards the regulation of Bitcoin, although it has said that it may be a matter that they will have to consider at some point in the future, The Financial Crimes Enforcement Network (FinCEN), an agency within the US Treasury Department, published guidelines about cryptocurrencies as early as 2013, which suggested that although using cryptocurrency for purchasing legal goods and services was not illegal, the mining or trading of bitcoin as well as the operation of exchanges on which Bitcoins are traded would fall under the label of “money transmitters “ and would be subject to the same Anti-Money Laundering (AML) and Know Your Client (KYC) measures as other money service businesses. FinCEN has also been involved in an action again the Russian-domiciled BTC-e exchange for a breach of US AML laws, which was the first action taken against a non-US based exchange.

The US Securities and Exchange Commission (SEC) have yet to issue any regulations on Bitcoin or cryptocurrencies. However, they have issued a number of warnings about the volatility and risk of fraud in the sector, including a warning from the chairman of the SEC in November 2017 relating to the risks surrounding ICO’s. The US Commodity Futures Trading Commission (CFTC) has designated Bitcoin to be a commodity, and although the CFTC does not regulate Bitcoin directly, it does have authority in respect of commodity futures that are directly connected to Bitcoin. For example, the CFTC recently accepted a proposal by the Chicago Mercantile Exchange to allow Bitcoin and other cryptocurrency to be cleared in the same manner as other products, which could have a major effect on the value of Bitcoin.

At a State level there have been various approaches taken by individual States, particularly in relation to the regulation of exchanges or other money transmitters. Some States, such as New York, have made attempts to make specific licensing regimes that are applicable to cryptocurrency exchanges whereas other states, such as Texas, continue to apply existing financial laws and regulations to the use of cryptocurrencies. However, the effect of this licence in New York was considered by some to be a stifling of the fintech industry’s use of cryptocurrency in that State. In fact, the New York Bitlicence is currently being challenged by the Bitcoin Foundation, who are increasingly active in lobbying against large scale regulation of the industry. The Bitcoin Foundation has stated its opinion that the US government is increasing federal and state regulation of Bitcoin in the US with a view to “control and stifle the adoption and use of so-called ‘virtual currencies’ such as Bitcoin.”

(excerpt from text on https://blockonomi.com/bitcoin-regulation/)

Regulation of Bitcoin

Bitcoin was founded on the principles of decentralization, meaning that the cryptocurrency was not regulated by the central authority in the way that a traditional (or fiat) currency would be. As Bitcoin, and the blockchain technology behind it, remains quite new and in the early stages of its evolution, authorities are still trying to get to grips with what exactly the technology is before attempting to come up with a plan about how to deal with it, especially in relation to taxation and money laundering issues.

Currently, there is no uniform international approach to Bitcoin and its legality will depend on where in the world you reside. However, as authorities gain more experience and knowledge about Bitcoin, and the cryptocurrency industry in general, it is likely that at least a certain minimum levels of regulation will come into place in the vast majority of countries. In addition, the huge gains being made by the cryptocurrency this year (2018) has meant that authorities are feeling that urgency about regulating the sector, with over 30 global regulators having announced various approaches to cryptocurrency regulation in recent months (as from July 2018).

Other issues arising include the fact that as Bitcoin has risen in value, its usefulness when it comes to making transactions has fallen and it is being used more and more to store value, leading to the possibility of a bubble. It is suggested that the vast majority of Bitcoin transactions over the last 12-24 months have been for speculation purposes, with the volatility of the asset and the demands (and resulting expense) that the sudden surge of interest has placed on the currency making it increasingly unsuitable for everyday transactions.

Although a small number of countries have restricted or banned Bitcoin, most countries allow Bitcoin to be used, while a patchwork of regulations having been put in place in different. The decentralized nature of Bitcoin makes it very difficult to enforce restrictions on Bitcoin, even in those countries that have banned it.

(excerpt from text on https://blockonomi.com/bitcoin-regulation/)

What is Digital Banking?

At its core, digital banking essentially entails the leveraging of technology to deliver banking products. Some believe that digital banking essentially means an online or mobile banking platform but true digital has to go far beyond that.

Going digital implies embracing the latest technologies at all functional levels and on all service delivery platforms. A digital bank would behave similarly at the branch, at the head office, on an online service delivery platform, at the ATMs and at the point of sale machines.

The issue with thinking of digital banking as existing only on a mobile or online platform is that it ignores the use of digital at the other functional areas of the bank. The online or mobile platform is only the front end of the banking service delivery platform. There are hundreds of banking functions like risk management, treasury, product development, marketing, relationship based sales teams and so on at the middle and back end. All of these functions also have to digitize in order for the bank to be truly considered a digital bank.

(excerpt from text on http://www.ventureskies.com/blog/digital-banking)

Picture by courtesy of FinMag https://finmag.ir/

What is Blockchain?

A blockchain, originally block chain, is a growing list of records, called blocks, which are linked using cryptography. Each block contains a cryptographic hash of the previous block, a timestamp, and transaction data (generally represented as a merkle tree root hash).

By design, a blockchain is resistant to modification of the data. It is "an open, distributed ledger that can record transactions between two parties efficiently and in a verifiable and permanent way". For use as a distributed ledger, a blockchain is typically managed by a peer-to-peer network collectively adhering to a protocol for inter-node communication and validating new blocks. Once recorded, the data in any given block cannot be altered retroactively without alteration of all subsequent blocks, which requires consensus of the network majority. Although blockchain records are not unalterable, blockchains may be considered secure by design and exemplify a distributed computing system with high Byzantine fault tolerance. Decentralized consensus has therefore been claimed with a blockchain.

Blockchain was invented by a person using the name Satoshi Nakamoto in 2008 to serve as the public transaction ledger of the cryptocurrency bitcoin.The identity of Satoshi Nakamoto is unknown. The invention of the blockchain for bitcoin made it the first digital currency to solve the double-spending problem without the need of a trusted authority or central server. The bitcoin design has inspired other applications, and blockchains which are readable by the public and widely used by cryptocurrencies. Blockchain is considered a type of payment rail. Private blockchains have been proposed for business use. Sources such as Computerworld called the marketing of such blockchains without a proper security model "snake oil".

(excerpt from Wikipedia text: https://en.wikipedia.org/wiki/Blockchain)

Picture by courtesy of FinMag https://finmag.ir/