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How Can Organizations Ensure Data Security

data security

How Can Organizations Ensure Data Security

The cyber-security scene is advancing at a fast-paced rate and concurrently, advances in technologies are progressively becoming better at aiding cyber-criminals and hackers to take advantage of data security loopholes. The continuously growing scale of breaches and cyber-security attacks should be a major concern for all organizations. An example of such attacks is the WannaCry, a massive malware attack that affected over 150 countries, including the UK, Germany, India, and Japan. Considering all the sensitive data that organizations store online, including financial documents and customers’ private details, it’s evident that one breach could have a huge negative impact on their businesses. Here are a few measures organizations can take to ensure data security.

1. Protect the IT Infrastructure

Organizations need a secure and established IT framework to build a solid foundation for a healthy data security plan. As such, they should keep an eye on every component, including devices and systems. They should ensure all the computers and smart devices are adequately protected against advanced cyber-attacks and malicious hacks.

The IT team must ensure all systems are updated with the most recent operating systems and reliable anti-virus solutions. They must also put a configured firewall in place to ward off external attacks and unauthorized access on the network. NordVPN can be a great data protection tool, especially when browsing the Internet. By encrypting data, this VPN establishes an additional layer of security that keeps your browsing activity, financial information, and emails invisible to hackers.

2. Perform Comprehensive and Regular Audits

Data security measures can never be complete without thorough and regular audits. A regular audit is a practical approach that enables businesses to identify vulnerabilities in the existing security plan. Auditing data collected in the post-attack offers an organization a perfect understanding of the blunders that can result in similar breaches in the future.

This information can be instrumental in the creation of a more powerful data security strategy coupled with more reliable data security policies. So, businesses must perform comprehensive and regular audits to enhance compliance and get rid of potential risks.

3. Limit Data Access

Most companies give a few employees privileged access to their most valuable data. Consider who in the company has access to important customer information. Do you know everyone’s access rights? Knowing the details of every staff that has privilege access to data and reasons for accessing it can help you prevent data hacking, theft, and loss.

Organizations must limit data access. They should determine the kind of data that a staff member needs to access to carry out their work obligations effectively and make sure they have access to just what they require. In addition to safeguarding sensitive information from theft or loss, limiting access could ensure more efficient data management.

4. Remove Stale Information and Put Secure Backups in Place

Many companies in the healthcare, education, and finance sector handle sensitive data as an important part of their businesses. Having the right data disposal strategies in place can prevent redundant data from being stashed away and lifted at a later date.

Regular data backup is a fundamental part of a complete IT security strategy. Organizations should have robust backups in place to ensure they still have access to their sensitive information even after accidental file removal or a full ransomware lockdown. They should store their backup data in a safe, remote location far from their main places of business.

5. Change Your Mindset

Many organizations don’t give data security the seriousness it deserves. They have poor passwords, unencrypted sensitive files, and misconfigured AWS servers. Due to this sloppy attitude, it’s estimated that more than 4 billion data records with valuable information were breached within the first six months of last year.

Companies must change their attitude. They must view data security as their top priority. Everyone in the company must understand the value of data security, not just the top executives. They should embrace security best practices such as authenticating digital identities of all employees and customers as well as using up to date VPNs like the NordVPN.

The Parting Note

With cyber-security threats increasing rapidly in today’s world, it has become important to be armed with the right security tools and privacy improvements that are required to protect the organization’s most valuable asset, that is, the data. Data security should be given utmost priority and all staff members trained accordingly.

AI

AI and Cryptocurrency – How They Can Work Together Effectively

There will soon come a time when artificial intelligence will be running on top of cryptocurrency systems like Blockchains with its capability to increase machine learning capacity and create new financial products. It will take the technology leaps and bounds further in making it one of the mainstream emerging technologies.

According to the research being conducted about the future of AI, the market is estimated to grow to a whopping $190 billion worth of industry by 2025. Considering how much the market is expected to grow, Blockchain and AI convergence are inevitable.

Both the emerging technologies have been around for a decade now and deal with data and value. Where Blockchain enables a secure storage and sharing path of data, AI analyzes and generates significant insights from data to create value.

Having such similarities, there is no doubt that both the technological realms can be merged to create a more advanced and efficient machine learning blockchain system to benefit the masses. Let’s have a look at how Blockchain and AI are a perfect match.

How Blockchain and AI Is the Perfect Match

The following are some key pointers and examples that evidently showcase how combining Blockchain and AI is a consequent step forward in the right direction for increased efficiency and profitability.

Blockchain connecting with the AI basics

Firstly, it is essential to know that most of the hype surrounding startups integrating Blockchain with artificial intelligence is exactly just that, hype. Such companies are far too young and inexperienced in the industry to be talking about a big game. With few clients and less commercialization, it is understandably not possible to carry out such advance convergence.

The majority of such companies have raised money through the initial coin offering or the ICO. This means that the solutions they offer are as thoroughly evaluated as they would have been had the company raised a significant amount of venture capital money.

However, it is quite so possible that these companies may become successful in the future, but until then, they just create useless hype about the advancements in this technology.

Many people limit the usage of Blockchain technology and associate it with just cryptocurrency transactions. As a digital ledger that can record economic transactions, Blockchain can be expanded to virtually record almost anything of value.

There can be both public and private blockchains. Where the public ones are open to the public, the private or ‘Permissioned’ blockchains are restricted for usage by ‘invitation-only’ and mainly used in the corporate environment. This also makes them faster than public forums as the users are mainly trusted and verified personnel making the transactions verifiable faster.

One of Blockchain’s more important features is that it allows even the unrelated parties to carry out a transaction and share data through a mutual ledger. As cryptography validates the transactions, it makes it more efficient for participants not to rely on third-party evaluators to carry out a transaction. Deploying cryptography ensures that data transactions are secure, incorruptible, and irreversible once recorded.

Artificial Intelligence is not a term making rounds for a decade now. It very much comprises of every new technology that has near-human intelligence to carry out a task. AI models are used to assess, understand, classify, and predict using relevant data sets. Machine learning then cleanses the data as it gathers insights creating better useful data sets for use.

As it is evident, data is the central component to AI and Blockchain that allows a secure and collaborative effort towards data sharing. Both Blockchain and AI ensure the trustworthiness of data and extract valuable insights from it.

How Microsoft is Improving Machine Learning for Blockchain

According to the research conducted at Microsoft, the company is working on finding out ways to design efficient collaborative machine learning models hosted on public blockchains. The incentive behind this effort is to make AI decentralized and a more collaborative forum using Blockchain.

While there is no doubt that advances are being made in machine learning, the benefits that are being created as the results of these efforts are not as openly available. The masses have limited resources and cannot always access cutting-edge technology such as machine learning systems.

Such systems are highly centralized and used as the proprietary datasets. Not only are they costly to recreate, but even the best models can become outdated if not consistently refreshed with new data.

The idea is to allow advanced AI models and bigger datasets to be easily accessible, sharable, updated and retrained to increase the adoption, acceptance, and overall effectiveness of AI. People will soon be able to adopt this easy and cost-effective method to run and access advanced machine learning models through regular devices such as laptops and smartphone browsers and collectively participate in improving data sets and models.

Therefore, Microsoft is keen on developing what they call a Decentralized & Collaborative AI on the Blockchain framework. It will significantly increase AI community collaborations to retrain such models with valuable datasets on public blockchains. The machine learning models would be made free for public use as they would know the code they are interacting with.

Some applications that Microsoft is looking forward to integrating are virtual assistants and recommender systems like used by Netflix to recommend shows to its audience. Considering such models, Blockchain makes sense because of the increased security and how trustworthy it is for the participants.

The well-established nature of the blockchain system and the associate smart contracts ensure that the models will always perform up to the specific requirement. As the models are consistently updated on the Blockchain used unhinged by the user’s local device, every user gets to see the one genuine version of the model.

Hence, even though Microsoft’s framework isn’t favorable for operating at large scale for now, but sooner or later, it will be the norm. There is little to no doubt that organizations like Microsoft are doing advanced research and practical work to converge AI and cryptosystems like Blockchain. There is no doubt that cryptocurrency is the future of money. So it is in the best interests of the organization to start working on merging Blockchain and AI for improved benefits.

How can an organization merge Blockchain and AI?

Just as Microsoft, more advancement is made for combining Blockchain and AI for fulfilling specific usage requirements. Such cases will depend on the company’s specific needs, but the core preference would be related to data. This will allow companies to improve their digital and data capabilities by developing a combination of AI and Blockchain solution to fit their operations.

The very first step needs to be taken by the executives to identify the specific business needs and whether creating an AI and Blockchain system would address that need. This can become easier if the organization has already worked on AI and taken initiatives in other operations because now you can integrate Blockchain to improve them.

Similarly, if the company owns valuable data, they can monetize by converging a blockchain environment and sharing the data with AI model creators. For instance, a progressive car company like Tesla probably has a good collection of valuable data collected by its cars. They can put it on a blockchain system as their self-driving cars will continue to collect huge amounts of data that they can use to improve the neural networks powering self-driving operations and functions.

With a trusted name as Tesla, the public would not be too complacent about maintaining their privacy. Blockchain would allow the company to make the driver information anonymous to ensure privacy while collecting data to improve neural nets in use.

The company can even share anonymous data with car insurance companies. It would allow the insurers to price their insurance packages for self-driving cars more efficiently and with an educated mind, given how the risk profile of a self-driving car is different from that of a regular car.

The whole packaged win-win situation here is that where the company would improve its cars, the public would get advanced transportation, complete privacy, and the right insurance for the right price without getting exploited.

Using Digital Investment Assets for Trading through Blockchain

You must be already aware of how Blockchain is already a ready-made, and good-to-go digital ledger used to store and trade financial instruments such as cryptocurrencies and cryptographic tokens. However, Blockchain is still a nascent technology, been only around for a few years. Where cryptocurrency has definitely taken the world by storm, cryptographic tokens are comparatively more nascent.

Hence, it is evident that there is no probable activity and enough data yet to apply AI to financial products like a cryptocurrency that are traded through Blockchain. However, the upgrading technology and data sets show a promising future for AI taking insights from these data sets to create financial products and trade them autonomously.

How can an organization merge Blockchain and AI?

The convergence of artificial intelligence and Blockchain would be a huge step forward, and the process will cover four distinct yet inter-linked stages.

Stage I: Proof of concepts

Stage II: Asset tokenization

Stage III: Digital Investment Assets DIA

Stage IV: AI agents trading DIA

The four stages will represent how Blockchain is proof of concepts initially. On the second stage, assets are tokenized and traded. Tokens can represent underlying security methods, physical assets, cash flows, and utilities. This reduces the alleged transaction cost and decreases the time taken for settlement to improve audit accountability.

AI and Blockchain Applications

There is no denying that a decade back if someone would have presented us with an idea of magical internet money called crypto in the future, we would have laughed and made fun of the person for coming up with Superman and Kryptonite theories. Fast forward to ten years down the line, and cryptocurrency not only exists, but there are real-world integrations of its blockchain system with AI.

Smart computing power

Think of a machine learning code that would upgrade and retrain when given the right data. That is exactly what AI affords the users to tackle tasks more efficiently and intelligently.

Diverse data sets

The combination of Blockchain and AI can create smarter and decentralized networks to host various data sets. Creating a blockchain API would enable the intercommunication of AI agents resulting in diverse codes and algorithms to be built upon diver data sets, ensuring development.

Data protection

It doesn’t matter if data is medical or financial. Certain data types are too sensitive to be handled by a single company and their coding system. Storing such data on a blockchain and accessed through AI would give its users a huge advantage of personalized recommendations, suggestions, and notifications while securely storing data.

Data monetization

Data monetization would make both AI and advance Blockchain easily accessible to smaller companies. As of now, developing and growing AI is costly for organizations, especially those who do not own data sets. A decentralized market would create space such companies for which it is otherwise too expensive.

Trusting AI for decision making

AI is growing smarter with time. Through the use of blockchain systems like crypto, transactions will become smarter, making the process easier to audit.

Conclusion

All in all, the collaborative effort of blockchain technology and AI is still majorly an undiscovered territory. One of the main reasons why we still have yet to see a commercialized joint adoption of the Blockchain system and artificial intelligence is that the upscale implementation of their convergence is quite challenging.

Many businesses, although having ventured on with AI, are skeptical when it comes to conjoining Blockchain. They are in their early stages for testing the waters for AI and Blockchain coming together in isolation. As they continue to figure it out for appropriate public distribution, the convergence of the two technologies has had its fair share of scholarly attention as well. Yet still, projects solely developed to promote the groundbreaking match are still primarily not catered to.

There is no doubt that the potential of this combination is clearly there and developing, but how it will play out for future public use can be anybody’s call.

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Claudia Jeffrey is currently working as a Junior Finance advisor at Crowd Writer, an excellent platform to get assignment help UK. She is a self-proclaimed crypto-influencer. She has gained significant expertise and knowledge in this regard over the years and likes to share it with an interested audience.

gaming

The Next Revolution in Gaming is Blockchain

According to a recent industry report, there are nearly 3 billion gamers in the world today, and – in 2020 alone – they will spend nearly $160 billion on games.

These numbers reinforce one inescapable fact: people love playing video games.

No corporation knows this better than video-streaming giant Netflix. In a letter to shareholders last year, Netflix told investors it wasn’t looking over its shoulder at the competition coming from other streaming services like Hulu or HBO Max. No, Netflix said it is far more concerned about competing with Fortnite, a shooting game that now commands the attention of 200 million players.

The raging success of Fortnite – and its parent company Epic Games – not only has Netflix a little nervous; it has also put other gaming giants on notice.

It might explain why Ubisoft – the company that introduced Assassin’s Creed, a gaming franchise valued at more than $300 million – recently announced it is now recruiting blockchain startups in its incubator program.

Why would a gaming company want to expand into blockchain? According to Ubisoft, “We … see a nascent ecosystem flourishing in many different directions exploring new possibilities to envision the relationships with the gamers, and between them, virtual assets ownership and exchanges, transaction security, and all what a cryptocurrency can allow.”

Exactly. Blockchain gives gamers something they have never had: the opportunity to take total ownership of the many rewards they earn or purchase while playing games. Ask any gamer, these items are costly – both in terms of money and hard work – but they have little value outside of the centralized game.

Blockchain is about to change all that.

Full transparency: I come at this from two different perspectives. One, I am a tech entrepreneur who incubates blockchain gaming startups.  But, two – and maybe more importantly – I am the father of five gamers.

Because I’ve raised a family of gamers, I have developed an understanding of gaming that goes beyond earnings reports. I’ve watched my kids get swept up in a wide variety of games over the years. I saw exactly why Sims (the most popular game of all time based on unit sales) captured their attention. I also understand why Call of Duty, a first-person shooter game introduced in 2003, mushroomed into a franchise now valued at $130 billion.  Mega-gaming hits like Minecraft and Halo were also big hits in my living room.

How does watching kids play games enhance my understanding of the gaming industry? Because I saw how each of these highly successful games won over gamers: they leveraged the latest technology to deliver a completely engrossing experience.

And that is what is happening right now with blockchain games; because they can be powered by non-fungible tokens (NFTs), they hold the potential upend the entire gaming industry.

Blockchain-based games can deliver an unprecedented, fully immersive experience. Those costly, hard-earned rewards I mentioned earlier can suddenly take on real value in a blockchain environment. That’s because a gaming collectible purchased or won in one game can now be transferred to another blockchain game. That means, for the first time, those rewards become the property of the gamer, not the game.

This transferability means gaming rewards can accumulate genuine value. They can be bought and sold in blockchain-supported marketplaces for fiat dollars, cryptocurrencies – or exchanged for other NFTs. And guess what. That also means – for the first time – gamers may even earn real money playing games.

And, as a parent of gamers, that last value proposition is music to my ears. Conservatively speaking, I estimate I’ve spent about $50,000 in gaming over the years. Blockchain games represent the first potential opportunity I have seen to recoup some of that investment.

This potential is already coming to fruition. CryptoKitties – a 2017 blockchain game where users are invited create, trade, and sell digital cats – already has more than 1 million users who have completed $40 million worth of transactions.

As an entrepreneur, the success of CryptoKitties validates my enthusiasm for blockchain games, but so does the experience of watching my 16-year old daughter play another blockchain-based game – Axie Infinity – the other night. She couldn’t put it down and I knew I was witnessing the future of gaming.

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Brad Robertson is the founder and CEO of Polyient Labs, an early-stage blockchain startup incubator. He has been an entrepreneur in the tech field for more than 20 years and he earned his JD from Pepperdine University. 

blockchain

Blockchain and its Impact on Business Operations

When one thinks of blockchain, one thinks of cryptocurrency, but even though much of this article is dedicated to the use of cryptocurrency, the truth is that more can be done with blockchain technology. This is because blockchain technology allows people from all over the world to create a transaction on a computer system. This transaction is secure (cannot be tampered with), it is dated, and it can be signed in many secure ways.

In short, if you wished, you could conduct a large digital Mexican wave around the world, and not only would the entire process be secure and efficient, it would also be traceable and wouldn’t rely on a central authority or third party to action.

The Omise Story

Omise is a company the operates a payment gateway for Thailand, Japan and Singapore. Rather than moving money from one country to another, convert it and so forth, they created their own coin OMISEGO, which they can quickly transfer anywhere. It can be deposited with an Omise office in another country. To help keep the price of their coin from fluctuating too much, they only conduct inter-office transfers as a way of getting money from one country to another. This is far faster and cheaper than using an Automated Clearing House, and far cheaper than using wire transfers.

But, what about the problem that each transaction creates a little more OMISGO coin? The answer for them was simple. They released the coin onto the general market, which gave it a market price, which therefore solved the “bit-extra” problem and introduced the problem that transactions now had to happen quickly for fear of sharp rises and falls in the coin’s price, which pushed up the potential transaction fee. However, the increase was marginal, and it was still cheaper than wire transfer and is still almost as fast.

Can the Omise Story Transfer Over?

Well, it certainly transfers to other payment gateways, and even modern US banks have stated their intentions to create their own cryptocurrency so they may move money within their own branches more easily. They would maintain full control of the currency, including its mining, which means that theft is more difficult and price fluctuations are not a problem.

Still, if it is to be applied to business operations, it needs to somehow improve efficiency, otherwise it is just another path to the same objective. If your business has an international element, then there is a chance that blockchain technology, specifically cryptocurrency, will help you. Otherwise, cryptocurrency needs to evolve and be retooled before it can do things like pay separate departments on demand more efficiently than the methods you are using right now.

What About Automated Clearing Houses?

ACH is hardly in its death throes since despite online transfers being as common as salt in the ocean, companies are still wrapping themselves in the warm blanket that is ACH, so what are their arguments against blockchain?

Argument – Costs pretty-much the same for each transaction.

Counter – Yes, on a per-transaction basis, but you receive your money up to 24 hours quicker with cryptocurrency.

Argument – We conduct thousands of transactions per day that only a clearing house could handle.

Counter – Dealing with fiat money yes, but transacting thousands of blockchain transactions per day can be done in house with almost no security risks.

The truth is that there are many ways that blockchain technology can replace Automated Clearing Houses, especially in terms of speed, security and traceability. But, ACH is trusted, tried and proven, whereas blockchain is still too new for most companies to trust.

The Demand for More Transparency

Let’s say there is a new law where every company had to track every supplier from its source. Every screw and every wire from every phone ever made, and so forth. A similar thing already happens with products labeled “Organic” in stores. Such a law would cost most primary and secondary industries a fortune, but the costs could be reduced in such an event with blockchain.

They could use blockchain to track transactions from start to finish. That way, every product being sold could have its own history that is stored in digital form. If required, an authority figure could back track every single element within a product, from where the coffee beans were bought to where the glue was manufactured for the label. Plus, the system could be set up so that each supplier need not consult a central authority to execute transactions, and each transaction would be protected with encrypted data. It would be difficult for a single entity to disrupt the history of transactions, which on its own will make the transactions a lot more secure.

Supply Chain Tracking

Using the same method as above, a company could track its supply chain, which is more important in the food industry than anywhere else. Walmart is unable to trust the record-keeping of companies in China, so it is using blockchain to track the supply of pork. Record-keeping transactions are marked at intervals so that Wal-Mart can see if a piece of pork sat in a warehouse for six months before being processed. The record-keeping process happens with regards to where the meat comes from, is slaughtered, processed, and stored, and this information is then used by the company in the US to create its sell-by-date.

Conclusion – A Tool is Only as Good as Its Use

A paintbrush in the hands of a novice is no more useful than a shotgun in the hands of a kangaroo. The intrinsic benefit of blockchain, as described in the introduction, is very powerful, but businesses are having a hard time integrating it into their companies. There are plenty who claim they have tried, such as Tyson, Nestle, Unilever and Dole, but they are more like nervous children dipping their toes in the shallow end of the pool.

Blockchain will benefit those who wish to transact payments domestically and overseas, and those who wish to track a process, a supply chain, and/or who just wish to be more transparent about their business operations. However, it is only the really competitive industries like the financial and food industries that are worth the added benefits of blockchain for the slight edge that blockchain technology gives them over their competitors.

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Ava Williams is a Resumeble editor and a career expert from Vancouver. She finds her inspiration in blogging and career courses. Meet her on Twitter and LinkedIn

Cryptocurrency

2020 Global Challenges for Cryptocurrency

Blockchain, Bitcoin, and Cryptocurrency are some of the terms that you must have heard at some point in your life. Especially in the past decade or so, cryptocurrency became the talk of the global economic forums. As many authorities began to question the future of monetary assets, money, and similar resources, cryptocurrency was among the more controversial topics.

In 2019, right before Blockchain could have seen a public acceptance phase, the revolution came to an abrupt halt. According to the Gartner Group, it was called ‘Blockchain fatigue.’ Other experts also jumped on the bandwagon that the fire of Blockchain technology and virtual currency, in general, has fizzled out. People thought maybe it was a phase after all that overstayed its welcome.

Pragmatically, the perspective is incorrect. According to recent statistics, the crypto market has an estimated total market capitalization of over $155 billion as of 15th March 2020. Considering these numbers and based on many financial institutions, powers might tend to disapprove of cryptocurrency, but they are in favor of Blockchain technology. The disruptive nature of decentralized currencies such as Bitcoin and others has led to a corresponding halt to its progress.

Let’s find out what more challenges do cryptocurrency has to face as the year 2020 goes by.

Challenges Hindering Cryptocurrency Growth and Acceptance Worldwide

The following are the challenges hindering cryptocurrency growth and acceptance on a global scale.

1.  Boom Phase for Blockchain

There is no doubt about the fact that where cryptocurrency is facing the challenge of surviving and being accepted by the masses, Blockchain technology has already surpassed it. The masses have widely accepted it, and big names of global trade specialists are now moving towards Blockchain.

The likes of Trade Lens by IBM and Maersk’s joint Blockchain investment in the shipping industry have welcomed the first-ever initiative taken. Many such mind-blowing initiatives are underway that involve Blockchain apart from the cryptocurrency domain. The challenge for crypto-enthusiasts here is that once the Blockchain technology takes off without crypto, it will be the end to it.

2.  Bad Imagery

Cryptocurrency, even after having gone through a boom phase, still has a PR problem. The terms associated are enough to conjure up images of cringe advertisements, low-quality campaigns, bad actors, get rich quick schemes, and criminals alike. For many people, cryptocurrency spells out new technology for age-old scams and frauds, which they don’t want any.

It may seem like a petty issue, given the magnitude that is a cryptocurrency and the Blockchain industry. However, this issue has hindered crypto for years since its inception and will continue to do so if no knowledgeable individuals came forward in favor of it.

3.  Blockchain vs. Authorities and Officials

US constitution is known worldwide for its protection right given to the democratic entity that the country is. Freedom of speech, access to information, and the right to form an opinion is protected by the officials to be open. However, on the flip side, when it comes to assets and financial resources, our system laws, governments, and authorities are designed to keep it limited amongst the powerful.

It is evident why crypto and Blockchain has taken over a decade to adjust in an economy where it had to tackle issue arising from the core of how our economy and society operates.

a. Lack Of Legislation

Digital currencies are decentralized virtual entities. They are purely digital products, and our authorities are not geared to handle this advanced technology. That is why the lack of legislation regulating these digital currencies and providing any sort of user protection has become a huge challenge.

The essential step that needs to be taken to reduce the risk involves educating and informing people about keeping their personal data safe. There is still a gaping void where insurance and dedicated legislation needs to be placed. But until that happens, awareness to safely exercise crypto is crucial.

b. Legal Obstacles

In addition to lack of legislation, the other big obstacle that stands in the way of cryptocurrency holders like Bitcoin traders and users is the challenge to spend their holdings. The untraceable nature of Bitcoin and its bad imagery as a mode of finance for mega criminal activities like terrorist attacks and the drug trade has made it quite scandalous in some countries.

Cryptocurrency is going through a period of abrupt halt where nothing much seems to be happening around the technology. Therefore, one can’t say for sure that what the future holds unless wide acceptability affects these legal obstacles standing in the way of crypto-trading.

4.  The Technology Is Still Immature

Cryptocurrency faces implementation obstacles beyond the lack of regulation and inactive obligations. The technology is an emerging one and is still immature in a system where other options are widely scalable and accepted over it.

One might think how a technology that has been out there for over a decade now can be new and emerging. The reason is that not much has been done to expand it.

a. Interoperability

Interoperability or the ability of computer system software to exchange and utilize information is a challenge faced by Blockchain. The technology has been divided to make multiple uses of it in different industrial domains, separate form cryptocurrency.

The technology needs to be made interoperable for the internet dedicated to Blockchain and crypto exchange. Until then, as long as people continue to go by illegal and wrong means of mining it, the technology is a threat to the economic system that opens its gates to accept virtual currencies.

b. Usability

This point cannot be emphasized enough how difficult it is to buy and sell crypto. We are way in the year 2020, and it is still as difficult as it was back in the day when Bitcoin was first launched. The mere participation in the crypto world requires a nerve-wracking validation that general people find unappealing.

The security procedures are so complex that they have become hurdles in crypto adoption as a mode of exchange. Most students look for personal statement help UK who have a high interest in cryptocurrency markets but unable to compose a compelling profile.

It is still a significant challenge for the industry to create user-friendly processes for buying, selling, storing, and using cryptocurrency securely without being called out for it.

c. Scalability

The generally acceptable country-wise currency exchange and even the banking transactions in different currencies have been made scalable and adaptable to the different rates. Cryptocurrency has years of effort to go until it finally reaches a scalability level that Dollar, Yen, Pounds, or Rupee have gotten to.

While interoperability may be a huge step forward to achieve that, that itself is a challenge to mitigate first, the system is so slow, and many dominant platforms for smart contractual applications are still under development. The processes face numerous delays and would require many scalable solutions to counter this issue of exchange.

d. Data Rights

Data has reached a level of becoming a digital asset at this point. Digital mafia considers data the real deal and a key to all things penetrable for the immense value it can hold for individuals and organizations. That is why one of the biggest lose loop in cryptocurrency is and will always be data rights and privacy.

The solution here is not just government protection of privacy and data for cryptocurrency traders. A dedicated system is required where such identities can capture and control their own data. And where there is a long way to go for an efficient framework, many initiatives have been taken and underway.

e. Security

Blockchain might be immature, but it is so far advanced that it is more secure than a traditional computer system.

However, many financial breaches, data leaks, and huge losses due to the system vulnerabilities have made it challenging for people to be satisfied with their transactions. At one point in time, $250 million were lost in a single transaction through QuadrigaCX exchange due to its deadly centralized business model.

In addition to it being not secure enough, these pieces of news make rounds globally. People have lost faith in cryptocurrency over time.

2.  Difficulties Of Bitcoin Transactions

In 2013, a crypto-enthusiast made a luxury car dealership in Costa Mesa, CA, for a Tesla Model S and paid for it in Bitcoin. Just under 92 bitcoins that were worth over $100,000 at that time, the deal was sealed and legally conceived. Considering this transaction and comparing it with the real-time value of crypto right now, the setback and skepticism surrounding Bitcoin have not done much harm to the growing estimation of it.

However, one cannot move past the real-time losses that have occurred given the Bitcoin transactions over the years. Spending Bitcoin is still a huge deal than hoarding it.

a. Countries Banning Bitcoin

Countries like Vietnam, Bangladesh, Bolivia, and Ecuador have prohibited crypto transactions. The state bank has outlawed it and declared cryptocurrency an illegal form of payment with a heavy fine due to violators. And even where it is legal, there are countless logistical issues.

Even in the United States, the Securities and Exchange Commission is having an ongoing debate if it prefers new regulations for the cryptocurrency market. If major countries with relevant economic forums stand against Bitcoin, it will become increasingly difficult for the crypto-type to gain acceptance from the masses as people continue to engage in it illegally.

b. Conversion Issues

Conversion remains a huge hurdle for Bitcoin vendors. As Bitcoin is not a fiat currency and is only limited to monetary value when converted to a cash equivalent, not many vendors go for its conversions for other cryptocurrency types. They are more willing to look for a payment method that delivers in Dollars or any other local currency. So that any exchange made for goods and products is made on consumer rates.

Such an implementation system is difficult even if bigger brands are willing to make it possible. No matter if a business sells cars or academic writing services, there is a lack of appropriate regulations to facilitate this type of exchange.

c. People Losing Money

Though Bitcoin regulatory protocol was not affected and not a single Bitcoin disappeared or got lost, people lost loads of money. The downfall and cases of transactional breakdowns are the major reason why cryptocurrency came to an unannounced halt in the first place.

There is a serious need to regulate and change the trading and mining protocols in Bitcoin and other cryptocurrencies. Only then can I expect the general public to safely indulge in Bitcoin mining and trading without feeling it to be illegal or a complete daredevil gambling moves on their part.

d. Volatility Of Prices

The volatility of prices also hangs in the balance of the potential of Bitcoin and cryptocurrency in general. Even though Bitcoin has gained significant community following over the years, there have been disputes among the community member for deciding the path it should take.

The compact user base has made the currency increasingly volatile. The stability expected concerning a centralized authority system to regulate it will increase once people start to accept it. The doubts about Bitcoin’s usage and the resistance by major countries to integrate the system and legalize it will continue to deteriorate the prices further.

Conclusion – The Stakes Are High

All in all, the results of no action being taken by major industrial giants, businesses, and government authorities have never been so altering ever since all these years of crypto trading and mining as it is now. The year 2020 is going to shape the cryptocurrency industry either for better or for worse.

Crypto networks like Bitcoin, corporations like Facebook, and nations like China implementing digital currency by the end of this year will be taking a step towards stumping Dollar as the record currency. It will, in turn, lead to the US Federal Reserve pushing ahead of the digital counterpart.

There is no denying that the stakes are high, and just like everything else, the future is unpredictable for cryptocurrency too.

____________________________________________________________________

Claudia Jeffrey is currently working as a Junior Finance advisor at Crowd Writer, an excellent platform to get assignment help UK. She is a self-proclaimed crypto-influencer. She has gained significant expertise and knowledge in this regard over the years and likes to share it with an interested audience.

cashless

TOWARD A GLOBAL CASHLESS ECONOMY

Going Cashless During COVID-19

When we originally published this article in November 2018 during holiday shopping season, we could not have foreseen that a global health crisis would accelerate cashless payments worldwide. But new precautions in place due to COVID-19 have propelled us faster in the direction of contactless transactions everywhere.

Transmission of the disease from handling banknotes has consumers concerned, but the risk is reported to be low compared with touching credit card terminals and PIN pads. Yet the plexiglass that divides customer from cashier urges less reliance on bills and coins in favor of using point of sale machines to swipe your credit card.

Central banks around the world are taking steps to quarantine and sterilize banknotes to promote retained trust and universal acceptance of cash. Even so, many financial industry analysts are predicting that truly contactless payments through mobile e-wallets may be upon us sooner than previously forecast as consumers and retailers become more accustomed to eschewing cash.

Mobile Payments are the Future

According to Statista, 259 million Americans routinely bought products online in 2018.

That wasn’t the case just a few years ago when many of us were hesitant to punch in our credit card numbers to a website. But as ever more business is transacted online, financial services and “fintech” companies have built and continue to improve a secure payments ecosystem that consumers and businesses can be confident will protect their most vital assets: their private information and money.

Pretty soon we might not need to pull out a physical card as our credit card information gets linked with mobile payment systems. All you need is your finger, your phone, or a watch – items you probably already have on hand, literally. As more consumers adopt this convenience, “e-wallets” will eventually replace cash altogether.

The United States and Emerging Markets Lead

Mobile payments in the United States, China, Russia and India are driving the global trend – the United States by sheer volume of cashless transactions and the big emerging markets by virtue of how fast they are growing. In 2017, non-cash transactions grew 34.6 percent in China, 38.5 percent in Russia, and 38.5 percent in India.

Russia’s surge owes to the Central Bank of Russia’s implementation of a National Payment Card System that boosted growth of cashless transactions by 36.5 percent after it was introduced in 2015-2016. AliPay and WeChat Pay are keeping China on a sustained upward trajectory. Mobile payments in China climbed from $2 trillion in 2015 to $15.4 trillion in 2017, an amount greater than the combined total of the global transactions processed by Visa and Mastercard. India has improved its regulatory environment for digital payments as smartphone penetration expands.

TradeVistas | growth of global cashless transactions, World Payments Report 2019

Growth of global cashless transactions

Leapfrogging in Developing Countries

According to the 2019 World Payments Report, developing markets as a group contributed 35 percent of all non-cash transactions in 2017 and are close to reaching half of all non-cash transactions if they maintain the current rate.

Financial inclusion initiatives in developing countries that are designed to pull citizens into the formal banking system combined with an increase of mobile phone ownership means developing countries are leapfrogging over credit card use, going from cash to mobile payments.

Remittances, which comprise a high percentage of GDP in many developing countries, are being facilitated increasingly through person-to-person mobile money transfers. In one example, Western Union and Safaricom, a mobile provider in Kenya, have teamed to enable 28 million mobile wallet holders to send money to family and others over Western Union’s global network.

The Global Mobile Industry Association predicts the number of smartphones in use in sub-Saharan Africa will nearly double by 2025, enabling previously “unbanked” individuals to send and receive money by phone. For merchants in developing countries, scanning a QR code on a phone is faster and cheaper than installing point-of-service terminals that require a continuous electrical supply for reliability.

TradeVistas | cashless transaction volumes grew 12% during 2016 and 2017

Developing countries will account for half of cashless transactions soon.

Mobile People with Mobile Phones

Chinese tourists are also driving global proliferation of mobile payments as vendors work to accommodate Chinese travelers in airports, restaurants, hotels, and stores. China’s Alipay advertised popular “outbound destinations without wallets” for Golden Week, when millions of Chinese go on vacation. Last year, prior to travel restrictions, there was a boom in Chinese tourists to Japan, with over 9.5 million visitors in 2019. China’s WeChat Pay teamed with Line, Japan’s popular messaging app service to offer mobile payments to Japanese retailers seeking to accommodate the influx of Chinese tourists. WeChat’s rival, Alipay, is also partnering to extend services in Japan.

Global Standards and Interoperability are Needed

Through national financial inclusion programs, a steep increase in the accessibility of mobile phones, and with trade driving more global business transactions online, a cashless global economy could be in our future.

What’s standing in the way of faster integration globally of mobile payments, however, is a lack of international standards and common approaches to security, data privacy, and prevention of cybercrimes.

Companies in this space are continually evolving layers of protections such as the chips on your credit cards, encryption, tokens, and biometrics to stay ahead of cybercriminals, but it’s a constant battle against fraud and hacking of personal account information. For example, tokenization is a technology that safeguards bank details in mobile payment apps. That’s how Apple Pay works – rather than directly using your credit card details, your bank or credit card network generates random numbers that Apple programs into your phone, masking valuable information from hackers.

Differing national regulatory approaches to data authorization and distributed ledger technology (like blockchain) could fragment markets and inhibit adoption of the underlying technologies that permit mobile payments. Industry groups say international standards should be modernized to reflect technological innovations, but also harmonized to avoid developing different payments systems for different markets.

Interoperability is then the cornerstone of expanding trade through global digital payments. Groups like the PCI Security Standards Council advocate for international cooperation not only to set standards for ease of consumer use but because no single private company or government can stay continually ahead of hackers. They say that sharing information and best practices can raise everyone’s game, prevent attacks, and disseminate alerts quickly to stop the spread of damage when an attack occurs.

Mobile Payments Slim My Wallet in More Ways Than One

By 2023, there will be three times as many connected devices in the world as there are people on Earth. (And that prediction was made pre-pandemic.) Young people with new spending power are favorably disposed to cashless transactions and shopping through their devices. Mobile payments help connect poorer and rural citizens to the formal economy just through SMS texts. Even tourism is spreading a culture of mobile payments. And many brick and mortar retailers say online browsing can drive in-store sales and help the bottom line.

Small businesses are making great use of mobile payment readers to take payments anywhere on the go, from selling jam at farmers markets to selling band t-shirts at small music venues. Business executives surveyed in the World Payments Report also cite increasing use of such rapid transfer payments to speed the settlement of business-to-business invoices and for supply chain financing, particularly across borders.

Experts are realistic, however, that cash isn’t dead yet. In most countries, cash payments as a share of total payment volume is declining, but cash in circulation is stable or rising – and that seems to be holding true despite the pandemic.

For a little while anyway, I conserved both cash and mobile spending during the pandemic. I’m back to routinely overspending at Starbucks where my thumb is all it takes to reload the card on the app using a preloaded credit card. If my behavior is any indication, the ease of mobile payments will probably cause many of us to spend more as the cash doesn’t have to physically leave the grip of our hands. The increase in availability and accessibility of cashless, mobile payments will be good for economic recovery and good for global trade.

Editor’s Note: This post was originally published in November 2018 and has been updated for accuracy and comprehensiveness.

_________________________________________________________________

Andrea Durkin is the Editor-in-Chief of TradeVistas and Founder of Sparkplug, LLC. Ms. Durkin previously served as a U.S. Government trade negotiator and has proudly taught international trade policy and negotiations for the last fifteen years as an Adjunct Professor at Georgetown University’s Master of Science in Foreign Service program.

This article originally appeared on TradeVistas.org. Republished with permission.
smart contracts

How to Save Time and Money with Blockchain Smart Contracts

Manufacturing processes are growing increasingly complex — especially as the coronavirus pandemic spreads — in today’s global marketplace. With so many moving parts, it’s becoming more difficult to reliably and efficiently track actions and data along the supply chain. Blockchain-enabled smart contracts are emerging as a solution — one that provides transparency and ensures everyone along the supply chain is following the same set of agreed-upon rules.

With everyone on the supply chain sharing the same logic and data, manufacturers can automate time-sensitive processes and avoid costly dispute resolutions. Blockchain is on the rise, and Gartner predicts that 30% of manufacturing companies making more than $5 billion in revenue will have invested in blockchain-powered projects by 2023.

Implementing the technology and data infrastructure to convert processes into smart contracts can seem daunting, and companies that don’t hit the $5 billion mark will be slower to catch up.

The fear of failing after the investment can be a serious deterrent. But smart contracts save enough time and money for manufacturers that the costs of waiting might be greater than the upfront investment needed to get started.

The Value of Smart Contracts

The core values of blockchain are transparency and trust, and smart contracts play a pivotal role in providing these benefits. Taken together in a business context, blockchain-based smart contracts make it possible to avoid disputes. A smart contract is software that automates a single trusted version of an agreement between parties. They might rely on one version of data about what’s happening (or has happened) and record the results of the contract, such as funds being transferred in exchange for using a piece of equipment.

Without smart contracts, businesses working together in manufacturing have to maintain separate systems that encode business rules with slight differences. The data they use might also vary from the data other companies use, making it difficult to reconcile any issues. These differences lead to disputes that require significant time and effort to resolve.

The automation and data standards that smart contracts provide allow manufacturers to consider different ways to work with partners along their supply chain. Their partnerships can be based on performance or quality in ways that would have been impossible to implement — much less trust — without the use of blockchain and smart contracts.

How Do Smart Contracts Work?

In a blockchain system, the word “contracts” doesn’t carry the same meaning as legal contracts. Instead, smart contracts are more broadly used to encode logic that often isn’t written explicitly in a contract. Unlike traditional software, they’re used to create business logic that multiple parties can rely on and trust.

Many of us are familiar with the concept of business rules in software systems. In the blockchain world, smart contracts are the business rules shared by the users of the blockchain. Think of blockchain like a shared database: Smart contracts are the rules that define how data can be entered or changed in the shared database. Within the supply chain, smart contracts are typically the rules shared by multiple businesses in the supply chain that are also users of the blockchain system.

For most applications, smart contracts can be executable versions of traditional business contracts, or they might be new logic that coordinates long-running processes and activities across different businesses. They’re trusted because they’re created and housed on a blockchain, which means the code is typically visible to system developers, business analysts, and auditors.

Although smart contracts are triggered by some external event, such as a user’s action or a change in external data (a commodity’s price, for example), the code they run is normally approved in advance by all businesses involved. Currently, businesses are already utilizing blockchain-secured smart contracts for a range of supply chain processes.

For example, some companies combine smart contracts with Internet of Things sensors to record the movement of supplies into a manufacturing facility. Then, they automate payment for those supplies. Others record the operating conditions of a machine to determine if maintenance is required or gauge the condition of manufactured products to ensure standards are met.

Such contracts produce equipment usage records and quality control checks in real-time, and parties on all sides of the contract can trust the data. How we handle everything — from securing supplies to monitoring equipment and manufacturing products — can be improved with the strategic use of blockchain-powered smart contracts.

Being Smart About Which Contracts to Convert

As companies convert more intrabusiness processes into smart contracts, the benefits of doing so grow easier to recognize. Shipments and payment approvals can be verified in real-time, and disputes are eliminated or resolved immediately with no intermediaries. The time and cost savings are substantial.

By using these strategies to determine where to use smart contracts, companies of all sizes have a better chance at reaping the benefits much sooner:

1. Break down costs before the converting starts. The first time a company implements a smart contract, the costs of establishing the blockchain system will be relatively high. These initial costs can often be the biggest deterrent, especially for smaller, less tech-driven companies. Over time, though, the incremental costs of automating smart contracts will go down. Account for this initial cost by taking time to identify the contracts that are currently the most costly to execute.

2. Prioritize external contracts over internal ones. Not every contract needs to be a smart one. In fact, the costs of executing some processes might not justify the investment in automating them. Focus on agreements, contracts, and other expectations that are between the company and another business (or better yet, where more than two businesses are involved), and rule out internal agreements between departments. Because trust is less of an issue, internal disputes can be reconciled relatively easily. Putting them on a blockchain would just be overkill.

3. Focus on contract difficulty — not frequency. Because the goal of automation is to create less work, it’s tempting to go straight for the contracts that are executed most often. Instead, focus on the amount of effort it takes to use each contract rather than how often it’s used. High-frequency contracts might be executed with few or no disputes, whereas low-frequency ones might be costly to manage due to complex and/or unclear terms. These are much better candidates.

4. Start with material sourcing for maximum impact. To know for sure which processes can benefit most from conversion into smart contracts, look for people throughout the organization who deal with reconciliation, quality control, and/or audit support. Also, consider the data used in each transaction. Between both parties, how important is trusting that data? Material sourcing is often ripe for improvement, and trust in data is critical to the relationship between manufacturer and supplier.

The ability to create smart contracts is becoming one of the best-known benefits of using blockchain technology in the manufacturing realm. Investing in the technology might be costly at first, but getting in on the ground floor will be easier if you use it to turn the right processes into irrefutable smart contracts.

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Alex Rosen is the vice president of business development at Chainyard, a blockchain consulting company focused on delivering production solutions that address financial services, supply chain, transportation, government, and healthcare pain points.

music

How Blockchain Could Save the Music Industry from the Threat of Technology

Did you know that there was a time, not so long ago, when the only way to listen to music was live and in-person? No, I’m not talking about a live stream from your favorite band on Facebook or YouTube, but listening to the music at a venue congregated alongside a small or large group of similarly-minded folks who liked the same kind of music you did. In pre-historic times like the year 1984, the concert was the only way we consumed our favorite tunes and supported the musical artists of our choice.

With the advent of recording technology, we have gone from the live concert experience to the phonograph and jukebox, the eight-track, cassette-tape, and CDs, to recent years with the onslaught of the mp3 and all digital streaming abilities. In the wake of these massive technological strides forward, the music industry has consistently been in catch-up mode; always having difficulty keeping pace. In the same way that technological changes have shaped the way we consume our favorite music, it has also played a huge part in other aspects of the industry, transforming the first and original way in which we consumed our music: LIVE.

Through technological advancement, the concert-going experience and the revenue created from these live performances have also seen a massive control shift out of the hands of the artists and the investors who deserve it.

Finding fair and legal means to regulate the consumption of music by the masses to taking back control of a rising secondary ticketing market and governing the concert experience are major issues that have united the music industry.  Together, record labels, venues, streaming services and artists fight to get ahead of the technological curve and retain earnings for people that make the music possible in the first place. Technology changes and it changes fast. It has been the central force that has thrown the music industry into decades of chaos, and it’s the very thing to set it back on its feet again.

ALL ABOARD THE DIGITAL TRAIN

In the annual Global Piracy Report, 2017 saw music theft grow 14.7%. It was the most prevalent in the United States. Technology and its maturity have played a major role in people’s ability to steal and download tunes that don’t belong to them, but this technology did not appear yesterday.

Think back to 1997. This was the year that two guys created a system by which you could swap songs with your friends at no cost. They called their technology, Napster. This was the beginning of illegal music downloading. Technology spread like wildfire through college campuses and within months had over 20 million users on the platform uploading and downloading songs from across the decades to the biggest radio hits that came out yesterday.  Major artists came together to speak out against the platform and the Digital Media Copyright Act  (DMCA) was signed into law by President Clinton in 1998 but did little good as Napster gave way to a swell of music piracy sites including Limewire and BitTorrent among many others.

While the music industry fought to control these illegal downloading sites, it was blindsided by a number of game-changing technological advancements over the next decade, including the introduction of streaming services (Spotify launched in 2001) and the introduction of digital music library through Apple’s iTunes. With Spotify and Apple Music leading the charge and giving the listener the ability to instantly devour an array of music genres and artists through a single subscription service, music streaming services (accounting for 50% of total recorded music revenues in 2017) has become the preference of most consumers looking to broaden their musical horizons or just get the song that their favorite artist released last week.

THE EVOLUTION OF MUSIC CONSUMPTION – THE TIMELINE

1877

Thomas Edison invents a device to record and play music on. The Phonograph.

1887

Emile Berliner invented the Gramophone, the invention to record on flat discs (The Record)

1948

The first LP is invented and was also known as the album.

1963

Cassette Tapes become the most popular form of music media and it’s the mobility factor made music portable.

1982

The first CD (Compact Disc) ever made was ABBA’s ‘The Visitors’ album.

1997

The first Mp3 player is released.

June 9th, 1999

NAPSTER is invented, developing the idea of free online music sharing and leading to a huge drop in music recording sales.

2001

NAPSTER is shutdown through a court order.

APPLE introduces the iPod

Streaming services like SPOTIFY begin to pop up giving way to the modern-day streaming music service

2003

iTunes and the advent of the digital music library managed from your computer come to market.

ACCESS BEFORE OWNERSHIP

With the introduction of streaming technology and services by Pandora, Rhapsody, Spotify and Apple Music, music consumers now had the ability to gain access to multiple artists all at once and for one low price per month.  Though some consumers still preferred the music quality of the CD, it was only a matter of time before streaming music became the popular choice.  Physical formats of music consumption like the CD were officially out and digital music was the dominant form.

Record companies could no longer work outside the system and fight the digital age as it cost the industry millions of dollars yearly, so over the next decade, they began to work alongside these digital streaming services building the systems and infrastructure that facilitate the authorizing of over 380 digital music services and more than 40 million tracks.  In 2016, the music industry saw its first increase in revenue by 5.9% after 15 straight years of loss or about 40% of the industry’s revenue.

So the industry as a whole is on the up and up, but It is important to note here that very little of the money that record companies receive for the digital downloads make it to the actual artists themselves. In the current business model, the label takes about 70 percent of the purchase price and this leaves the artist with only pennies from each download.

RECORDING ARTISTS COMPENSATION ISSUES EXTEND BEYOND THE RECORD

‘Access’ is also the prevailing issue when it comes to the live performance sector of the music industry’s business model but in a very different way. Still, from both the sales of their recorded music and the ticket sales to their live performances, artists are not receiving the compensation due to the creative force behind what are now big-name brands created by and profited off of by the record companies alone.

But if it is the streaming service technology and the easy access to the music keeping artists from their due on the recorded music side of the industry, what are the major industry issues and technologies that are keeping them from gaining money deserved from their concerts and tours and other live performances?

SPOTLIGHT ON THE LIVE MUSIC TICKETING INDUSTRY

The secondary market is the issue that is plaguing the current live ticketing industry. More specifically, the bot technology that is created to buy up what is usually 60% of the tickets to any given live performance. These tickets, which are usually priced on the low side by the primary markets for organizers and artists to maximize attendance of their target audience are quickly bought by secondary market resellers (with this bot technology) and then sold for sometimes triple or quadruple the original ticket price to the fans based on the demand of the artist.  So when tickets are bought and then resold at astronomical prices, only the companies and individuals (you call them scalpers) that comprise that secondary market sees the profit. Once again, the artist (and now the fans of the artists) are the ones that lose.

Both technology and legislation have been created to try to correct the fundamental issues at the heart of this industry, but both methods have fallen short of truly getting at the root of the problem.

BLOCKCHAIN TECHNOLOGY CAN SAVE THE TICKETING INDUSTRY

There is a bright spot on the horizon for artists (and fans) in regard to the issues plaguing the live concert ticketing industry and that bright spot is a new technology that has seen a recent rise in popularity across multiple business sectors called a blockchain.

By allowing digital information to be distributed but not copied, blockchain technology is the backbone of a new type of internet. Originally devised for the digital currency, Bitcoin, the creators quickly found potential uses for the technology across many sectors.

Yellowheart is a start-up company out of New York City that is building a brand new ticket-selling protocol, harnessed by blockchain technology and specifically geared to control end-to-end ticketing, solving an issue that artists and ticketing providers have battled for years while enabling fans to buy the best tickets at face value.

In a recent interview with Billboard magazine, Yellowheart CEO Josh Katz explained how this technology is the key to YellowHeart’s success.

“The plague of the scalping industry is something I’ve talked to artists and friends about for years, and with the unprecedented growth of this underground system, we knew it was time to find a real solution,” he explains. “While technology and secondary ticketing sites are to blame for the growth of scalpers, we believe that technology is also our solution. Blockchain offers us the unique ability to track the entire ticketing lifecycle, which means the tickets end up in the hands of the fans, and no one else.”

Billboard went on to report that YellowHeart is just the latest startup to target the secondary market. London-based live ticketing company Dice, which recently partnered with Primavera Sound, and San Francisco-based online ticket exchange Lyte are also working on technology to take on the secondary markets and get the creative artists behind these live events the revenue percentages that they deserve.

CONCLUSION

Whether it be the revenues allocated from the digital sales of their music or the cash streams created by the sales of their most recent tour, artists and creatives are getting the short end of the stick with the current systems and technology created by the live streaming industry and the record labels to correctly and fairly compensate each for the value that they add to their label or service.

The artist and the music deserve their due and, though it is with the use and through the creation of technology that the music industry’s inequalities for artists were created, it seems that it is technology-driven platforms like YellowHeart and its use of the blockchain open ledger that give artists and investors the most hope of seeing the systems change and their true value upheld.

____________________________________________________________________

Josh Katz is the Founder and CEO of YellowHeart. Founded in 2018, YellowHeart is the first socially responsible live event ticketing platform. The YellowHeart platform is autonomous, fully decentralized and runs on public a Blockchain – which enables artists and teams to identify, market and sell directly to their fans. Josh is also the Founder of El Media Group (EMG). Established in 2005, EMG is the premier subscription music provider for business, servicing over 5000 of the premier luxury brands in hospitality, food and beverage, airports, casinos, and retail. From 1996 – 2004 Josh worked within the music industry spending time at Arista Records, Jive Records and BMG Entertainment. Josh was responsible and assisted in the launch, development and marketing for many of the biggest stars in music today. Artists include Britney Spears, Buddy Guy, Gwen Stefani/ No Doubt and many more.

logistics

Global Trade’s Annual Logistics Planning Guide Reveals the Year’s Top Trends

Sometimes buying your business into the latest trends isn’t the best idea. Saddled with high costs and incompatible programs, trendy new technology can often make business processes more difficult for your business, not less. But there are some industries where the latest really can be the greatest, and one of those industries is the logistics industry.

Let’s face it: Logistics make the world go round. Whether it’s shipping perishables to community markets or lifesaving machinery to medical clinics, there’s a lot riding on the shoulders of logistics providers. That’s why it often pays to rely on cutting-edge technology. From tracking and tracing to locating items in your warehouse, new technology can often get the job done faster and more accurately. Plus, with the growing e-commerce market, logistics is more important than ever before as businesses push to get their products into customers’ hands at the speed of retailers such as Amazon.

So, what’s on the horizon for the logistics industry this coming year? Here’s what’s on our radar—and should be on yours—for the best (and one troublesome) new innovations and trends in logistics in 2020.

LOGISTICS IT

When it comes to logistics, information technology (IT) may arguably be the most important innovation of 2020. That’s because without a solid tracking system in place you’re not only causing potential backlogs for your workers, but you could be causing frustration for your clients, too. After all, if your customer can’t see where their merchandise is in the supply chain, they may bring their business to someone else who can. This is where an excellent Warehouse Management System (WMS) comes in. Using RFID and GPS, warehouse management systems can now monitor and trace every piece of inventory in your warehouse, providing real-time data to both you and your customer.

Other systems expected to be used with increased frequency in the new year include order entry systems and transportation management systems (TMS).

But logistics IT isn’t just what the customer sees, or even what your employees interact with. It goes well beyond that. Logistics IT also encompasses the back end of your IT solutions—not just the IT product itself but also the customer support that goes along with it.

We all know the logistics industry doesn’t just run from nine to five. When there’s a problem like a software bug or outage, is your IT provider available to offer technical support when you need it? Does your provider strive to make software updates that are meaningful to your business, and that integrate seamlessly into your other systems? Does your provider notify you when there are new versions of your system that could benefit your business? These are all signs of a good IT provider—a trend you definitely don’t want to miss the boat (or train, plane or truck!) on.

Logistics providers are using the latest technology, such as Collaborative Planning, Forecasting and Replenishment (CPFR) and Vendor Managed Inventory (VMI), to satisfy ever-changing customer requirements. DHL Express introduced a fresh TC55 technology that works on the Android platform and is simple to use, as well as the navigation skills in the global positioning system (GPS).

ARTIFICIAL INTELLIGENCE AND MACHINE LEARNING

Artificial intelligence, or AI, is another way technology is streamlining the logistics industry. Currently, the biggest benefit of AI is arguably its ability to automate many of the processes logistics providers provide every day, including repetitive tasks that exhaust human capital and don’t challenge workers. Though many workers worry that AI will someday replace human workers, currently the technology is actually assisting them.

Another use for AI in the logistics industry relates to the driving of vehicles. As many are aware, initiatives from companies like Google have in recent years invested time and resources into developing self-driving cars, i.e. autonomous vehicles. These vehicles may be manned by a human driver, but they allow the driver to take breaks from driving while still traveling. This in turn gets deliveries to their destinations quicker, a fact that is projected to save logistics providers a lot of money. In fact, according to Mckinsey, autonomous vehicles could save logistics providers up to 45 percent, a savings providers can then pass along to their clients. These savings could then be passed to the consumer in the form of lower prices or lower shipping rates.

ENVIRONMENTALLY CONSCIOUS LOGISTICS

With many seaports developing green initiatives and land- and air-based logistics providers initiating a greater push for a reduced carbon footprint, 2020 is set to be a big year for reducing carbon emissions. Some land-based initiatives include more efficient route mapping, video conferencing and net-zero emissions.

Route mapping works by eliminating excess travel on longer routes. The idea is that a more direct route cuts fuel waste as well as carbon emissions. Video conferencing saves both money and the need for travel to meetings. As for net zero emissions, many logistics providers are investing in low or zero-emission vehicles and alternative fuels that emit less carbon into the air.

Logistics companies with warehousing services are also increasing their push toward a lower carbon footprint, using sustainable packaging and ramping up recycling efforts with the packing, shipping and packaging of products.

Maritime initiatives include the restoration and protection of wetlands as well as the planting of trees at some ports. Strategies also include the use of more efficient photosensitive lighting, such as the switch to LED lighting. Some ports have even switched over to the use of electric equipment instead of diesel fuel equipment, the establishment of fuel efficient requirements for ships which frequent the port and much more.

BLOCKCHAIN

If you’re in the logistics world, you’ve likely been hearing about blockchain for several years now. But what is it? Simply put, blockchain is a way of recording data which cannot be altered, using a technology called cryptology. Blockchain data is nearly unchangeable. The “chain” in blockchain refers to the chain of messages that originate from a single entry. To edit the chain, all members who posted to the chain must be willing to alter their own data to support the potentially edited data. This reduces the risk of that data being falsified or otherwise compromised along the way.

Blockchain data can be used to do everything from order tracking to payment issues. Blockchain also streamlines the way we communicate, reducing the need for time-consuming paperwork. Blockchain works in real-time, so shippers can trace every detail of their shipment as it progresses and make necessary adjustments to their route and load temperatures as needed. This can save time and money, preventing delays or rejected shipments.

Blockchain can also aid in financial decisions regarding fleet vehicles. Similar to a Carfax report, blockchain can show whether a pre-owned logistics vehicle has been maintained as well as the previous owner claims, and can help the potential buyer make decisions that could cost them—or save them—significantly down both the literal and figurative roads.

Indeed, blockchain has become so big that an organization has been founded to monitor the industry. The Blockchain in Transport Alliance, or BiTa, was founded to help advance the Bitchain industry, developing rules and regulations and providing education for new and veteran Bitchain users. The organization already boasts an impressive member list, including representatives of UPS and FedEx.

TECHNOMAX

In the maritime sector of the logistics industry, one revolutionary service that is “making waves” is TechnoMax, or TMX. TechnoMax works to streamline maritime operations by working with AI and the Internet of Things (IoT). The system provides risk and compliance data, app development, infrastructure development and data management. Some of TechnoMax’s capabilities include monitoring a ship’s emissions, analyzing cargo information and guiding navigation.

TRADE TARIFFS

Now for some bad news. With trade deals between the United States and China again delayed, there remains a lot of uncertainty among retailers and manufacturers. Though there is no crystal ball to predict the future or what it holds for these industries, the potential for raised prices on goods is of big concern. Price increases would inevitably be passed down to consumers, who could cut out or cut back on goods, causing sales to plummet. This could in turn negatively impact the logistics industry, as fewer products will be warehoused and transported.

For now, the industry seems to be holding its own, with some businesses preparing for the looming tariffs by shipping larger amounts now to avoid elevated costs later. Whether this bulking up will cause a dramatic drop in shipments in the first few months of 2020 remains to be seen.

LOOKING TO THE FUTURE

All things considered, 2020 seems to be gearing up to be a great year for the logistics industry, with many new technological and environmental advances on the horizon. From AI to blockchain, the industry is poised to become more efficient than ever, saving providers money which they can pass along to their clients, and in turn potentially to the consumer.

Even with the potential for steep tariffs on China (and vice versa) on the horizon, these positive advances should still make an impact on the industry in the coming year and decade.

market

Despite the Name, the Refrigerated Container Market is Red Hot, Spurring Industry Moves

The global shipping containers market is poised to experience significant market valuation and robust growth through 2025, according to industry research published last year. Sorry about the temperature mix you are about to withstand, but the hottest segment of that market in that study was refrigerated containers, a.k.a. reefer.

Be they 20-foot, 40-foot or even higher cubes, “reefer containers are projected to be the fastest-growing segment in the product type category during the forecast period,” which was 2017-2025 for Persistence Market Research. (See https://www.persistencemarketresearch.com/market-research/shipping-containers-market.asp.)

The Compound Annual Growth Rate (CAGR) for the period is forecast by PMR to be 10.2 percent for the reefer segment, with the 20- and 40-foot sub segments expected to push the positive growth. It’s interesting to note that this factoid was part of a report that more prominently played up the predicted 8.6 percent CAGR for the dry container segment.

That said (or, more accurately, written), it is telling that PMR expects the overall container market to register a “robust” CAGR of 8.3 percent throughout the eight-year period, even with the forecast of a slowing global economy in 2020.

“The growth of the shipping containers at a global level is pushed by the growth in the economy, rising seaborne trade, increasing demand for highly efficient and superior capacity shipping containers, growth in sales of specialized shipping containers by department of defense and rising trend of increasing use of remote container management (RCM) solutions,” PMR finds.

There have been anecdotal indications of the reefer market’s continued growth. Universal Africa Lines (UAL), a conventional ocean transportation carrier that specializes in handling project cargo, breakbulk and containers, boasts a fleet of more than 4,000 containers including reefers, high cubes, open tops and flat racks with the ability to provide a multitude of shipping options including door-to-door service. Last summer, UAL announced its call at Port of Houston’s City Docks as part of its U.S. Gulf/Mexico to West Africa liner service.

Port of Houston was attractive to UAL due to the available dedicated laydown area for project cargoes and berth availability, both of which provided added flexibility to the carrier’s multipurpose fleet.

Cogoport, a leading digital freight logistics business in India, announced in July 2019 the launch of reefer cargo services to and from destinations around the globe. “We are meeting significant demand for reefer exports to North America, Europe, Asia and the Middle East, and to those importing refrigerated cargoes–enabling SME [small-to-medium enterprise] shippers all over India to deliver better productivity, service and profitability when moving their perishable cargoes,” said Cogoport CEO and founder Purnendu Shekhar at the time.

India has experienced “rapid and sustained growth in refrigerated exports during the past decade with commodities like fish, vegetables, fruit and nuts, meat, pharmaceuticals and chemicals driving demand for reefer import and export services,” explained Shekhar’s company in a press release.

“We have had a great experience working with Cogoport, moving onions to different corners of the world–saving us time and budget,” says Ankit Begwani, CEO and founder of BegwaniGlobal. “Like many other SMEs, we are also seeing huge demand for shipping of perishable cargoes, not least for fruit and vegetable exports to Malaysia and Dubai. This requires high operational output, optimization of shipments and customer satisfaction for delivering goods on time. Every cent matters to every SME business, and Cogoport has demonstrated that it can help deliver that value with better rates, better margins and better visibility.”

The reefer demand is not going one way in India, where the rise of the middle class has created a greater desire for refrigerated imports, particularly from Germany, South Korea and Russia, according to the advisory from Cogoport, which is headquartered in Mumbai and has offices in Hong Kong and the Netherlands.

Perhaps the greatest indication of reefer’s rise comes in the form of technological advances that different industry players seem to announce almost daily.

Miramar, Florida-based Wireless Maritime Services (WMS), the largest wireless network operator at sea, and Globe Tracker, the fastest growing provider of global supply chain IoT visibility for cold-chain, announced their partnership in November to bring real-time reefer monitoring to Seaboard Marine, the largest marine cargo shipping line in Central, South America and the Caribbean.

Under the multi-year, multi-ship agreement, Seaboard Marine becomes the world’s first container ocean line to implement a truly portable, fully 24/7 monitored, 4G LTE based private cellular and integrated satellite communication network for containers on vessels. The innovation and expertise from WMS and Denmark-based Globe Tracker—whose North American headquarters are in Sarasota, Florida—results in “a novel vessel network that is seamless, interoperable, and provides end-to-end enhanced visibility and real-time connectivity, both in the cloud and on the vessel at sea,” according to the companies.

They add that Seaboard Marine also becomes the world’s first ocean line to implement full IoT visibility across their fleet of intermodal assets, including reefers, gensets, chassis and vessels—all on a single integrated easy to use platform.

“By IoT equipping our Controlled Atmosphere (CA) reefer fleet and other critical assets, we are well-positioned to provide more responsive cold chain services for our trade lanes, which facilitates complex processes such as USDA cold treatment,” noted Seaboard Marine Vice President Piero Buitano in the announcement.

“The vessel system also provides real-time alerts to crew technicians, so problems can be quickly detected and corrected, if necessary, thereby increasing temperature compliance,” added Frederick Urbina, Seaboard’s Refrigerated Services manager.

Noted Pramod Arora, WMS president and CEO, of Seaboard Marine: “They have been a valuable partner in pushing us to innovate first-to-market solutions that we are now deploying within their fleet. We look forward to continuing to partner with Seaboard Marine for future innovations.”

Globe Tracker had already started the partnering mojo in September, when it announced having teamed with Woodcliff Lake, New Jersey-based SeaCube Containers, a global leader in refrigerated shipping containers and gensets, to provide IoT-enabled gensets for Ocean Network Express (ONE), the sixth-largest shipping line in the world.

The cutting-edge GT technology provides cellular communication of operational parameters from gensets, including fuel level, battery voltage, events and alarms and even remote shut-off capability for certain genset brands.

“The growing demand for greater tracking, transparency, security, diagnostics and asset fleet management using smart technology will continue to be a key driver for leased solutions,” said Greg Tuthill, chief commercial officer at SeaCube, in the joint announcement. “By partnering with Globe Tracker, we will continue to enhance our leading-edge technology solutions and expand our commitment to the intermodal industry by providing smart asset technology leased products.”

John Harnett, senior director Marine and Intermodal at Globe Tracker, added he was pleased to be working with SeaCube “in providing this best-in-class genset solution to ONE. In genset telematics, we are the only provider integrated into the micro-controller of two out of the three leading brands in North America. This provides ONE with the most robust amount of data and assists in setting maintenance intervals, reducing maintenance costs, extending asset life, monitoring fuel consumption and having full operational visibility of their genset assets.”

Palm Beach Gardens, Florida-based Carrier Transicold, which is under the umbrella of Farmington, Connecticut’s United Technologies Corp., used the Nov. 5-7  Intermodal Europe 2019 in Hamburg, Germany, to unveil its new TripLINK digital tool that is designed to make shipping perishables simple, transparent and reliable worldwide.

The tool digitally connects customers to updates on their assets, including vital cargo health information. TripLINK software securely gathers and analyzes machine and cargo-health data that it wirelessly obtains from telematics hardware in the refrigerated container and the micro controller.

“Our aim in unveiling these new digital solutions is to bring to our customers convenience, visibility and actionable intelligence, ultimately to derive more savings for them,” said Kartik Kumar, vice president & general manager, Carrier Global Container Refrigeration. “At Carrier, the future is now. Through leveraging the latest cutting-edge technology, especially on the digital front, we provide our customers practical solutions they only once dreamed possible.”

Also part of a new suite of digital solutions is the Container eCommerce portal, which began supporting customers in Southeast Asia in mid-November. The portal put on view Carrier Transicold’s full catalog of refrigerated container unit parts and allowed orders to be placed easily.

Also on display in Germany was Carrier’s new Micro-Link 5 controller, which is billed as the industry’s first wireless connectivity enabled refrigerated container unit controller that is also equipped with advanced diagnostics, allowing service technicians to save time and money by reducing container moves and the need to restack units to retrieve critical data or conduct troubleshooting. And a new DataLINE Connect mobile app allows customers to work directly with a refrigerated unit equipped to receive data via a smartphone or tablet.

Staying in Europe, but traveling back the previous month to October 2019, CEVA Logistics opened a new integrated, end-to-end cold chain facility at DP World London Gateway in Ashby-de-la-Zouch, UK.

More than 50 customers, including representatives of French container transportation and shipping company CMA CGM, attended the unveiling of The Chill Hub, which CEVA describes as a state-of-the-art facility with dedicated areas for handling pharmaceuticals, fresh and frozen produce, beverage products and flowers as well as other goods requiring temperature specific handling and storage.

The location is considered strategic because a deep-sea port is on the same site as the logistics park where The Chill Hub rests. London Gateway, which has links to more than 110 ports in 60 different countries, is considered the UK’s No. 1 reefer hub.

“With its excellent road and rail connections, our best in class warehouse management systems and direct port access, the Chill Hub is a powerful demonstration of the synergies between CEVA Logistics and CMA CGM,” said Nicolas Sartini, CEO of Baar, Switzerland-based CEVA Logistics, which has offices worldwide, including all over North America.

“This state-of-the-art facility will enable us to offer a unique value proposition to our shipper customers,” Sartini continued, “providing a faster delivery of goods through an energy-efficient building. We can also give full visibility and control of the entire inbound operation through The Chill Hub.”

CargoSmart Limited—which leverages technologies including artificial intelligence, Internet of Things (IoT) and blockchain, as well as a deep understanding of ocean shipping for its transportation and logistics clients—announced in November its new Connected Reefer Solution. The one-stop, AI and IoT-enabled reefer cargo management system for ocean carriers and shippers features end-to-end information transparency, including enhanced reefer container Pre-Trip Inspection (PTI) support, real-time container status monitoring updates, and predictive cargo arrival status.

“CargoSmart Connected Reefer Solution provides users with a one-stop, hassle-free solution that seamlessly integrates IoT-enabled containers with cloud-based monitoring software and APIs [application programming interfaces],” said Lionel Louie, CargoSmart’s chief commercial officer, in the announcement. “With the cutting-edge technologies and the vast volume of data collected, CargoSmart Connected Reefer Solution brings an unprecedented level of real-time cargo status visibility, empowers more accurate and responsive planning, and significantly drives down operation costs for carriers and shippers.”

Louie was not blowing smoke. CargoSmart reefer management was the winner of the Lloyd’s List 2019 “Excellence in Supply Chain Management” Asia Pacific and the 2019 TIBCO Trailblazer Visionary awards. And the solution received this praise from Li Dong, general manager of COSCO Shipping’s Equipment Management Center: “In addition to heightened visibility to reefer cargo status, COSCO Shipping replaced manual PTI with AI-enabled PTI, bringing significant enhancements in cost-efficiency savings as well as reefer management capabilities.”