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© 2016 IBM Corporation | 1 BLUE HORIZON Blockchain Day Oslo 2016 http://bluehorizon.network

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© 2016 IBM Corporation | 2 Blue Horizon Speaker Henning Diedrich Blockchain Group @hdiedrich http://bluehorizon.network

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© 2016 IBM Corporation | 3 Blue Horizon Autonomous Processing, Communication and Coordination between the Edge and the Cloud

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© 2016 IBM Corporation | 4

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© 2016 IBM Corporation | 5 Massive Untapped Edge Data Needs Analysis
 Data at the Edge 90% Volume of data created at the edge of IoT that is never captured, analyzed or acted upon. 60% Amount of that data that loses its value within milliseconds of being generated.

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© 2016 IBM Corporation | 6 Analytics at the Edge The  Edge  is  where  the  data  is  generated,  however
 
 ‘Analytics  at  the  Edge’   is  really   ‘as  close  to  the  Edge  as  possible  including  the  Edge’.

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© 2016 IBM Corporation | p As devices become empowered to autonomously  manage their roles and behavior, a democracy of devices will emerge. The blockchain facilitates negotiation and transaction processing between devices. 7 Registration of new device Authentication of remote users Contract to barter power with other appliances Checklist for automobile safety

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© 2016 IBM Corporation | A Truly Decentralized IoT  will require 4 foundational functions 8 • Trustless peer-to-peer messaging • Distributed file-sharing • Autonomous device coordination • Identity

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© 2016 IBM Corporation | 9 • Software Defined Radio (SDR) • 50 megabits/second of data at the edge • volume of data cannot be sent to the cloud
 or real-time analysis => • policy or algorithm-based analysis and/or filtering
 has to be done at the edge. Blue Horizon Proof of Concept Analysing Data at the Edge

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© 2016 IBM Corporation | 10 Terabytes of Data to Experiment With

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© 2016 IBM Corporation | SDR 12H Wide Spectrum Scan NPR FM LTE Aircraft Radio Navigation Satellite Mobile Comm Smart Meters (Power, Water, Gas) ADS-B 11

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© 2016 IBM Corporation | 12 SDR Water and Power Meter Output {Time:2015-09-11T21:07:18.225 SCM:{ID:30969548 Type: 7 Tamper:{Phy:02 Enc:01} Consumption: 8605529 CRC:0xBA97}}! {Time:2015-09-11T21:07:23.657 SCM:{ID:26353424 Type:13 Tamper:{Phy:00 Enc:02} Consumption: 2270 CRC:0x5DAF}}! {Time:2015-09-11T21:07:35.782 SCM:{ID:30971260 Type: 7 Tamper:{Phy:01 Enc:00} Consumption: 1300037 CRC:0x2526}}! {Time:2015-09-11T21:07:37.678 SCM:{ID:30971322 Type: 7 Tamper:{Phy:02 Enc:00} Consumption: 821676 CRC:0xBE72}}! {Time:2015-09-11T21:07:40.177 SCM:{ID:56438625 Type: 7 Tamper:{Phy:02 Enc:02} Consumption: 5542565 CRC:0xD334}}! {Time:2015-09-11T21:07:41.595 SCM:{ID:56443013 Type: 7 Tamper:{Phy:02 Enc:01} Consumption: 781466 CRC:0x811B}}! {Time:2015-09-11T21:07:42.354 SCM:{ID:26353424 Type:13 Tamper:{Phy:00 Enc:02} Consumption: 2270 CRC:0x5DAF}}! {Time:2015-09-11T21:07:42.979 SCM:{ID:30975357 Type: 7 Tamper:{Phy:02 Enc:01} Consumption: 3769334 CRC:0x1886}}! {Time:2015-09-11T21:07:45.688 SCM:{ID:31032332 Type:13 Tamper:{Phy:00 Enc:01} Consumption: 216 CRC:0xD4DF}}" {Time:2015-09-11T21:07:49.125 SCM:{ID:26353424 Type:13 Tamper:{Phy:00 Enc:02} Consumption: 2270 CRC:0x5DAF}}! {Time:2015-09-11T21:07:52.853 SCM:{ID:31032332 Type:13 Tamper:{Phy:00 Enc:01} Consumption: 216 CRC:0xD4DF}}" {Time:2015-09-11T21:07:58.369 SCM:{ID:26353424 Type:13 Tamper:{Phy:00 Enc:02} Consumption: 2270 CRC:0x5DAF}}

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© 2016 IBM Corporation | 13 SDR Flight Data

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© 2016 IBM Corporation | 14 ADS-B

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© 2016 IBM Corporation | 15 • Device — a Raspberry Pi capable of running a docker container • Device Contract — an ethereum smart contract that represents the device in the blockchain • Token Bank Contract — a smart contact that holds token balances for ecosystem participants • Device Registry — a smart contract that knows about all device contracts and characteristics of the devices represented by those contracts • Glensung — a producer of docker containers and a consumer of docker capable devices for sale Personas

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© 2016 IBM Corporation | 16 PoC IoT Infrastructure Big Picture CTR CTR SDR send SDR data Cloud Mesos VS UPD Escrow Service Contracting Server Web Server Glensung Corporate HQ Data Center offer & accept read 
 SDR data pay pay open escrow & close escrow offer & accept read 
 SDR data CTR CTR SDR Web Browser

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© 2016 IBM Corporation | 17 
 INITIALIZATION - BOOTSTRAP Token Bank (contract) Device Registry (contract) RPi Device (contract) Ethereum Glensung RPi Device Install device contract ( ethereum account ) Register device ( contract address, device characteristics ) contract address Mint some tokens Device is available to run containers Associate Token Bank Check my token balance token balance write read

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© 2016 IBM Corporation | 
 INITIALIZATION - BOOTSTRAP 18 Token Bank (contract) Device Registry (contract) RPi Device (contract) Ethereum Glensung RPi Device Create escrow proposal (tokens) Find a device Make a proposal to run a container (container pointer, number of tokens for payment) Poll for proposal Proposal contract address Download container Vote to accept proposal Poll for acceptance Accepted by device Vote to accept proposal Poll for acceptance Proposer accepted Proposal complete Tokens transfer to device owner Device ready Execute container Phone home Execution complete write read

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© 2016 IBM Corporation | 19 SDR Flight Data

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© 2016 IBM Corporation | 20 Network Speed Test

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© 2016 IBM Corporation | 21

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© 2016 IBM Corporation | 22 Spectrum Analysis

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© 2016 IBM Corporation | 23 Spectrum Analysis

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© 2016 IBM Corporation | 24 Blockchain Analysis

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© 2016 IBM Corporation | 25 Blockchain Analysis

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© 2016 IBM Corporation | Thank You! 26 Take part in the Blue Horizon experiment: http://bluehorizon.network ! Blue Horizon talk – MTN @ devcon1: https://www.youtube.com/watch?v=_kTajbcAd9E