Bill Rothko, member of the Royal Academy of Engineering: Blockchain technology must be integrated with regulation

Source: Sina Finance

Editor's Note: The original title was "Bill Rothko, University of Oxford: Blockchain Technology Should Blend with Regulation"

Sina Finance News On December 5, the "Hainan Free Trade Port Digital Economy and Blockchain International Cooperation Forum" hosted by the Hainan Provincial Department of Industry and Information Technology and hosted by Hainan Ecological Software Park and Huobi China was held. Bill Rothko, Director of the Blockchain Research Center at Oxford University, a member of the Royal Academy of Engineering and a member of the European Academy of Sciences, gave a keynote speech "The Opportunities and Challenges of Blockchain Applications."

Bill Rothko said that he has come to Hainan seven times in the past 15 months. At present, the world is facing the same opportunities and challenges. In Hainan, he has found more opportunities for cooperation.

In recent years, Bill Rothko has been studying the opportunities and challenges that China faces in the blockchain, and what role does the blockchain have for government departments. He said that in the future, in many countries, the value of blockchain will be known to the public and become a consensus. Many countries have different standards, and many industries are pushing the blockchain to the forefront. But no matter what industry, the blockchain faces certain challenges.

Currently, he believes that blockchain application and development faces seven challenges:

First, in terms of engineering, the blockchain is facing some problems, such as bitcoin has some obstacles, and it also faces security issues. How to use the blockchain technology to integrate local resources and improve the use efficiency is a matter of how to transport resources from one point to another. Blockchain must ensure openness and fairness. How to ensure privacy is important. "The disadvantages of the blockchain itself need to be ruled out. We call it inertia. How can we take advantage of the blockchain and abandon its disadvantages. How to better encrypt and integrate, the blockchain is a double-edged sword, with both advantages There are also disadvantages. "The outdated information of the blockchain needs to be removed in time to keep the information updated, so as to avoid the interference of stale and outdated data, and to ensure the security and integrity of related information.

Second, when he first researched the blockchain, Bill Rothko called it a rat's nest, which stems from the excessive uncertainty of the blockchain, the lack of adequate supervision, and the inability to trace a lot of information. . He said that this is a disadvantage of the blockchain, which will also reduce the trust of users. How to remove this anonymity, Bill Rothko believes that it is necessary to perform a certain rating, to credit people or to reduce the impact on overall credit, so as to ensure that the work of the blockchain can be made public and credible To avoid criminal situations, such as illegal assets.

Third, the challenge of cryptocurrency is a mathematical problem, not a social problem. This problem is inherent in the sequence itself. Generally speaking, blockchain and encrypted digital currencies work well together. Encrypted digital currencies benefit greatly from the blockchain and have great convenience. Bill Roscoe said, "We have a situation where the identification of encrypted digital currencies is unstable on the blockchain. Crypto digital currencies are connected to real money, or the two need to be separated, such as what uses should encrypted digital currencies be used for? . "

Fourth, efficiency issues need to establish some agreements, and also need to determine the stability of the agreement, can not be arbitrarily changed, a large alliance chain is required to jointly determine the agreement quickly.

Fifth, the blockchain problem is also a chicken and egg problem. How to get the first participants in the early application trend of the blockchain, Bill Rothko thinks China has an interesting answer. China has a lot of answers in this regard. How can we ensure that so many people in China rush to the blockchain without breaking the egg? Bill Rothko said that he saw China's efforts to increase the construction of blockchain projects, but also increased the risk of making mistakes.

The sixth is the protection of private information. The establishment of a security system to protect privacy, because the security system involves all aspects, it is almost endless. "First of all, make sure that the data is correct, and then make sure that the data is safe to use. With blockchain technology, you must avoid the manipulation behind it. TEEs are a good solution."

Seventh, it is a regulatory challenge. The use of data is managed. Bill Rothko's point is to apply the use to supervision. When using blockchain, we need to integrate regulation into it and make regulation a part of it. The blockchain itself is not perfect, which is why regulation is needed.

Bill Rothko also said that technology should be integrated with regulation, which could further simplify the regulatory environment. He believes that supervision needs to be made insensitive, but violations will be detected immediately. Through internalization and embedded methods, supervision will be easier, making the blockchain into self-regulation and through consensus. Supervise and implement the fair on the basis of laws and regulations to regulate the operation of the blockchain.