GNOSIS provides an open platform for businesses to create their own prediction market applications on the Ethereum protocol, and they spent the last few months right here at betahaus! We sat down with Nadja, the Brand & Content Strategist for GNOSIS, to get some clarity around some frequently asked questions in blockchain like: how secure is blockchain, what's the difference between bitcoin and ethereum, and what is the future of blockchain?
Did you already read Part 1? Here's the rest of our conversation on blockchain.
"To understand the security risks of blockchain, it's important to understand the difference between public and private blockchains. Bitcoin relies on a public blockchain where anyone can aggregate and publish those transactions, provided they can show that a sufficient amount of effort went into doing so, which they can demonstrate by solving a difficult cryptographic puzzle. The process by which a network of computers confirms the record of previously verified transactions and verifies new transactions is known as a consensus protocol.
This decentralization and relative freedom of access has led to some consequences: because the consensus protocol is energy consuming, the majority of users operate in countries with cheap electricity, leading to network centralization and the possibility of collusion, and making the network vulnerable to changes in policy on electricity subsidies. This has led to an increased interest in private blockchains, which could ultimately give businesses a greater degree of control.
Private blockchains give their operators control over who can read the ledger of verified transactions, who can submit transactions, and who can verify them. They enable faster transactions, and some even allow for transaction reversal.
Thus, systems requiring fast transactions, the possibility of transaction reversal, and central control over transaction verification will be better suited for private blockchains, while those that benefit from widespread participation, transparency, and third-party verification will flourish on a public blockchain.
Apart from that, you're kind of personally responsible for securely storing your funds on the blockchain. Ownership is demonstrated through the use of a private key (a long number generated by an algorithm designed to provide a random and unique output) that is linked to a wallet or payment. Like any data, these keys can be stolen or lost, just like cash. However, these thefts are not a failure of the security of blockchain, but of personal security — they're the result of storing a private key insecurely.
Bitcoin or Ethereum currently provides no recourse for those who have lost their private keys; similarly, stolen bitcoins are nearly impossible to recover, as transactions submitted with stolen keys appear to a verifying node to be indistinguishable from legitimate transactions."
"Contrary to the Bitcoin blockchain, the Ethereum blockchain uses smart contracts that trigger transactions automatically when certain pre-defined conditions are met. Smart contracts are basically a piece of code running on top of a blockchain network. If and when all parties to the smart contract fulfill the pre-defined arbitrary rules, the smart contract will auto execute the transaction. These smart contracts aim to provide transaction security superior to traditional contract law and reduce transaction costs of coordination and enforcement.
Smart contracts can be used for simple economic transactions like sending money from A to B. They can also be used for registering any kind of ownership and property rights like land registries and intellectual property, or managing smart access control for the sharing economy. Apart from that, smart contracts can be used for more complex transactions like governing a group of people that share the same interests and goals (decentralized autonomous organizations, or 'DAOs')."
"I see interesting applications of blockchain in the energy sector, identity management, or real estate.
In the energy sector, blockchain technology could be used to execute energy supply transactions, but it could further provide the basis for metering, billing, and clearing processes. Other potential applications include documenting ownership, asset management, origin guarantees, emission allowances, and renewable energy certificates.
If we were to use blockchain for identity management, people would only need to provide the bare minimum (date of birth, for example) to prove their identities.
The application possibilities in real estate are huge as well: the average homeowner sells his or her home every five to seven years, and the average person will move nearly 12 times during his or her lifetime. With such movement, blockchain could certainly be of use in the real estate market. It would expedite home sales by quickly verifying finances, would reduce fraud thanks to its encryption, and would offer transparency throughout the entire selling and purchasing process.
I see the future of blockchain in so-called decentralized governance. Blockchain can disrupt traditional governance structures of all kinds, and challenge the way we currently think about governance. Instead of a hierarchical structure managed by a set of humans interacting in person and controlling property via the legal system, an organization that is governed in a decentralized way involves a set of people interacting with each other according to a protocol specified in code and enforced on the blockchain.
Imagine a shareholder-owned corporation and transplant it entirely on the blockchain: a long-running blockchain-based contract maintains a record of each individual’s holdings of their shares, and on-blockchain voting would allow the shareholders to select the positions of the board of directors and the employees."
The 10 Years in beta party was also the official opening of betahaus | Neukölln. Spring was the perfect time for our new project to start growing. The Club Lounge started filling, amazing new teams joined the community such as LAUDO, Obst Digital, Wonderwerk, Trybe and The Zeitsprung Project. Our Gil became the Lord of the house, giving hugs to everybody, fixing all kinds of problems in the ‘haus and keeping it run smoothly with the rest of the Front Desk team. This was also the month when we launched our beloved weekly yoga classes guided by our dear Cynthia from Arrive Yoga.
" People matter! Community was always what we were all about. ‘’
In June we launched #PeopleInbeta - our monthly blog post series in which our Content Manager - Vihra interviewed teams and freelancers from the betahaus community to present the variety of creatives we have in ‘haus, to understand their missions and get some useful advice for our audience. We talked on topics such as sustainability (with PlanA) , decentralized digital identity (with JOLOCOM), curated music experiences (with Bespoke Sounds), freelance photography (with Sara Herrlander), full-stack development (with Obst Digital), design (with LAUDO) and much more.
In the summer, we launched a couple of new events in Neukölln like Freelancers, Unite!, The Backyard Sessions and My friend’s BBQ.
Freelancers, Unite! developed as our productive coworking session with freelancers from in and outside the ‘haus. Once a month, we picked an important freelance topic (such as taxes, time-management, etc) and invited experts to give us insights on the topic. We saw so many new faces and had the chance to come back closer to where we started from - the freelance, grassroots culture.
Another event, which started in July (and turned out to be our favourite events) were The Backyard Sessions. Organised by our queen of Neukölln - Robbin – the Backyard Sessions are our creative evenings with live music jams, movie screenings and cocktails.
This last event was hilarious because for quite some time, nobody knew exactly who organised it or invited them. The friend was throwing a BBQ for the community in the garden and this led to all our members joining and staying after for a beer or two with us.
‘’My favourite moment this year was the second friends bbq which was actually cancelled because of the rain forecast. But despite the bad weather, people show up and it turned into a super nice intimate evening with Elizaveta and Paul giving a garden concert.’’ - Robbin (Community Manager, betahaus)
''In July, it was great how the casual after-work BBQ turned into an impromptu acoustic blues jam session with Elizavetta Barsegova and Paul, who have the voice of an angel. Actually, all of the My Friend's BBQ's and Backyard Sessions were AWESOME.’’ - Paige (Head of Marketing, betahaus)
This year we released a new event format in Kreuzberg called ‘’The betaSalon’’. It's an open panel discussion which aims to give stage to important topics and give free speech on them. The fist one we did on the EU elections, last month we talked about changemakers, but our favourite one for this season stays ‘’Mother + Founder’’ where we partnered with FemGems podcast and recorded a live podcast episode for them having Madeleine Gummer von Mohl (betahaus co-founder), Kristine Zeller (co-creater of ooshi period underwear) and Luisa Hoffman on the stage.
Every September, our co-founders take part in the Techfestival. in Copenhagen, spending a few days disconnecting from the daily life and focusing on creating a better, more human-centered tech future. This year the think tank which included our co-founders Madeleine and Max came up with the TechPledge. The Tech Pledge was made to emphasize the need for a new direction in tech. Similar to the Hippocratic oath for doctors, the Tech Pledge is a promise to make tech a force for good and ensure responsible and sustainable tech leadership. It’s a commitment to driving a new direction in technology.
One of the most exciting projects for betahausX this year (which is also continuing in 2020) is their new startup challenge called The Werder Lab - a global startup competition that aims to reimagine the way clubs like Werder work with athletes, fans and partners.
This year couldn’t end without us having our favourite events - the end-of-the-year holiday party and the BETAPITCH Global Finals. On the 6th of December we saw the 9 finalists of the regional BETAPITCH competitions pitching in front of our jury. Congrats to Troy from Hamburg for winning the big prize.
We finished the year at our Holiday Party celebrating anything and everything at betahaus | Neukölln together with our members, friends of friends and our favourite artists from Passiflora LIVE, Tapete and Kotoe.
Thank you for being with us in 2019. It's been a crazy big year for us and it wouldn't been possible without your support, trust and the hard work of our amazing team. Have an amazing holiday time and we'll see you again in 2020.