gAto ThInkInG – BlockChain 2.0 contracts So the BlockChain is getting bigger, we now can store digital contracts. DC – Digital Contracts are nothing more than programs that can be executed. The beauty of these DC is they are encrypted with a private key of a Wallet and linked to a transaction.
So nobody can see what one contract is from another, oh did I mention that these programs could be a sort of DDOS- Digital Denial Of Service attack – Millions of transactions to one financial center all legit all at one time A bit weirder and different than HST High Speed Trading. – Wait a minute, so these DC-Digital Contracts stored in the BlockChain can add millions of these programs on the BlockChain and launch them with any trigger we choose, maybe the price of corn, gold, stocks or a date and Time.
Now you can see that a DC can do all sorts of things, think about it!!! You log into your bank account and you can check the balance and send out checks digitally. You can send your monthly checks for utilities and if the price of gold goes to a set value – your DC can automatically execute a buy order — all via a simple DC in any blockchain Bitcoin, LiteCoin even DogeCoin. We currently have lot’s of digital coins and they all have BlockChains – Bankers want to used closed BlockChain , were only a select few Banks own nodes.
These DC-Digital Contract stored in the block chain can now be triggered/executed via a date, a market condition or most any news event. As you can see this new technology of machine-to-machine consensus will give the new breed of financial people developing new financial tools a new way to think and execute any financial tool on the Internet. The BlockChain is just one part of the story that can activate anything electronically. These new BlockChain tool don’t lie or cheat, they can be verified by anyone but only controlled by the person with the right private key to decode that DC in the BlockChain.
The power and the value of the BlockChain is now more valuable since new contracts with digital gateways like Ripple and Bitcoins and others will reduce the cost of money exchange. Cha-Ching $$ The savings alone to transfer currencies on a worldwide scale makes bankers dream of new revenue streams they can create with these tools that are machine to machine consensus, no middle man to soak in the cost.
The Blockchain PROBLEM 2.0
So now we can have 10,000 new contracts every 10 minutes inserted into any BlockChain, so what’s the problem here. Creating a DC with a transaction of-.02 pennies could trigger thousands or millions or billions of programs and effect million and billions of dollars too.
– let’s call it a large progressive BUY orders of any stock then in a few minutes, hours, days or weeks the DC can simply just turn off, crashing the markets and price except for the people who know when that’s going to happen. They are now in a good position to make a lot of money and almost impossible to trace in the BlockChain, to a wallet, to a transaction, to a geo-location, to a User times thousand or millions of times and events. It can be tracked actually but few understand how simple that part is.
My good friend asked so who checks if these programs can do Harm or Good in the BlockChain- the simple answer is nobody can and that’s the BIG PROBLEM with BlockChain 2.0. Secret Bot’s can now run loose and do all kind of things and as we add better gateways to other digital to human interfaces, the BlockChain 2.0 may be a real problem since today we have over 500 digital currencies each with it’s own BlockChain. Now Bankers want to add new CLOSED BlockChain members only Digital Contracts yes better security but they still have to interface with the real world and that’s how we can track them too. Your BlockChain may be PRIVATE but the contracts have to run in the real world protocols to be of any use.
BlockChain to Internet to digital physical execution of objects – turn off a pipeline damper in an oil refinery or divert a Rail-Road crossing – it can used as a failsafe way that if a person does not send an email to a set addresses to turn off things – things can happen remotely and this is were this problem becomes real big – Remote Digital Bombs and remote digital C&C -Command & Control.
The BlockChain genie is out of the bottle and there’s no turning back. BlockChain to Kinetic is a bigger problem that few have even started to think about the implications of this aspect. Yes there are many great things we can create with this new technology but others will try and uses this new BlockChain system for illegal crimes and that’s what we have to be aware of.
On the one side beware even a Closed System like our favorite bankers want can still be traced back to the source of the BlockChain and their IP addresses and such. The BlockChain and transactions all work the same way with all digital currencies so the other side of the Bitcoins is if you try and cheat this system, it will always point back to you – all BlockChain are not anonymous they are transparent – beware we can track you down too.
That will not stop the bad guys so be careful with these new BlockChain Digital Contracts they could contain a surprise – gAtO OuT.