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      "body": "![](https://steemitimages.com/DQmZrsqQ6P2j2PZuQDs8dVj5yicxYergGBs63zvbR2MeX6M/image.png)\n\nVia https://www.lantah.com\n\nIn April of 2016, the European Union replaced an earlier rule--the Data Protection Directive--with a newer, more comprehensive set of rules. This new document, which is called the General Data Protection Regulation (GDPR), goes live on 27 May 2018.\n \nYou may be wondering why you should care. Anyone doing business with people who live in the European Union will need to meet the Data Privacy requirements of this legislation or receive hefty fines--€20M/$23.5M US or up to 4 percent of annual worldwide turnover [revenue].\n \nWith fines this hefty and regulatory process yet to be fully-ironed out, it comes as a pleasant surprise to many that blockchain will enable heretofore unavailable levels of privacy for those conducting business online. This may be that beacon-on-a-hill that will allow organizations sidestep the dangers of Data leakage, inherent in the traditional Internet financial transactions.\n \nBlockchain technology includes the following benefits:\n \nTransactions are peer-to-peer\nTransactions are encrypted\nTransactions are transparent to parties involved\nTransactions are decentralized, so no hub awaiting a potential hack\nTransactions do not need the sanctioning of 3rd party intermediaries\n \nThis article will discuss some of the basic data privacy rules contained in the GDPR document to give you a better understanding of what lies ahead.\n \nGDPR Data Protection Basics\nUnder GDPR the individual is called the DATA SUBJECT. The data subject’s data includes the following list of information:\n \n“Personal data means any information relating to an identified or identifiable natural person (‘data subject’); an identifiable natural person is one who can be identified, directly or indirectly, in particular by reference to an identifier such as a name, an identification number, location data, an online identifier or to one or more factors specific to the physical, physiological, genetic, mental, economic, cultural or social identity of that natural person.”\n \nAnything required for a standard financial transaction online basically falls into this category.\n \nTo be lawful, any processing of data for the data subject must be by consent.\n \nThat includes the entering in of any contractual agreements. That’s not new but it will have to have clear wording that steps taken in a contract are at the request of the data subject.\n \nA mandatory company controller--data privacy officer DPO--will be required to comply with all GDPR rules to ensure that the rights of the data subject or any natural person are protected.\n \nData-Subject Rights and Blockchain under GDPR\nThe right to erasure - the data subject has the right to request that their data be erased.\nSince blockchain transactions hash and each block is encrypted, erasure becomes unnecessary. With each hash, a transaction is further encrypted.\n \nData portability - A person shall be able to transfer their personal data from one electronic database to another\n \nWith blockchain, people’s information does not have to be stored in a database for future use. Materials and other things are stored, but the only people able to identify parties within a transaction are those making the transaction. Because of the further layer of a smart contract, even the personal identity of those transacting is not necessary.\n \nNo accounting department or Salesforce CRM equivalent is needed.\n \nData protection by design and default - data privacy must be set high at default levels, and both technical and procedural measures must be taken by the controller to make sure that processing lifecycle maximizes security\n\n\nFinal Thoughts\nDoing business on a global scale will be dramatically simplified through the privacy benefits of blockchain. It is telling indeed to see how financial and regulatory institutions are scrambling to find a place in the blockchain ecosystem.\n \nThe fact that IBM, Microsoft, and others are working so diligently to lead this transition should also be a tip-off. It will certainly be informative to watch.\n \n \nSources:\nhttps://gdpr-info.eu",
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      "body": "<html>\n<p><img src=\"https://static.wixstatic.com/media/d4e9c8_adf734286a4f4d1abc1da59dbb67bfc2~mv2_d_2256_1500_s_2.jpeg/v1/fill/w_1226,h_815,al_c,q_85,usm_0.66_1.00_0.01/d4e9c8_adf734286a4f4d1abc1da59dbb67bfc2~mv2_d_2256_1500_s_2.jpeg\" width=\"1226\" height=\"815\"/></p>\n<p><a href=\"https://www.lantah.com/\">https://www.lantah.com</a><br>\nAuthor: <a href=\"https://www.linkedin.com/in/ritamailheau/\">Rita Mailheau</a></p>\n<p>The reason blockchain is so powerful is that it is public. Everyone can access it at any time because it resides on the Internet.</p>\n<p>Further, blockchain assets are distributed across a vast, global ledger.&nbsp;</p>\n<p>When a transaction happens, it posts around the globe on millions of computers at once. That vast and far-flung record—which is time stamped every 10 minutes, produces a new block.&nbsp;</p>\n<p>For accounting purposes, each block produced captures all of the transactions regarding a good or service that have taken place up to that moment of time.</p>\n<p>You now begin the next block in the chain.</p>\n<h3>The Hashing Process</h3>\n<p>The chain of blocks is formed by hashes. All of the input data for the previous block, which includes anything new, gets an algorithm applied to it. That algorithm generates a fixed-sized output encryption which represents this time-stamped block, which may be on the order of &nbsp;256-bytes in length. Input data, though, can be of any size or type:&nbsp;</p>\n<ul>\n  <li>a favorite song [mp4]</li>\n  <li>a book or series of books</li>\n  <li>An image or video</li>\n  <li>even the entire internet</li>\n</ul>\n<p>One way a hash may be used is to seal or tamper-proof a file also called a checksum. That hash can then be used to calculate the authenticity of documents that are posted online. The hash cannot be forged as it is related to the time of its original publication. That same hash cannot be duplicated later on. So if a file that is supposed to have one hash now shows another, you know it has been tampered with. Third party intermediaries are not needed. Blockchain handles each task itself. Because these transactions take place peer-to-peer, the two parties transact without the need for 3rd parties to regulate or act in an intermediary role. Things that intermediaries are ordinarily required for are completely handled by the blockchain:&nbsp;</p>\n<ul>\n  <li>Authentication / Identification</li>\n  <li>Clearing payments / Settling</li>\n  <li>Recordkeeping</li>\n</ul>\n<p>Blockchain tracks all of those functions and is actually more secure than earlier processes because of its decentralized redundancies. Centralized authorities can get hacked. The blockchain ledger consists of millions of decentralized, time-stamped blocks are recorded simultaneously across the globe. Hacking that mesh of recorded information poses a substantially difficult challenge. Last but not least, it’s worth noting that when you transact through Ethereum blockchain, smart contracts cycle through automatically as the transaction executes, ensuring that all prerequisites are met before the next stage of the purchase and final payment take place. For people looking to do business online, you couldn't ask for a better safeguard than the distributed ledger!</p>\n</html>",
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      "body": "<html>\n<p><img src=\"https://static.wixstatic.com/media/d4e9c8_bf40635c6d8c44e6996ad0f92fdc1f6a~mv2.jpeg/v1/fill/w_940,h_529,al_c,q_85/d4e9c8_bf40635c6d8c44e6996ad0f92fdc1f6a~mv2.jpeg\" width=\"940\" height=\"529\"/></p>\n<p><a href=\"https://www.lantah.com\">https://www.lantah.com</a><br>\nAuthor: <a href=\"https://www.linkedin.com/in/keithsteva/\">Keith Steva</a><br>\n<br>\nSome of the big investor types are feeling the need to comment on the recent rise of Bitcoin. Billionaire investor Warren Buffett is one.&nbsp;</p>\n<p><em>“Bitcoin is bubble territory,”</em> he claims of the market for this leading virtual currency. He has also issued a criticism of proposals for applying a value to the cryptocurrency.</p>\n<p>&nbsp;Based on a report by MarketWatch, Buffett presented his views on Bitcoin and the cryptocurrency market during an annual question-and-answer session in Omaha, Nebraska in early October 2017. During his remarks, Buffett claimed that Bitcoin is a “real bubble.”&nbsp;</p>\n<p><em>\"People get excited from big price movements, and Wall Street accommodates. You can’t value Bitcoin because it’s not a value-producing asset.\"</em>&nbsp;</p>\n<p>Another critic, Prince Al-Waleed bin Talal of Saudi Arabia has claimed he does not believe in Bitcoin completely and expects the digital currency to fail.&nbsp;</p>\n<p><em>\"It doesn't make sense. This thing is not regulated. It's not under control. It's not under the supervision [of] any federal – elect – United States Federal Reserve or any other central bank. I don't believe in this whole thing at all. I think it's going to implode.\"</em>&nbsp;</p>\n<p>Even with all of the faultfinding--no regulation, no place to spend it, and an inflated value--Bitcoin has managed to reach an astounding $6070.99 What can it mean?&nbsp;</p>\n<p>Certainly, not all pundits are of the same mind.&nbsp;</p>\n<p>In his new blog post, New York University’s “Dean of Valuation,” Aswath Damodaran, asserted that Bitcoin is a true currency and not a fraud. In fact, CNBC has quoted him as saying, <em>“digital currencies will ‘sooner or later’ compete with the major paper currencies.”</em> And, perhaps that moment is almost here.</p>\n<p>When Mastercard dips into the blockchain technology used by Ripple&nbsp;to leverage cross-border payment flows for B2B business, the competition might just be ramping up.<br>\nUpdate: <a href=\"https://www.reuters.com/article/us-blockchain-amex-ripple/amex-launches-blockchain-based-business-payments-using-ripple-idUSKBN1DG1SX\">Amex launches blockchain-based business payments using Ripple</a></p>\n<p><br></p>\n<p><strong>Gold Comparisons</strong></p>\n<p>In some ways, digital currency is actually safer than gold.&nbsp;</p>\n<p>Here are a couple of its notable attractions:</p>\n<p>- limited supply (no more is being made)</p>\n<p>- hard to get ‘mining’ limits supply also</p>\n<p>- gold is actually higher risk because a sudden surprise find of mass quantity of gold could cause the gold bubble to burst&nbsp;</p>\n<p>Those cryptocurrencies that have a fluid, strong market such as Bitcoin and Ethereum are actually being exchanged at market values and are starting to be used to purchase product.&nbsp;</p>\n<p>Furthermore, some crypto currencies seem to be used within well-defined specific marketplaces. Here are some big name companies currently accepting bitcoin:</p>\n<p>As of 2014 | Overstock.com</p>\n<p>As of 2014 Dish Network for some of their content</p>\n<p>As of 2014 | some users purchasing XBox and Windows apps in some Microsoft stores</p>\n<p>As of 2014 | Intuit for Tax software</p>\n<p>As of 2014 | PayPal began acting as an intermediary for GoCoin, CoinBase, and BitPay It’s true that some cryptocurrencies may only be used as an investment.&nbsp;</p>\n<p>This bucket is a bit special since it seems that control for this designation falls under the auspices of the U.S. Securities and Exchange Commission (SEC). And, there are some coins--utility tokens to be exact--that aren’t investment grade and of which there are less clear regulatory requirements. Time will tell.&nbsp;</p>\n<h3>Final Thoughts</h3>\n<p>As cryptocurrencies come into use with greater frequency, general trust will increase. The use of utility grade currencies for usual purchases will increasingly be encouraged. Market demand for these currencies will drive valuations.&nbsp;</p>\n<p>The greater ability to use a currency, and uses of these currencies to reduce costs and reduce friction, will increase the values of certain currencies.&nbsp;</p>\n<p>With that fluid exchange of currencies, I would expect an increasing fluidity of exchange between cryptocurrencies as trading markets peg value back to US$ or other fiat currencies around the globe.</p>\n</html>",
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      "parent_permlink": "cryptocurrency",
      "permlink": "cryptocurrency-alchemy-or-the-digital-value-transformation",
      "title": "Cryptocurrency Alchemy | the Digital Value Transformation"
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