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What subversion has the blockchain brought and why can it become a national strategy?
Asian Business School of Finance and Economics

New Economy, New Thinking and New Power

Blockchain has become a national strategy. What is it?

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Another major policy benefit was released, and blockchain became a hot topic again.

According to Xinhua News Agency, on the afternoon of October 24th, the Political Bureau of the Central Committee held the 18th collective study on the development status and trend of blockchain technology. Collective learning emphasizes that the integrated application of blockchain technology plays an important role in new technological innovation and industrial transformation.

We should take blockchain as an important breakthrough for independent innovation of core technologies, make clear the main attack direction, increase investment, focus on conquering a number of key core technologies, and accelerate the development of blockchain technology and industrial innovation.

A number of experts and industry insiders said that in the development of blockchain technology, China is seizing the runway.

Chinese enterprises increasingly emphasize the control of the core "hard technology", and from the perspective of government policy guidance, they also encourage enterprises to carry out independent innovation of the core technology of blockchain. At present, the number of patent applications for blockchain in China ranks first in the world, and blockchain technology will have a broader application prospect in many fields such as finance, people's livelihood and government affairs.

Why does the blockchain become a national strategy

The blockchain is essentially a decentralized distributed ledger database, which itself is a series of data blocks generated by cryptology association, and each data block contains the information of effective confirmation of multiple transactions.

Decentralized distributed storage brings openness and transparency, and also makes data directly generate value; The non-tampering and traceability of information bring security and honesty, and also make people trust each other more. Blockchain is considered to be another big wave after the Internet, and will bring great opportunities for change to all walks of life as an infrastructure.

At present, the blockchain technology and industry of all countries in the world are in the early stage of rapid development, and no country has absolute advantages, which is an important opportunity for China to achieve "overtaking in corners" in the field of science and technology.

Chen Chun, a professor of Zhejiang University and an academician of China Academy of Engineering who gave a lecture on collective learning in the Political Bureau of the Central Committee, said at the 219CCF Blockchain Technology Conference hosted by china computer federation on October 12th that the development of domestic blockchain industry is welcoming a "spring breeze", and the research focus of blockchain technology in China will focus on two aspects: key technologies of alliance blockchain and blockchain supervision technology.

Blockchain makes the value symmetrical

All obstacles to the development of human society are largely caused by "mutual distrust", because in a society with mutual distrust, people will guess each other, people will be against each other, and even everyone will be afraid of themselves. At this time, the operating efficiency of society will be very low. Especially various economic and financial crises.

the essence of the economic and financial crisis is actually the collapse of a society's credit system. For example, the subprime mortgage crisis in the United States in 28 was caused by many institutions giving false credit to those who were unable to repay, which eventually led to collective default.

Looking back at human history, why did the earliest Homo sapiens unify mankind?

Because of the emergence of language, people have the most elementary spirit of "contract", people can promise and exchange with each other, and thus have great cooperation, while those who don't have this ability are eliminated!

Credit is the cornerstone of human civilization, and the essence of credit is value storage.

The birth of the Internet solved the asymmetry of information, but did not solve the asymmetry of value.

For example, the Internet helped me find you and everyone find their place. The problem now is that I not only want to find you, everyone not only wants to find themselves, but everyone's wealth must also be equal to the value it creates.

Because there are too many privileged people and speculators sitting on a lot of wealth in this world. The internet can only tell us where these people are. Who is it? But it can't be a big reorganization of social wealth.

Now that the blockchain is born, the value of the blockchain is to make everyone's wealth return and value creation directly equal. The Internet has solved the problem of information asymmetry, and the blockchain is solving the problem of value asymmetry.

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Blockchain makes decentralization a reality

Blockchain has intelligent contracts, and the implementation of intelligent contracts is selfless, because it is an intelligent contract executed in computer language rather than legal language. As long as a pre-programmed condition is triggered, the corresponding terms can be automatically completed. When the preset conditions are met and completed one by one, the system tasks are automatically completed.

Moreover, neither party to the contract can tamper with or manipulate the contract. Unlike the traditional court, if you bribe a judge, he will be used by you, and the control of smart contract execution is not in the hands of any single party, nor in the third-party institutions such as the court. It is recorded by different traders on different computers, which is called distributed bookkeeping. Only when most people approve it will it be automatically executed.

These data are distributed in a large number of computer databases in a balanced way, which is the real "decentralization". If 1, people participate in a public transaction, the records will be saved in 1, computers, and the chances of being modified are very small.

On the other hand, these data are recorded in the order of events. If the previous data is modified, the following data cannot correspond.

Of course, there will still be bad people who want to tamper with other people's records and even rob others of their value. However, even if you have God's power, it won't help, because only by modifying more than 51% of the node data of the whole network can you tamper with these data, which is too much. With the fastest computer available, it will take hundreds or even thousands of years to modify a transaction.

For example, the news "How to prove that my mother is my mother" was popular on the Internet before, which was actually a problem derived from the imperfect social credit mechanism. In fact, it is easy to solve this problem with blockchain:

Now our birth certificate, real estate license, marriage certificate, etc. are in the records of relevant institutions, and there is no resource between these institutions. For example, the bank needs you to go to the police station to open a certificate.

if the blockchain is applied, our birth certificate, real estate license and marriage certificate can be notarized on the blockchain, and become something trusted by the whole world. Don't say "Your mother is your mother", how many generations of your ancestors can be seen at a glance.

In a society with a mature blockchain, those who are truly capable and can create value do not need to worry that they can't keep up with the times, because the value of blockchain is to cash in the value you create.

blockchain

A more perfect revolution

The essence of blockchain is value transmission, which enables people to transmit value as conveniently and cheaply as online chatting. The faster the value of society flows, the higher the operation efficiency. Because of the value Internet, human society will surely usher in a more perfect revolution.

Let's think about the current situation of the Internet again. It keeps saying that it is decentralized, but in fact it transfers a lot of power originally belonging to the government into its own hands in disguise. For example, Taobao's transaction data is in Alibaba's data center, and it is easy to tamper with the data, so Taobao can seal a store and Tencent can seal a public account ... Because the server is private, the Internet will inevitably move towards oligopoly and totalitarianism.

In a society with a mature blockchain, we don't need any fancy stories, ingenious marketing, or vows of eternal love. We also don't need reinforced concrete as an endorsement. Everything is going according to the agreement, and speculators, privileged people and troublemakers will have no way to start.

In a society with a mature blockchain, those who are truly capable and can create value do not need to worry that they can't keep up with the times, because the value of blockchain is to cash in the value you create.

So there is no need for us to worry about being revolutionized by the blockchain. As long as we do what we should do in a down-to-earth manner, as long as we can create value for the world, there must be value for existence.

Therefore, human beings are transitioning from the information Internet to the great era of the value Internet.

this is the highest realm of the credit society. Human society is facing a brand-new upgrade. As a value creator, everyone's own value can be accurately recorded and rewarded accordingly. People will interfere with each other less and less, and people are truly moving towards independence and equality!