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© 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2 nd Era of the Internet Alex Tapscott TWITTER: @alextapscott Swiss Re January 23 rd , 2017
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BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

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Page 1: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

© 2016 Don Tapscott and Alex Tapscott. All Rights Reserved.

BLOCKCHAIN REVOLUTION:Surviving and Thriving in the 2nd Era of the

Internet

Alex Tapscott TWITTER: @alextapscott

Swiss ReJanuary 23rd, 2017

Page 2: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

2 | © 2016 The Tapscott Group. All Rights Reserved.

The Technological Revolution

social

web

mobility

internet

of things

big

data

the

clouddrones &

robotics

machine

learning

Page 3: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

3 | © 2016 The Tapscott Group. All Rights Reserved.

The Technological Revolution

social

web

mobility

internet

of things

big

data

the

clouddrones &

robotics

machine

learningBLOCKCHAIN

Page 4: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

4 | © 2016 The Tapscott Group. All Rights Reserved.

The Internet of Information

Web

SitesPhotos

PDFsWord

Docs

VoicePPT

Slides

INFORMATION

Page 5: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

5 | © 2016 The Tapscott Group. All Rights Reserved.

Energy

Art

Money

Music

Contracts Deeds

Loyalty

points

Carbon

credits

Visual

Art

Other

Financial

Assets Bonds

Stocks

Swaps

Premiums

Other Futures

Intellectual

property

Film

Votes

ASSETS

ASSETS

Receivables

IdentityAttestations

ReputationSocial

Capital

IOUs

Coupons

The Internet of Information ▶ The Internet of Value

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6 | © 2016 The Tapscott Group. All Rights Reserved.

The Middleman

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7 | © 2016 The Tapscott Group. All Rights Reserved.

BLOCKCHAIN: The Second Era of the Internet

Page 8: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

8 | © 2016 The Tapscott Group. All Rights Reserved.

Just Another Block in the Chain

1

Distributed ledger

2

Community

validation

Block50.dat

Block51.dat

Block52.dat

Block53.dat

3

New blocks added

Block 53

Previous

block:

00000zzxvzx5

Proof of work:

00000090b41b

x

Transaction:

94lxcv14

4

Reference to

previous blocks

Timestamp

04.19.2016.09.14.5

3

5

Permanent

time-stamp

Page 9: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

9 | © 2016 The Tapscott Group. All Rights Reserved.

Page 10: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

10 | © 2016 The Tapscott Group. All Rights Reserved.

Page 11: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

11 | © 2016 The Tapscott Group. All Rights Reserved.

Seven Transformations for a Prosperous World

1. Protecting rights through immutable records

2. Creating a true sharing economy

3. Ending the remittance rip-off

4. Protecting privacy

5. Ensuring compensation for the creators of value

6. The Halcyon Age of Entrepreneurship

7. Reinventing Government and Democracy

Page 12: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

12 | © 2016 The Tapscott Group. All Rights Reserved.

3. Store Value

2. Transfer Value

1. Authenticate &

Attest to Value

4. Lend Value

5. Exchange Value

6. Fund & Invest

7. Insure Value &

Manage Risk

8. Account for & Audit Value

THE GOLDEN EIGHT: Transformations for Financial Services

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13 | © 2016 The Tapscott Group. All Rights Reserved.

BLOCKCHAIN REVOLUTION: How the Technology Behind Bitcoin is

Changing Money, Business, and the World

May 10, 2016

The Internet of Value for Businesses

Page 14: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

14 | © 2016 The Tapscott Group. All Rights Reserved.

THE THEORY OF THE FIRM

Transaction costs:

1. Search

2. Coordinating

3. Contracting

4. Establishing Trust

Ronald Coase

(1910–2013)

Re-Architecting the Corporation

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15 | © 2016 The Tapscott Group. All Rights Reserved.

The Economics of Collaboration

Business Webs

Extended

Enterprise

Industrial Age

Corporation

VALUE

CREATION

Distributed Value

Creation

Physical Financial Networked IntelligenceCRITICAL RESOURCES

Self-

Organization

Traditional

Hierarchy

Page 16: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

16 | © 2016 The Tapscott Group. All Rights Reserved.

THE BIG SEVEN: OPEN NETWORKED BUSINESS MODELS

1. Blockchain

Cooperatives

2. The Rights

Creators

3. The Re-

Intermediators

4. The

Blockchain

Supply Chain

5. Animating

the Internet of

Things

6. The Platform

Builders7. Bigger,

Better Data

Page 17: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

17 | © 2016 The Tapscott Group. All Rights Reserved.

CREATING A TRUE SHARING ECONOMY

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18 | © 2016 The Tapscott Group. All Rights Reserved.

Suber

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19 | © 2016 The Tapscott Group. All Rights Reserved.

THE BIG SEVEN: OPEN NETWORKED BUSINESS MODELS

1. The Peer

Producers

2. The Rights

Creators3. Blockchain

Cooperatives

4. The Metering

Economy

5. The Platform

Builders

6. Blockchain

Makers

7. The

Enterprise

Collaborators

Page 20: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

20 | © 2016 The Tapscott Group. All Rights Reserved.

The Music Industry

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21 | © 2016 The Tapscott Group. All Rights Reserved.

Page 22: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

22 | © 2016 The Tapscott Group. All Rights Reserved.

Page 23: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

23 | © 2016 The Tapscott Group. All Rights Reserved.

Page 24: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

24 | © 2016 The Tapscott Group. All Rights Reserved.

THE BIG SEVEN: OPEN NETWORKED BUSINESS MODELS

1. The Peer

Producers

2. The Rights

Creators

3. The Re-

intermediators

4. The

Blockchain

Supply Chain

5. Animating

the Internet of

Things

6. The Platform

Builders7. Bigger,

Better Data

Page 25: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

25 | © 2016 The Tapscott Group. All Rights Reserved.

ENDING THE REMITTANCE RIP-OFF

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26 | © 2016 The Tapscott Group. All Rights Reserved.

Abra: A Reintermediator

Page 27: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

27 | © 2016 The Tapscott Group. All Rights Reserved.

THE BIG SEVEN: OPEN NETWORKED BUSINESS MODELS

1. Blockchain

Cooperatives

2. The Rights

Creators

3. The Re-

intermediators

4. The

Blockchain

Supply Chain

5. Animating

the Internet of

Things

6. The Platform

Builders7. Bigger,

Better Data

Page 28: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

28 | © 2016 The Tapscott Group. All Rights Reserved.

Transparent Food Industry

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29 | © 2016 The Tapscott Group. All Rights Reserved.

Everledger: Tracing Ownership and Certifying Provenance of Diamonds

Page 30: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

30 | © 2016 The Tapscott Group. All Rights Reserved.

The Blockchain is the New Supply Chain

Page 31: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

31 | © 2016 The Tapscott Group. All Rights Reserved.

THE BIG SEVEN: OPEN NETWORKED BUSINESS MODELS

1. Blockchain

Cooperatives

2. The Rights

Creators

3. The Re-

intermediators

4. The

Blockchain

Supply Chain

5. Animating

the Internet of

Things

6. The Platform

Builders7. Bigger,

Better Data

Page 32: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

32 | © 2016 The Tapscott Group. All Rights Reserved.

“The Internet of Everything Needs a Ledger of Everything”

Page 33: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

33 | © 2016 The Tapscott Group. All Rights Reserved.

OLD: Industrial-Age Power Generation

Page 34: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

34 | © 2016 The Tapscott Group. All Rights Reserved.

NEW: Micro-grids powered by blockchain

Page 35: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

35 | © 2016 The Tapscott Group. All Rights Reserved.

THE BIG SEVEN: OPEN NETWORKED BUSINESS MODELS

1. Blockchain

Cooperatives

2. The Rights

Creators

3. The Re-

intermediators

4. The

Blockchain

Supply Chain

5. Animating

the Internet of

Things

6. The Platform

Builders7. Bigger,

Better Data

Page 36: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

36 | © 2016 The Tapscott Group. All Rights Reserved.

Rethinking the Financial Services Industry

Page 37: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

37 | © 2016 The Tapscott Group. All Rights Reserved.

THE GOLDEN EIGHT: BLOCKCHAIN TRANSFORMATIONS OF FINANCIAL SERVICES

3. Store Value

2. Transfer Value

1. Authenticate &

Attest to Value

4. Lend Value

5. Exchange Value

6. Fund & Invest

7. Insure Value &

Manage Risk

8. Account for & Audit Value

Page 38: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

38 | © 2016 The Tapscott Group. All Rights Reserved.

OLD: INITIAL PUBLIC OFFERING

Page 39: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

39 | © 2016 The Tapscott Group. All Rights Reserved.

NEW: INITIAL COIN OFFERING

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40 | © 2016 The Tapscott Group. All Rights Reserved.

THE BIG SEVEN: OPEN NETWORKED BUSINESS MODELS

1. Blockchain

Cooperatives

2. The Rights

Creators

3. The Re-

intermediators

4. The

Blockchain

Supply Chain

5. Animating

the Internet of

Things

6. The Platform

Builders7. Bigger,

Better Data

Page 41: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

41 | © 2016 The Tapscott Group. All Rights Reserved.

Fracking

Page 42: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

42 | © 2016 The Tapscott Group. All Rights Reserved.

ENABLING CITIZENS TO OWN AND MONETIZE THEIR DATA

(AND PROTECT PRIVACY)

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43 | © 2016 The Tapscott Group. All Rights Reserved.

THE VIRTUAL YOU

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44 | © 2016 The Tapscott Group. All Rights Reserved.

THE BIG SEVEN: OPEN NETWORKED BUSINESS MODELS

1. Blockchain

Cooperatives

2. The Rights

Creators3. The Re-

intermediators

4. The

Blockchain

Supply Chain

5. Animating

the Internet of

Things

6. The Platform

Builders7. Bigger, Better

Data

Page 45: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

45 | © 2016 The Tapscott Group. All Rights Reserved.

REINVENTING GOVERNMENT

Page 46: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

46 | © 2016 The Tapscott Group. All Rights Reserved.

A CRISIS OF LEGITIMACY

Page 47: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

47 | © 2016 The Tapscott Group. All Rights Reserved.

Rethinking Central Banking

Page 48: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

48 | © 2016 The Tapscott Group. All Rights Reserved.

BLOCKCHAIN AND CENTRAL BANKING

Cost and Efficiency Inclusion and Performance Transparency and Risk Reduction

Page 49: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

49 | © 2016 The Tapscott Group. All Rights Reserved.

1. The Technology is not ready for prime time

2. The Energy Consumed is Unsustainable

3. Government will Stifle or Twist It

4. Powerful Incumbents of the Old Paradigm will Usurp It

5. The Incentives are Inadequate for Distributed Mass Collaboration

6. Blockchain Is a Job Killer

7. Governing the Protocols is Like Herding Cats

8. Distributed Autonomous Agents Will Form “Skynet”

9. Big Brother is (Still) Watching You

10.Criminals Will Use it

SHOWSTOPPERS: Why Blockchain Could Fail

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50 | © 2016 The Tapscott Group. All Rights Reserved.

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51 | © 2016 The Tapscott Group. All Rights Reserved.

BLOCKCHAIN REVOLUTION: Surviving and Thriving in the Second Era of the

Internet

Alex Tapscott TWITTER: @alextapscott

Swiss ReJanuary 23rd, 2017

Page 52: BLOCKCHAIN REVOLUTION: Surviving and Thriving in the 2nd ...26048fc2-8776-40e5... · © 2016 Don Tapscott and Alex Tapscott. All Rights Reserved. BLOCKCHAIN REVOLUTION: Surviving

Basic Copyright Notice & Disclaimer

©2017 This presentation is copyright protected. All rights reserved. You may download or print out a hard copy for your private or internal use. You are not permitted to create any modifications or derivatives of this presentation without the prior written permission of the copyright owner.

This presentation is for information purposes only and contains non-binding indications. Any opinions or views expressed are of the author and do not necessarily represent those of Swiss Re. Swiss Re makes no warranties or representations as to the accuracy, comprehensiveness, timeliness or suitability of this presentation for a particular purpose. Anyone shall at its own risk interpret and employ this presentation without relying on it in isolation. In no event will Swiss Re be liable for any loss or damages of any kind, including any direct, indirect or consequential damages, arising out of or in connection with the use of this presentation.