Blockchain makes trust : Trace™️
This article is originally appeared on https://luniverse.io/blockchain-track-and-trace/
Important technology for COVID-19 pandemic : Blockchain
Due to the recent high-intensity social distance caused by the COVID-19, digital transformation and non-contact promotion have become common. This change should be based on trust between people. In this respect, the blockchain is an important technology that can contribute to the realization of a trust-based society by giving transparency and immortality to the data at the center of all economic activities.
Blockchain is a technology that enables the integrity and reliability of information by saving the process and results of transactions in distributed ledger without a third party. The information saved on the blockchain is verified by the network participants together, and each information is recorded and saved within the block based on a hash that cannot be modified. These features allow you to record events between online non-contact services and verify them to build a more reliable system. This blockchain-based history management technology is available in various fields such as finance, logistics, distribution, health care, energy, and public services, and are the most effective areas of the blockchain.
Apply Blockchain technology to electronic contract systems
The electronic contract system records events such as creating, sending, inquiring, signing, and completing a contract document online. Because it has the same effect as the actual contract, you can manage the contract at a low cost.
But the general electronic contract system has a potential to manipulate, because event data generated in document contracts are recorded in a common database.
These problems can be easily solved by using blockchain technology. By simultaneously recording and managing relevant data in the blockchain and database, the possibility of forgery and tampering for a transaction can be prevented.
For example, the database records the blockchain transaction hash and manages them by integrating with the blockchain as follows: If you want to change the data recorded on the blockchain, it is virtually impossible because you should change not only the data but also all the blocks that were created afterwards.
Blockchain-based event tracking service
The blockchain-based event tracking is required to use these functions in various fields, like using blockchain to prevent forgery in electronic contract systems. It consists of Event Trace Application, Event Trace Service, database and blockchain to save events.
The Event Trace Application is an application that uses Event Trace Service, which refers to applications such as electronic contracts, work evaluation systems, and logistics management systems. When a user generates a specific event in the application, the Event Trace Service categorizes and starts tracking them. The Event Trace Service provides the REST(REPresentative State Transfer) API required for recording event data, inquiring and verification, making it easy for existing Event Trace applications to use the following features:
- Log events to the database and to the blockchain at the same time.
- Events that need to be recorded in the blockchain are requested to record using Event REST (REpresentive state transfer) API of the Event Trace Service.
- Record transaction hash of the blockchain in the database to connect the events in the database to the blockchain events.
Use Case
- Unlisted Stock Trading Service
There was hassle to trade unlisted stocks such as finding buyers or sellers online, or meeting offline to actually trade. In the case of non-unification stocks, each company has different trading methods, so it is easy to abuse them and cause damage. Also, there is a fatal problem that it is difficult to trust a trading partner.
In addition, non-unification stocks, which account for a large portion of unlisted stocks, are inefficient and more errors as they are managed by the company as Excel such as issuing certificate of sovereignty and changing shareholders.
In order to reduce the risks, the parties to the transaction need to know related laws personally, and from the company’s point of view, efforts such as using stock trading services or establishing anti-fraud processes were needed to improve them, but fundamentally there are limits to guarantee safety and integrity.
To overcome these limitations, the unlisted stock trading (non-unification sovereignty) service is preparing for managing changes in sovereignty in transactions(shareholder list management) by using the Luniverse ‘Trace’ service. Leaving unmodifiable transaction records, all events such as the company’s capital increase audit and exercising stock option are recorded in the blockchain, thereby increasing confidence in unlisted stock trading and further dematerializing shareholder list management. It makes both the parties and the company more convenient.
You can read more in detail about this article at https://luniverse.io/blockchain-track-and-trace/ .
If you’re interested in the event trace application or Luniverse ‘Trace’, feel free to reach out at any time here support@lambda256.io.
