Think You Know Yourself? Others Know More!
Imagine meeting a stranger and the first thing they say to you is, “Do you always watch Netflix at 9:52 p.m.?” A completely integrated blockchain society will reveal much more than your Netflix binging habits to the entire world and even worse, to money-hungry companies. Through blockchain technologies, billion-dollar corporations will effortlessly have access to learn and research all about you.
Blockchain may be a foreign concept to many, but the underlying function of this technology is simply meant to make the transfer of data fast, accessible and viewable by all. The purpose of blockchain is to display all stored information as clearly and distinguishable as possible. Thus, it will eliminate the need for middlemen to regulate and distribute information. Central authorities will not control the transfer of information, but instead, the blockchain system will. Ultimately, the lack of a hierarchical structure will create what is known as a decentralized community. Within a decentralized community, the transfer of data through blockchain utilizes many components. Some of these components are known as blocks, nodes, hashes, and keys. A block is comprised of nothing more than a compilation of data transferred between individuals. Numerous transfers create a series of blocks, thus creating a blockchain. Since there is no central entity to verify a transfer, each transfer is verified by partial nodes, which must compute a mathematical riddle. Partial nodes include computers, servers or any other devices that have access to an online network are able to compete and race to solve the riddle. The successful confirmation of a transfer is indicated by the formation of a complete node. These nodes form the cornerstones that shape the blocks in a blockchain. Allowing the nodes to act as proof of engagement. Security measures within a blockchain consists of using a unique hash number, which serves as an identifier for each specific block. Each block created in succession to the first block must have a hash number that matches with the previous block. Say block 2 has a hash of #123, then in order for block 3 to be created, it must contain the same hash stated in block 2 (#1,2,3). Upon confirming identical hashes, block 3 then generates its own hash in preparation for block 4. This process repeats itself for every new block in the chain. “Hence, it is next to impossible for an attacker to introduce a fraudulent transaction… to generate a block by solving a mathematical puzzle, but it also has to race mathematically against the good nodes to generate all subsequent blocks” (Applied Innovation Review, 2016). In a sense, in attempting to create false transactions, hackers would have to remake the entire blockchain and verify all the proofs of services including hashes.
Blockchain’s algorithm is not just limited to people within a community, but businesses such as Amazon can utilize it to create a divergent world. Just imagine a neighbor’s face when they can visibly examine the amount of money you spend on Amazon products. No longer will your financial information be private, but it will be available to everyone. This financial information can further be leaked to business partners of Amazon. For example, companies that sell toothpaste on Amazon’s online marketplace will have access to the amount of money you spend every month on their variation of toothpaste down to the cent. Even if you refuse to buy on Amazon and choose to start purchasing supplies at a local retail store, your purchase behaviors can still be monitored. Despite shopping physically, transactions are still processed through a computer, storing valuable purchase history data. As a result, even if you do stay committed to the brick and mortar stores, information regarding visiting times and brand purchases can all be compiled quickly. All it takes is a simple view of the blockchain for organizations to extract data for specific targeting and marketing.
The lack of privacy in a blockchain dystopia, where corporations monitor you down to the last detail is surreal. In fact, Amazon is coining, “Amazon Managed Blockchain” which “is a fully managed service that makes it easy to create and manage scalable blockchain networks using the popular open-source frameworks” (Amazon Web Services, 2019). A scalable network indicates that Amazon Web Services (AWS) is seeking to incorporate other entities such as retailers and banks (Amazon Web Services, 2019). Retailers can provide information on consumer shopping habits on a more micro-scale, thus giving insight to specific demographics and psychographics. Banks, on the other hand, contain important financial information which pinpoints a consumer’s spending capacity. By using blockchain to obtain information from retailers and banks, ads and marketing campaigns can be fine-tuned to target any chosen segment of a community. Amazon acknowledges this as they claim, “a group of retailers can easily implement a blockchain network that allows them to share and validate… information quickly” (Amazon Web Services, 2019). Using blockchain to create an association between banks and retailers can become the driving force behind whether you purchase a product or not. For instance, when you decide to deposit a check in your bank account or withdraw a certain amount of money, these transactions are recorded on a blockchain (assuming dystopian standards). From there a notification relay formed between banks and retailers notifies the retailers. Once retailers realize the sum of money in your current possession, they can selectively choose products to be placed in the front to accommodate your current amount of money. Although a situation like this would only become reality in a fully integrated blockchain society, other acclaimed companies have already begun experimenting with blockchain.
To assist AWS’s blockchain network, companies such as Intel have been using their expertise in processor chips to aid AWS. In fact, it is publicly known that Intel has been building Amazon’s blockchain network for 10 years. Since Amazon’s Alexa uses processor chips to function, this is where Intel’s specialty comes into play. These processors power most of the technology we use every day, also being responsible for the functions of artificial intelligence or AI (Amazon, 2019). Artificial Intelligence may seem like a distant future, but it is already embedded in our everyday lives with the aforementioned Alexa as well as SIRI. These two AI systems may change drastically with the integration of blockchain. Not only will Alexa and SIRI contain information regarding all the data you feed it from daily interactions, but they can learn and apply your habits to their actions as well. AI will be able to learn and receive personal information at a much faster rate especially if everything is recorded and viewable on a blockchain. Furthermore, in a recent survey conducted by Intel, they concluded that nearly 70% of individuals prefer living in homes with smart devices (Intel, 2017). It is apparent that Alexa can connect to many smart appliances and devices within homes to construct a hands-free, household environment. What Amazon and Intel plan to do is to expand this environment to the point where the tone of your voice can indicate whether it is morning or night, prompting Alexa to power the light switch accordingly (Intel, 2017). As AI continues learning from your collected data it will create a near-perfect replica of your own life. In a completely integrated blockchain world, your information is viewable whether or not you choose to divulge your information.
In order for information to be recorded and accessed on a blockchain network, service providers need to be convinced of the concepts. Two of the largest network providers, AT&T and Verizon, are already partnered with AWS. If these two telecommunication giants become fully integrated in the world of blockchain there will no longer be private calls, text messages or internet searches. The text you send to your friend asking which shirt looks better will be captured and seen by the network providers. Next thing you know, you begin to see advertisement discounts on recently viewed clothing items from your search history. Eventually, even ambiguous products you have never even thought of buying will find its way into your phone’s notifications. Even turning off your wifi, data, and notifications, business marketing targeting will not stop. You may then receive numerous phone calls from unfamiliar numbers all competing to snatch your attention and sell you their products or services. By allowing internet and service providers to partner with Amazon, the partnerships have the potential to create an unsolicited horde of information, personalized for every user. Presently, there already exists a diluted version of this marketing scheme with the “related products” showing beneath your online, cart summary. On one hand, AT&T has provided an article illustrating their views on how using blockchain will benefit certain industries. Some of these industries include manufacturing (making sure everything from production and delivery is seen by the consumer), retail (similar to manufacturing), and healthcare (secure sharing of up-to-date patient records).
On the other hand, Verizon has yet to release much information regarding their plans with blockchain. However, it is evident that blockchain is heavily embedded in their future agenda. In a recent Yahoo article, Verizon requested to hire blockchain engineers (Yahoo, July 2019). Speculations hint that Verizon may already have their framework, yet still haven’t commenced development. With only job applications to shed light on Verizon’s blockchain plans, mystery and questions shroud the future of the cellular and technological devices powered by these network providers. Will AT&T and Verizon begin to take the first steps to track and release personal contact information and social media messaging? Or will these telecom providers help make consumer’s lives easier and more open to the workings of manufacturers and retailers as claimed by AT&T? Only speculations can be made until further release of information is made public.
Whether you are a public company, private company or even an individual, the age of blockchain is rapidly approaching. The dystopian reality in which privacy doesn’t exist and billion-dollar companies exploit your data is still a work in progress. To soothe fears of this dystopian possibility, some companies desire to highlight the benefits of blockchain. A company such as Knowpia is striving to incorporate blockchain in a way where personal information will not be used as a bargaining chip. Rather, they are seeking to build communities by using information and knowledge databases to connect individuals and spark discussions about various topics of interest.
These interests can range from trending topics from current events to favorite TV shows. So, the next time blockchain comes up in a discussion, try telling that person, “Do you always watch Netflix at 9:52 p.m.?” Depending on the person and their reaction, perhaps you can clarify and explain to them how a blockchain dystopia can reveal something as personal as a scheduled, Netflix night. Without question, blockchain will cause a lack of privacy. However, now knowing the benefits of blockchain, it invents a quicker process to distribute needed information to everyone in the world.
Sources:
Amazon . (2019). Making Computers More Accessible.
https://developer.amazon.com/en-US/alexa/alexa-skills-kit/conversational-ai
Amazon Web Services. (2019). Blockchain on AWS.
https://aws.amazon.com/blockchain/.
Intel. (October, 2017). Intel and Amazon Give Voice to Smart Homes of the Future.
https://newsroom.intel.com/editorials/intel-amazon-give-voice-smart-homes-future/#gs.w8pe9b
Yahoo. (July, 2019). Report: Verizon Hiring Blockchain Engineers.
https://finance.yahoo.com/news/report-verizon-hiring-blockchain-engineers-182143394.html.
