Hellwig / Karlic / Huchzermeier Build Your Own Blockchain

A Practical Guide to Distributed Ledger Technology
1. Auflage 2020
ISBN: 978-3-030-40142-9
Verlag: Springer International Publishing
Format: PDF
Kopierschutz: 1 - PDF Watermark

E-Book, Englisch, 194 Seiten

Reihe: Management for Professionals

This book provides a comprehensive introduction to blockchain and distributed ledger technology. Intended as an applied guide for hands-on practitioners, the book includes detailed examples and in-depth explanations of how to build and run a blockchain from scratch. Through its conceptual background and hands-on exercises, this book allows students, teachers and crypto enthusiasts to launch their first blockchain while assuming prior knowledge of the underlying technology. How do I build a blockchain? How do I mint a cryptocurrency? How do I write a smart contract? How do I launch an initial coin offering (ICO)? These are some of questions this book answers. Starting by outlining the beginnings and development of early cryptocurrencies, it provides the conceptual foundations required to engineer secure software that interacts with both public and private ledgers. The topics covered include consensus algorithms, mining and decentralization, and many more. 'This is a one-of-a-kind book on Blockchain technology.  The authors achieved the perfect balance between the breadth of topics and the depth of technical discussion.  But the real gem is the set of carefully curated hands-on exercises that guide the reader through the process of building a Blockchain right from Chapter 1.' Volodymyr Babich, Professor of Operations and Information Management, McDonough School of Business, Georgetown University

'An excellent introduction of DLT technology for a non-technical audience. The book is replete with examples and exercises, which greatly facilitate the learning of the underlying processes of blockchain technology for all, from students to entrepreneurs.' Serguei Netessine, Dhirubhai Ambani Professor of Innovation and Entrepreneurship, The Wharton School, University of Pennsylvania
'Whether you want to start from scratch or deepen your blockchain knowledge about the latest developments, this book is an essential reference. Through clear explanations and practical code examples, the authors take you on a progressive journey to discover the technology foundations and build your own blockchain. From an operations perspective, you can learn the principles behind the distributed ledger technology relevant for transitioning towards blockchain-enabled supply chains. Reading this book, you'll get inspired, be able to assess the applicability of blockchain to supply chain operations, and learn from best practices recognized in real-world examples.' Ralf W. Seifert, Professor of Technology and Operations Management at EPFL and Professor of Operations Management at IMD 



Daniel Hellwig is a Principal at Kepler Cannon, a New York based strategic advisory firm. He is currently also active as a researcher at WHU - Otto Beisheim School of Management. Daniel completed his undergraduate studies at the Wharton School and holds a master's degree in Industrial Engineering from UC Berkeley. He looks back at professional experiences at Deutsche Bank, Merrill Lynch, and Deloitte.

Goran Karlic is Senior Technology Consultant at Kepler Cannon, a New York based strategic advisory firm. Goran is co-founder of multiple startups and has developed products in the fields of artificial intelligence, distributed systems, machine vision, industrial process control and DLT.

Arnd Huchzermeier is Chaired Professor in Production Management at WHU - Otto Beisheim School of Management, Vallendar, Germany. Arnd taught at the Booth Graduate School of Business of the University of Chicago after earning his PhD from The Wharton School of the University of Pennsylvania. He is, among others, author of books on Supply Chain Finance and Industrial Excellence. He regularly publishes in leading managerial and academic journals.  

Autoren/Hrsg.

Hellwig, Daniel

Karlic, Goran

Huchzermeier, Arnd

Inhaltsverzeichnis

1;Preface;6
1.1;Introduction to DLT: Build Your Own Blockchain;6
2;Acknowledgements;9
3;Contents;10
4;Blockchain Fundamentals;16
5;1 Blockchain Foundations;17
5.1;1.1 Introduction;17
5.1.1;1.1.1 Terminology;18
5.1.2;1.1.2 The First Use Case;18
5.1.3;1.1.3 Currencies: Traditional and Crypto;20
5.1.4;1.1.4 Ownership;21
5.2;1.2 Cryptocurrencies;23
5.2.1;1.2.1 Control Mechanisms;23
5.2.2;1.2.2 Cryptography;23
5.2.3;1.2.3 Cryptographic Hashing;23
5.2.4;1.2.4 Asymmetric Cryptography;24
5.2.5;1.2.5 Digital Signatures;25
5.3;1.3 Network Architecture Basics;25
5.4;1.4 The Blockchain;26
5.4.1;1.4.1 Operations;26
5.4.2;1.4.2 Blocks;26
5.5;1.5 Data Integrity;29
5.5.1;1.5.1 Ledger Propagation;29
5.5.2;1.5.2 Transaction Validation;29
5.5.3;1.5.3 Merkle Trees;31
5.6;1.6 Types of Blockchains;32
5.6.1;1.6.1 Public Blockchains;32
5.6.2;1.6.2 Private Blockchains;32
5.6.3;1.6.3 Consortium-Controlled Blockchains;33
5.6.4;1.6.4 Selection Framework;33
5.7;1.7 Exercise;34
5.7.1;1.7.1 Introduction;34
5.7.2;1.7.2 Environment Setup;34
5.7.3;1.7.3 Build Your Own Blockchain;35
5.8;References;41
6;2 Cryptocurrencies;42
6.1;2.1 Introduction;42
6.1.1;2.1.1 Overview;43
6.1.2;2.1.2 Crypto Properties;43
6.1.3;2.1.3 Transactions;44
6.1.4;2.1.4 Double Spending;45
6.2;2.2 Miners;46
6.2.1;2.2.1 Process Overview;46
6.2.2;2.2.2 Transaction Confirmation;47
6.2.3;2.2.3 Mining Process;48
6.2.4;2.2.4 The Nonce;49
6.3;2.3 Coins and Tokens;50
6.3.1;2.3.1 Introduction;50
6.3.2;2.3.2 Altcoins;51
6.3.3;2.3.3 Tokens;51
6.3.4;2.3.4 ERC-20 Standard;52
6.4;2.4 Market Makers/Exchanges;53
6.4.1;2.4.1 Introduction;53
6.4.2;2.4.2 Brokers;54
6.4.3;2.4.3 Traditional Exchanges;55
6.4.4;2.4.4 Decentralized Exchanges;55
6.4.5;2.4.5 Trading Platforms;55
6.4.6;2.4.6 Offline Exchanges;56
6.5;2.5 Wallets;56
6.5.1;2.5.1 Introduction;56
6.5.2;2.5.2 Hardware Wallets;56
6.5.3;2.5.3 Software Wallets;57
6.5.4;2.5.4 Exchange Wallets;57
6.6;2.6 Exercise;58
6.6.1;2.6.1 Introduction;58
6.6.2;2.6.2 Standard Transfer;58
6.7;References;64
7;3 Consensus Mechanisms;65
7.1;3.1 Introduction;65
7.1.1;3.1.1 Definition;65
7.1.2;3.1.2 Objectives;66
7.1.3;3.1.3 Variations;67
7.2;3.2 The CAP Theorem;67
7.2.1;3.2.1 The Trilemma;67
7.2.2;3.2.2 CAP Theorem and Blockchains;68
7.2.3;3.2.3 CAP Theorem in Practice;69
7.3;3.3 Byzantine Fault;71
7.3.1;3.3.1 Background;71
7.3.2;3.3.2 Byzantine Generals’ Problem;71
7.3.3;3.3.3 An Example;72
7.4;3.4 Common Consensus Protocols;73
7.4.1;3.4.1 Proof of Work (PoW);74
7.4.2;3.4.2 Proof of Stake (PoS);75
7.4.3;3.4.3 Proof of Capacity/Proof of Space;76
7.4.4;3.4.4 Delegated Proof of Stake (DPoS);77
7.4.5;3.4.5 Proof of Authority (PoA);78
7.4.6;3.4.6 Practical Byzantine Fault Tolerance (PBFT);79
7.4.7;3.4.7 Proof of Elapsed Time (PoET);80
7.4.8;3.4.8 Other Mechanisms;81
7.5;3.5 Exercise;81
7.5.1;3.5.1 Introduction;81
7.5.2;3.5.2 Set up PoA Genesis Block;82
7.5.3;3.5.3 Create a PoA Network;84
7.6;References;85
8;4 Smart Contracts;87
8.1;4.1 Introduction;87
8.2;4.2 Ethereum—An Alternative to Bitcoin;89
8.2.1;4.2.1 Introduction;89
8.2.2;4.2.2 Ethereum Versus Bitcoin Applications;89
8.2.3;4.2.3 Ethereum Approach;91
8.2.4;4.2.4 Gas;92
8.2.5;4.2.5 The Price of Gas;93
8.3;4.3 Solidity Programming Language;93
8.3.1;4.3.1 Syntax;94
8.3.2;4.3.2 Coin Toss Example;94
8.4;4.4 Oracles;95
8.4.1;4.4.1 Introduction;95
8.4.2;4.4.2 Smart Contract Integration;96
8.4.3;4.4.3 Oracles and Security;96
8.4.4;4.4.4 Types of Oracles;97
8.4.5;4.4.5 Oracle Contract Example;97
8.5;4.5 Decentralized Applications (dApps);98
8.5.1;4.5.1 Introduction;98
8.5.2;4.5.2 dApp Example: The Decentralized Autonomous Organization (DAO);99
8.6;4.6 Turing Completeness;100
8.6.1;4.6.1 Background;100
8.6.2;4.6.2 Turing Completeness and Ethereum;100
8.7;4.7 Legal Perspective;101
8.7.1;4.7.1 Smart Contract Interpretation;101
8.7.2;4.7.2 Open Questions;102
8.7.3;4.7.3 Conclusion;102
8.8;4.8 Exercise (“Piggy Bank”);103
8.8.1;4.8.1 Introduction;103
8.8.2;4.8.2 Opcode;103
8.8.3;4.8.3 Bytecode;104
8.8.4;4.8.4 Application Binary Interface (ABI);104
8.8.5;4.8.5 Piggy Bank Deployment;105
8.9;References;109
9;5 Privacy and Anonymity;110
9.1;5.1 Introduction;110
9.1.1;5.1.1 Anonymity;111
9.1.2;5.1.2 Unlinkability;111
9.1.3;5.1.3 Anonymity Versus Pseudonymity;111
9.1.4;5.1.4 Taint Analysis;113
9.2;5.2 De-anonymization;114
9.2.1;5.2.1 Introduction;114
9.2.2;5.2.2 Transaction Graph Analysis;114
9.2.3;5.2.3 Network-Layer De-anonymization;114
9.3;5.3 The Onion Router (TOR) Network;115
9.3.1;5.3.1 Background;115
9.3.2;5.3.2 TOR Approach;115
9.3.3;5.3.3 TOR Usage;116
9.3.4;5.3.4 Limitations;117
9.4;5.4 Mixing Models;117
9.5;5.5 Decentralized Mixing;118
9.5.1;5.5.1 Motivation;118
9.5.2;5.5.2 Coinjoin Model;118
9.5.3;5.5.3 Coinjoin Anonymity;119
9.6;5.6 Zero-Knowledge Proofs;120
9.6.1;5.6.1 Introduction;120
9.7;5.7 Privacy and Security Protocols;121
9.7.1;5.7.1 Introduction;121
9.8;5.8 Privacy Coins;122
9.8.1;5.8.1 Introduction;122
9.8.2;5.8.2 The Zero Currencies;123
9.8.3;5.8.3 Zerocoin;124
9.8.4;5.8.4 Zerocash;126
9.9;5.9 Exercise;127
9.9.1;5.9.1 Introduction;127
9.10;References;132
10;Cryptography Foundations;133
11;6 Blockchain Cryptography: Part 1;134
11.1;6.1 Introduction;134
11.1.1;6.1.1 Cryptography Fundamentals;134
11.1.2;6.1.2 Secrecy Prerequisites;135
11.1.3;6.1.3 Blockchain and Cryptography;135
11.2;6.2 Classic Ciphers;136
11.2.1;6.2.1 Substitution;136
11.2.2;6.2.2 Transposition;137
11.3;6.3 Modern Cryptographic Algorithms;138
11.3.1;6.3.1 Introduction;138
11.3.2;6.3.2 Vulnerabilities;140
11.4;6.4 Hashing;140
11.4.1;6.4.1 Introduction;140
11.4.2;6.4.2 Hash Collisions;141
11.4.3;6.4.3 Merkle-Damgård Construction;142
11.4.4;6.4.4 Length Extension Attack;142
11.5;6.5 Secure Hash Algorithm (SHA);143
11.5.1;6.5.1 Introduction;143
11.5.2;6.5.2 Hash Example;144
11.6;6.6 Symmetric Encryption;145
11.6.1;6.6.1 Single Encryption Keys;145
11.6.2;6.6.2 The Hill Cipher;146
11.6.3;6.6.3 The Pohlig-Hellman Cipher;150
11.7;6.7 Exercise;153
11.7.1;6.7.1 Introduction;153
11.7.2;6.7.2 Message Prep;153
11.7.3;6.7.3 OpenSSL Setup;154
11.7.4;6.7.4 Message Encryption;154
11.7.5;6.7.5 Message Decryption;156
11.8;References;156
12;7 Blockchain Cryptography: Part 2;158
12.1;7.1 Asymmetric Key Schemes;158
12.1.1;7.1.1 Introduction;158
12.1.2;7.1.2 Illustrative Example;159
12.2;7.2 Diffie-Hellman-Merkle Key Agreement;160
12.2.1;7.2.1 Introduction;160
12.2.2;7.2.2 An Example;161
12.2.3;7.2.3 Limitations;163
12.3;7.3 Rivest, Shamir, and Adelman (RSA);163
12.3.1;7.3.1 Introduction;163
12.3.2;7.3.2 Key Pairs;164
12.3.3;7.3.3 Intuition;166
12.3.4;7.3.4 An Example;167
12.4;7.4 Digital Signatures;168
12.4.1;7.4.1 Introduction;168
12.4.2;7.4.2 Motivation;168
12.4.3;7.4.3 Usage;169
12.4.4;7.4.4 Signatures;169
12.4.5;7.4.5 An Example;171
12.5;7.5 Quantum Resistance;172
12.5.1;7.5.1 Introduction;172
12.5.2;7.5.2 Mechanism;172
12.5.3;7.5.3 Shor’s Algorithm;173
12.5.4;7.5.4 Grover’s Algorithm;173
12.5.5;7.5.5 Imminence;174
12.5.6;7.5.6 Security Considerations;174
12.5.7;7.5.7 Quantum Resistance;174
12.6;7.6 Exercise;174
12.6.1;7.6.1 Introduction;174
12.6.2;7.6.2 Message Prep;175
12.6.3;7.6.3 Key Generation (RSA);175
12.6.4;7.6.4 Digital Signatures (RSA);177
12.6.5;7.6.5 Key Generation (Elliptic Curves);177
12.6.6;7.6.6 Digital Signatures (Elliptic Curves);178
12.7;References;179
13;Real-World Applications;180
14;8 Blockchain in Action: Real-World Applications;181
14.1;8.1 Introduction;181
14.2;8.2 Currencies;182
14.3;8.3 Cross-Border Transfers;183
14.4;8.4 Tokenization;184
14.5;8.5 Asset Tracking;185
14.6;8.6 Commodity Trading;186
14.7;8.7 Looking Ahead;187
14.7.1;8.7.1 Humble Beginnings;187
14.7.2;8.7.2 A Word of Caution;188
14.7.3;8.7.3 The Jury Is Still Out;189
14.8;References;191
15;Index;192