China Blockchain Technology white Paper

1: Blockchain and cloud computing
Blockchain technology development, research and testing work involving multiple systems, time and capital costs and other issues will hinder the breakthrough of blockchain technology, software development based on blockchain technology is still a high threshold of work. Cloud computing services with resource resilience, rapid adjustment, low cost, high reliability, can help small and medium-sized enterprises to quickly and cost-effective blockchain development and deployment. The convergence of the two technologies will accelerate the maturation of blockchain technology and drive blockchain expansion from the financial sector to more areas.
In November 2015, Microsoft provided BAAS services in the Azure Cloud Platform and was formally opened to the outside in August 2016. Developers can create a blockchain environment in the simplest and most efficient way. IBM also announced the launch of the Blockchain service platform in February 2016 to help developers create, deploy, run, and monitor blockchain applications on the IBM cloud.
2: Blockchain and Big data
Blockchain is a kind of non-tamper, all-historical database storage technology, huge chunk data collection contains all the history of each transaction, with the rapid development of blockchain application, data scale will become larger, the data fusion of different business scene blockchain expands data scale and richness. Blockchain provides the integrity of the ledger, and the ability to analyze data statistically is weak. Big data with massive data storage technology and flexible and efficient analysis technology, greatly enhance the value of blockchain data and the use of space.
Blockchain for its trustworthy, secure and non-tamper, so that more data is freed up to promote the massive growth of data. The traceability of the blockchain allows data to be kept on the blockchain in every step of the collection, trade, circulation, and calculation analysis, making the quality of the data more credible than ever before, and ensuring the correctness of data analysis results and the results of data mining. Blockchain can further standardize the use of data and refine the scope of authorization. The data transaction flow after desensitization is advantageous to break through the information island, establish the data horizontal circulation mechanism, and based on the value transfer network of blockchain, and gradually promote the formation of the data trading scenario based on globalization.
3: blockchain and the internet of things
Internet of Things (IoT) is an extension and expansion network, which realizes information exchange and communication through the application of computer technology such as intelligent perception, recognition technology and pervasive computing, and can also meet the requirements of the deployment and operation of blockchain systems. In addition, the blockchain system network is a typical peer-to network, with distributed heterogeneous features, and the Internet of things has distributed characteristics, each device in the network can manage their interactions in the role, behavior and rules, the establishment of a blockchain system consensus mechanism has an important support role. According to the relevant agencies forecast, 2020 will reach about 25 billion units. With the increase in the number of devices in the Internet of things, if the traditional centralized network model is managed, it will bring huge investment in data center infrastructure construction and maintenance. In addition, the network mode based on the centrality also has the security hidden danger. The decentralized nature of the blockchain provides a means for the self-governance of the Internet of things to help devices in the Internet of things understand each other and enable devices in the Internet of things to know the relationships between different devices to achieve decentralized control of the distributed internet of things.
4: Blockchain and next-generation mobile communication network
Blockchain is a point-to-point distributed system, and multicast communication between nodes consumes a lot of network resources. With the gradual expansion of the block chain volume, the consumption of network resources will increase with geometric multiples, which will eventually become the bottleneck of blockchain performance. 5G Network as the next generation mobile communication network, the theoretical transmission speed of up to dozens of GB per second, which is hundreds of times times faster than 4G network transmission speed. For the blockchain, the blockchain data can achieve the speed synchronization, thus reducing the generation of inconsistent data and improving the efficiency of the consensus algorithm. Other
, approximately 50 billion devices are expected to be connected to the 5G network by 2020, and will be integrated into the internet of things. The development of the next generation communication network will greatly improve the performance of the blockchain and extend the application scope of the block chain.
5: Blockchain and encryption technology
The application of modern information is becoming more and more globalized and universal, and the requirement of information security, in addition to anti-tampering, anti-repudiation, credible and other basic security, need to strengthen the security of privacy protection, identity authentication and so on. In a sense, blockchain technology is due to the development of modern cryptography, but today's blockchain technology is mainly used in cryptography 20 years ago, there are many problems to be solved. The application of blockchain technology to more distributed and multi-identity participating scenarios, whether existing encryption technology satisfies the demand, need more application verification, but also need to deeply integrate the cryptography frontier technology, including the current international and domestic in the 0 knowledge proof, multi-party security computing, group signature, lattice-based cipher system, State-of-the-art cryptography and other advanced technologies. The new blockchain technology helps to promote the information communication mode from multi-to-multi communication to the Internet of things communication mode, and cryptography needs to innovate to meet the security requirements of the complicated communication ways, and in a way, the blockchain technology promotes the innovation of cipher system, and also brings new development opportunity to modern cryptography. At the same time in the blockchain governance process, the identity authentication system is the first priority, the digital certificate for the blockchain technology is also extremely important, the development of the blockchain technology to the digital certificate development and application also has the great promotion function.
6: Blockchain and Ai

The artificial intelligence network based on blockchain can set up a consistent and effective device registration, authorization and perfect life cycle management mechanism, which is helpful to improve the user experience and security of AI devices. In addition, if all kinds of artificial intelligence devices through the blockchain interconnection, interoperability, it is possible to bring a new economic model, namely, human organizations and artificial intelligence, artificial intelligence and artificial intelligence between the interaction of information and even business dealings, The Unified Blockchain Foundation protocol allows different AI devices to accumulate learning experience in the interactive process, thus realizing the further improvement of AI degree.

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In the field of asset management, equity, bonds, notes, receipts, warehouse orders and other assets are managed by different intermediary agencies, raising the transaction cost of such assets, and also easy to bring about the forgery of certificates and other issues. In the securities sector, a series of processes during the life cycle of the securities trading takes a long time and increases the operating costs of the backend in the financial institutions. In the field of clearing and settlement, the infrastructure and business processes of different financial institutions vary, and many manual processes are involved, which greatly increases the cost of business and is prone to errors. In the domain of user identification, the user data between different financial institutions is difficult to achieve efficient interaction, which makes the cost of duplicate authentication higher, and indirectly brings the risk of user identity being compromised by some intermediary agencies. Based on blockchain technology, which can realize the value transfer of point-to-point, through the digitization of assets and reconstruction of financial infrastructure structure, we can achieve the goal of greatly improving the efficiency and cost reduction of financial assets transaction, and can solve the existing problems of payment to a large extent.

A supply chain is a complex structure that is composed of logistics, information flow, and capital flow, and connects suppliers, manufacturers, distributors, retailers, and users in the industry. Blockchain technology, as a large-scale collaboration tool, It is naturally suitable for use in supply chain management. Make the data transparent to the parties involved in the transaction, thus forming a complete and smooth flow of information throughout the supply chain, which ensures that the participating parties identify problems in the operation of the supply chain system in a timely manner and identify solutions to problems, thereby improving the overall efficiency of supply chain management. Secondly, the characteristic of the existence of the data tamper-proof and time-stamp of the blockchain can be used to solve the disputes between the participating subjects in the supply chain system, and to realize easy proof and responsibility. Finally, the combination of data non-tamper and transaction traceability can eradicate counterfeit and shoddy problems in the process of product circulation in the supply chain.

In the process of logistics, the use of digital signature and public private key encryption and decryption mechanism, can fully guarantee the security of information and send, the recipient's privacy. For example, a courier handover requires both private key signatures, each courier or courier Point has its own private key, whether to sign or delivery only need to check the blockchain. The end user does not receive the courier will not have a signature record, courier can not forge signatures, so the courier will stop the fake signature to evade assessment behavior, reduce user complaints, to prevent the impersonator of goods wrong. And the true recipient does not need to express the real-name information directly on the courier, because of security and privacy, so more people are willing to accept the real-name real-name, thereby promoting the implementation of the national logistics real name. In addition, the use of blockchain technology, through the intelligent contract can simplify the logistics process and greatly improve the efficiency of logistics.

Technical Requirements:
1. Modularization and plug-in: In order to improve the efficiency, maintainability and portability of blockchain application, the core function of blockchain system should be modularized, configurable and extensible, so as to build the upper application easily.
2, high performance: Break through the existing blockchain technology performance bottleneck, improve the capacity of the blockchain system to meet the high concurrency performance requirements of the mainstream trading network.
3, Data consistency: the use of scientific and reasonable data algorithm, reduce data synchronization delay, ensure data consistency, avoid data confusion and inaccuracy, and reduce the risk of accidental fork.
4, interoperability: to achieve interoperability between different blockchain, need to adopt effective communication protocol, unified API and chunk data format, as well as efficient connection mechanism.
5, economic and reasonable: technology selection, in the premise of meeting the requirements, generally as far as possible to reduce the technical complexity, avoid high energy consumption of technical solutions.
6. Security and privacy: the pervasive application of blockchain technology requires security and privacy protection in many aspects, such as data storage, transmission and data application.

7, safe and reliable: actively implement the National Network security and information strategy deployment, priority to use safe and reliable hardware and software products.

A smart contract can be seen as a program that is automatically run on a blockchain and covers a range of programming languages, compilers, virtual machines, events, state machines, fault tolerance mechanisms, and so on. The virtual machine is the operating environment of the intelligent contract in the blockchain. The virtual machine is not only encapsulated by the sandbox, it is in fact completely isolated. This means that the code running inside the virtual machine does not have access to the network, file system, or other processes. Even a limited number of calls can be made between smart contracts.

Complex consensus agreements ensure that anyone in the system sees the same ledger, which is an important means of preventing double payments. Blockchain as a service (BaaS) platform

The current blockchain portability, compatibility, and interoperability standards. The main solution is the development platform is not unified, as well as the different blockchain portability, compatibility and interoperability issues. Blockchain technology and application are still in the development stage, and the international standardization work is only in the initial stage.

Domestic key enterprises, scientific research, universities and user units to strengthen the joint, accelerate the consensus mechanism, programmable contracts, distributed storage, digital signature and other core key technologies. In the future work, we will learn from the international open source Community construction and application model, through the Forum member units to strengthen cooperation, the construction of China's blockchain open source community, improve the security and reliability of blockchain technology level.