During the World Blockchain Summit Singapore, Charles Hoskinson talked about privacy, decentralization, identity, finance and how the decisions we take could influence the next generations life.

“Every generation had a challenge: grandfather’s time was who gets to run the world, the Nazis or the Americans; the next generations time was who gets to run the world, the Americans or the Soviets, then the Soviets collapsed, and we had different questions and different challenges, mine was to deal with this whole damned terrorism thing.”

This generation time is to decide what will the world financial system look like, said Hoskinson. Certain countries are thinking very carefully about how we create numbers and attach them to our citizens. All social media data, all travel record, political opinions go into one little profile and normalize all of it, and give you a number.  Higher the number is a better citizen you are, lower the number, the worst citizen you are. If the number gets too low you can’t travel, your passport is revoked, the taxes go up. He spoke about the Chinese government decision to control the population through more than 170 million surveillance cameras which will double in the next two years. China government, want with the help of AI, to identify every citizen and give them a score related to how good their behaviour is.

“It doesn’t matter where you grow up, doesn’t matter which country you are in, countries will take liberties if you give it to them.”

Hoskinson talked also about our generation goal and the decisions that we should take, what type of world do we want to live in:

“[…] do we want to live in a world where we control our own property and our own identity and our own reputation, our own assets or do we want to live in a world where we have a number stamped on our head, and we’ve gamified being a citizen[…].”

Most of Charles Hoskinson speech was focused on who should be in control of our identity, our privacy, our reputation, our data and how can we decentralize the storage and access our identities through different protocols. But what is so much meaningful about this particular protocols isn’t weather are they secure or not, did they work or not, did they perform or not. Is not how many transactions per second, but it is how’s in control? And that’s the hard part, stated Hoskinson.

Bitcoin is an excellent example of that because it is the most decentralized system we have, but in the same time, it’s not even close to decentralization, because ten mining pools control more than 50% of the hashing power.

According to Hoskinson, we are moving to an entirely new global world where it’s becoming harder and harder to know who the good people and bad people are, harder and harder to understand what the good money is and the bad money is. During his speech, Hoskinson talked about a notion of minimum viable escalation for compliance, where instead of people you thought about transactions. A world where for example a computer (not a human needed) just ask questions about where the funds came from. A concept called zero knowledge options. For example questions regarding age, citizenship, or if the money is taxed, and every country has a list of questions provided to those computers. Every question will be asked in an automated way and a simple yes or no answer will be given. The entity will receive only that knowledge without being necessary to receive any documents to be checked by a human operator. The blockchain is actually going to take us there in ten to fifteen years, said Hoskinson. He also stated that is going to be very easy to implement these models.

So now we are talking about two different systems. The first system is the one we are using to store, upload, generate, download and send private or receive data and information, which are stored on servers in different countries. The issue with this model is that the server owner have full control over this data. The second system is completely tied to blockchain, where the only difference is that you are the owner of your identity, reputation, and your data while in the other system, someone else is the owner of your data. Which’s one’s better?

“As we enter in the third generation of blockchains, leaving Bitcoin and leaving Ethereum and now going into the EOS, Cardano and IOTA, Ethereum 2.0, and so forth, we’re gonna start making an increasingly large and a larger amount of these decisions. We’re gonna start making decisions about how’s in control and how private do we need to be. We’re gonna start making decisions about how do we represent assets and knowledge[…]“

Our generation is right now rewriting the fictions of how governments are going to work, how your money is going to work, how your identity is going to work, and they eventually set. And then your children and your children’s children will grow up with them, just like the people at the Bretton Woods conference made decisions that we grow up with and our parents grew up with. “That’s probably the greatest legacy of the space and the greatest value of it. It’s exciting, it’s terrifying but I think will be ok,” stated Hoskinson.


Full video here:


Roxana Florea

Roxana is the co-founder of Blockchain Flash News. Passioned about blockchain and cryptocurrencies, she helps blockchain businesses increase awareness in the space by implementing strategic growth on social media.

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