Re: Blockchain and Networking

[William Herrin <bill () herrin us>]

On Tue, Jan 23, 2018 at 8:17 AM, Jimmy Hess <mysidia () gmail com> wrote:

> On Tue, Jan 9, 2018 at 10:22 AM, William Herrin <bill () herrin us> wrote:
>
> > On Tue, Jan 9, 2018 at 1:07 AM, John R. Levine <johnl () iecc com> wrote:
> The promise of blockchain is fraud-resistant recordkeeping, database
> management,

Hi Jimmy,

That is -so- not the case. The single most important concept in fraud
resistance is reversibility. Once a transaction is determined to be
fraudulent, the authority making the determination must be able to reverse
the transaction. Banks bouncing a check. The tax records office restoring
ownership of a house upon order by the court.

Blockchain's objective was to make transactions non-repudiable and they
succeeded. However, that interacts with its decentralized nature to make
those transactions irreversible as well.

Bitcoins have been stolen from exchanges. The fraud can't be reversed.
Blockchain is not resistant to fraud.

Regards,
Bill Herrin



-- 
William Herrin ................ herrin () dirtside com  bill () herrin us
Dirtside Systems ......... Web: <http://www.dirtside.com/>