BLOCKCHAIN SOLUTIONS

In recent years Blockchain technology has been making headlines and boomed in popularity , thanks partly to its use in the cryptocurrency Bitcoin . However , new research from the University of Birmingham published in Telematics and Informatics

Reports has found that in most cases , the use of Blockchain may not needed .

When someone wants to explore if they should use Blockchain , they may turn to Blockchain decision schemes ( BDSs ) to help them decide to use it or not . There are three types of BDSs :

• Artificial Intelligence Blockchain decision schemes ( AI-BDSs )

• Flow chart Blockchain decision schemes ( FC-BDSs )

• Scored Blockchain decision schemes ( S-BDSs )

The most popular type of BDS is a flow chart scheme ( FC-BDS ), constituting around 77.5 % of all BDSs . Using a BDS is a more cost-effective option than going to a domain expert or consultant . However , there can be issues with the FC-BDS tools at people ’ s disposal .

Dr Joseph Preece , a Computer Scientist and Research Fellow at the University of Birmingham who led the research , said : “ Blockchain is a powerful data structure that provides a traceable , tamper-proof record of transactions . Using one can reduce the need for centralised authorities , and as such , researchers , entrepreneurs , and businesses have been exploring ways to use the technology for their specific needs .

“ For many , FC-BDSs can help in the decisionmaking process . However , our research has found that there are an overwhelming number of FC-BDSs to choose from , of which many suffer from inherent biases one way or the other . Overall , these schemes tend to suggest avoiding Blockchain , meaning that people are deciding to use Blockchain when a different solution could be just as good , or even better .”

The researchers reviewed and conducted an in-depth analysis of FC-BDSs . They found that the average model used eight questions and four outcomes to help users decide whether to use Blockchain or not . Most of the questions were focused on data and participation attributes , rather than security and performance , which do not give a holistic picture and may lead people to make an uninformed decision .

The study revealed that despite the vast number of different FC-BDSs available , some of the schemes had similarities of over 90 %. The researchers argue that this could be because FC-BDS publication is not a formalised process , despite the significant role it could play in an important decision .

Dr Preece explained : “ If you want to create and publish an FC-BDS then you do not necessarily need to go through peer review . It is also incredibly easy to get inspiration from , or copy , earlier models to build on . This means that some of these schemes end up with a lot of similarities , with only tiny changes to make them fit a specific need . Again , this flaw in the scheme could mean that people are steered in the wrong direction .”

The next step in the research is to compare the performance of FC-BDSs with the other forms of Blockchain decision schemes . The researchers also want to create their own FC-BDS , taking into account the findings of the study , and look to promote standardising the production and publication of these tools .

Dr Preece concluded : “ Blockchain is a very powerful piece of technology and can be incredibly useful . But currently , the tools used to help make decisions about its use cannot be trusted to be as accurate as the advice of a domain expert .” � www . intelligentfin . tech

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