【Speaker】
Tatsuya Okabe
Data Traceability Dev. Sect., Answer Planning for Good Metropolis Dept.,
DENSO Company
Why Is DENSO Creating Blockchain?
Tatsuya Okabe: Good night. I am Tatsuya Okabe from the Data Traceability Growth Part, Answer Planning for Good Metropolis Division, of DENSO Company. First, I am going to define DENSO’s improvement of blockchain, after which clarify traceability, which I’m accountable for.
Let’s begin with the primary level. Lots of you might surprise why DENSO is engaged on blockchain. Earlier than explaining the rationale, let me introduce DENSO’s enterprise fields.
We manufacture automotive parts and promote them to automakers. We’re additionally concerned within the fields of MaaS, logistics, meals, and robots. Our enterprise primarily includes manufacturing merchandise and promoting them to prospects.
In view of social developments and prospects’ wants, it’s important to make sure that prospects have an excellent expertise after we promote them merchandise. We due to this fact intend to shift step by step to the product and repair enterprise. Information is essential for this.
Information is required within the service enterprise, so we’re conducting R&D on blockchain to make sure safety and provide excellent providers. We’re additionally concerned in QR Codes and logistics, so we’re additionally researching blockchain in an effort to provide environment friendly providers for brand spanking new in-vehicle companies.
Blockchain ≠ Cryptocurrency
First, let me clarify what a blockchain is. It is extremely essential to know {that a} blockchain will not be a cryptocurrency. For those who keep in mind that, I’ve achieved half of my job as we speak.
Blockchain expertise was invented by Satoshi Nakamoto in 2008 for bitcoin, a cryptocurrency. Right now, blockchain is utilized in fields apart from cryptocurrency as a means of stopping information tampering.
Blockchain expertise consists of three fundamental elements: the hash chain, the distributed ledger, and the consensus algorithm or mining.
First is the hash chain. In our day by day lives, we use many paperwork and information. On the earth of blockchain, these are known as “transactions.” When the quantity of knowledge will increase, we put the information into information, that are known as “blocks” in blockchain expertise.
When making a file, details about time is added to forged a spell. Subsequent, you “learn a file and summarize it in 64 characters” like a studying take a look at at elementary college.
That 64-character abstract is added to the subsequent file to create a brand new file. That is how a hash chain works.
If a part of a doc is altered, the worth of the abstract modifications, and the file to which the abstract was added can also be altered. Partial alteration causes the information to break down like dominos. This mechanism protects information.
I used an instance of summarizing a file in 64 characters in a studying take a look at as a metaphor. In blockchain expertise, we use hash values for cryptographic summaries. The traits of hash values are proven within the slide.
The second expertise is the distributed ledger. That is quite simple. It is sort of a newspaper. When there’s a financial transaction, the knowledge is instantly unfold all over the world by publishing a newspaper. If I attempt to cheat and do not ship the cash, everyone will shout, “Okabe, pay up!” as a result of the newspaper accommodates the knowledge. A distributed ledger is used to share info with different customers.
The third expertise is the consensus algorithm or mining. That is what makes blockchain expertise obscure. When new information is added, the query is, who ensures it’s correct? The consensus algorithm is designed to permit a person who wins a sport so as to add a block.
This requires a whole lot of calculations. Information stories have described the large laptop sources wanted.
The slide beneath exhibits developments at corporations that use blockchain expertise. Automakers and suppliers, together with Volkswagen, Renault, BMW, Bosch, Ford, and Daimler, have been growing new providers by utilizing blockchain in several methods.
In Estonia, blockchain expertise is used to handle official paperwork. It’s more and more getting used to handle paperwork and modifying software program in numerous fields.
Social Points That DENSO Desires to Remedy
Subsequent, I’ll clarify what we’re doing. The slide beneath exhibits some social points that we wish to remedy. They’re categorised into two fundamental classes: traceability and information utilization.
Traceability refers to a expertise to maintain observe of uncooked supplies, processing, best-by dates, carbon emissions, and vitality consumption of merchandise to be bought. I am going to clarify traceability later in additional element.
The objects proven in pink on the correct are categorized as information utilization. Not too long ago, the sharing financial system and automotive sharing have turn into more and more fashionable. Blockchain is used to guard essential information relating to cost and calculating insurance coverage premiums.
EVs are anticipated to enter the mainstream as eco-friendly automobiles. Gasoline gross sales will fall, making it tough to take care of roads. Blockchain could also be used to handle small funds made when automobiles drive on expressways and nationwide roads.
The slide beneath outlines our work. We are going to provide blockchain-based platforms for in-vehicle fields and traceability in addition to MaaS and inter-company providers. The presenters in respective fields are proven within the slide.
We’ve got a aggressive benefit within the in-vehicle enterprise, so we are going to implement blockchain in in-vehicle {hardware}. We may even develop distinctive blockchain expertise by linking the QR Code, which we developed, with blockchain.
Reaching Traceability by Combining Blockchain with the QR Code
Subsequent, I am going to clarify traceability, which is my subject.
At a burger store, you’ll have questioned earlier than consuming a hamburger the place the meat got here from or how the buns have been made. We purpose to supply traceability info to prospects utilizing a smartphone by combining blockchain with the QR Code.
By offering traceability info to finish customers, we are going to allow them to purchase and eat meals or use merchandise securely and safely. For corporations that introduce traceability options, we are going to allow them to extend the worth of their completed merchandise.
In growing traceability options, there are three fundamental points. First, how is it potential to guard traceability info from tampering by insiders or third events? We defend information by utilizing blockchain.
Second, how is it potential to substantiate {that a} completed product in entrance of you is linked with the traceability info? That is the difficulty of matching between info and merchandise. You’ll be able to see greens labeled “grown by Mr. X” in supermarkets. Maybe you could have questioned whether or not the veggies in entrance of you might be linked with the knowledge. We develop expertise to match traceability info with merchandise utilizing the QR Code.
Third, even whether it is potential to guard information by utilizing blockchain and the QR Code, introducing the system might not be straightforward. If there’s already a logistics system in place, will prospects make investments to put in our system?
The reply might be “no.” We’ve got due to this fact developed a particular QR Code by utilizing our expertise to make it straightforward so as to add our traceability resolution to present techniques. I am going to clarify the main points later.
Prevention of Information Tampering by Utilizing Blockchain
Subsequent, I am going to clarify the system we’ve developed. This slide exhibits three corporations: A, B, and C. Let’s assume that Firms A and B manufacture supplies and Firm C processes the supplies. Details about numerous corporations or manufacturing info owned by Firm A is put into blockchain, defending the information from tampering.
Firm A sends the knowledge and manufacturing historical past to blockchain, that are ready prematurely. The blockchain will retailer the information in a way that stops tampering. A abstract worth, specifically a hash worth, is returned. Firm A prints the QR Code with this hash worth and ships the merchandise. Firm B does the identical.
Firm C, a processing producer, scans the QR Code hooked up to the uncooked supplies it has bought. It places its personal info into the blockchain. When the knowledge is shipped to the blockchain, the information is protected against tampering, and a hash worth is returned. Firm C prints the QR Code to ship its merchandise. Traceability is ensured by repeating this course of. That is the system we have been growing.
For instance, when the QR Code proven on the decrease left is scanned, a hash worth proven in pink textual content, which appears to be like like a spell, is generated. It’s decrypted to disclose the next message: “This product was manufactured by Firm C on Could 3 by utilizing uncooked supplies manufactured by Firm A on Could 1 and Firm B on Could 2.” The smartphone app proven on the correct permits housewives and youngsters to examine traceability.
I wish to clarify the particular QR Code we’ve developed. It may be utilized to an present system with out main funding. Particularly, the QR Code is split into two separate fields. The knowledge required for the prevailing system is proven on the floor half. The knowledge required for our system is embedded within the confidential half. This eliminates the necessity to modify the prevailing system.
When an present smartphone or scanner is used, solely the floor half is scanned. This doesn’t have an effect on the prevailing system. When our app is used, the confidential half may also be scanned. This makes it potential so as to add a traceability system.
“Chilly Chain” and “Carbon Footprint” in Precise Purposes
I am going to now clarify precise purposes of traceability expertise. The left aspect of the slide exhibits meals temperature administration, which is known as the chilly chain. The expertise might be additionally used for managing the temperature of Covid-19 vaccines. Data generated by temperature sensors and GPS sensors is saved in blockchain in order that the temperature info and supply route might be tracked.
Carbon footprint is a more moderen utility. A smartphone app is used to examine CO2 emissions from the manufacturing course of by together with the carbon historical past within the manufacturing historical past or by acquiring info on the method to be traced.
Utilizing the traceability system, we’re working laborious to construct a system that permits prospects to examine the knowledge and buy and eat merchandise with peace of thoughts.
Thanks for listening!
