Blockchain &
Robotic Process Automation
Prof. Dr. Agnes Koschmider
Ad Persona
Prof. Dr. Agnes Koschmider
Since 05/2019:
Professor of Information Systems (Process Analytics)
Education:
Habilitation, Applied Informatics, KIT
Promotion, Applied Informatics, KIT
Organization
• Lecture
THU, 08:30 – 10:00 h
– Recordings
– via Big Blue Button: https://mediaportal01.rz.uni-kiel.de/b/sun-
1om-tk4-7zo
• Exercise
weekly from 16.11.2020 (explanation follows)
Lecture Overview
https://deich.pa.informatik.uni-kiel.de/vorlesungBlockchain/
Organization
• Consultation hours – Prof. Dr. Agnes Koschmider
▪ please ask via eMail
• eMail [email protected]
• Phone 0431 880-6387
Exercise
• Monday from 16:15 to 17:45h via Big Blue Button:
https://mediaportal01.rz.uni-kiel.de/b/sun-1om-tk4-7zo
• Blockchain block
– from 07.11.19 to 19.12.19
– theoretical exercises
– practical exercise with submission
• RPA block
– from 19.12.19 to 07.02.19
– theoretical exercises
– practical exercise with submission
Practical Exercises
• task is handed out and explained in the exercises
• have a two-week submission deadline
• questions can be asked in a special tutorial session
Exercise
Date Task
16.11.2020 first sheet
23.11.2020 presentation blockchains
30.11.2020 second sheet
07.12.2020 presentation Blockchain practical task
14.12.2020 special session: Q & A
04.01.2021 submission practical task / discussion
11.01.2021 third sheet
18.01.2021 presentation RPA
25.01.2021 fourth sheet
01.02.2021 presentation RPA practical task
08.02.2021 Q & A & submission practical task
Exercise - Contact
Organization
• Lecture recording
• There will be a video recording for the lecture
• Exam: to be announced
Services in OLAT
• in OLAT you will find all information and
announcements for the lecture and exercise
• work materials such as slides, exercise sheets,
solutions and further literature are available for
download
• the forum serves primarily for mutual exchange
between the students. Lecturers will also be happy
to answer questions and contribute to the
discussions in individual cases.
Lehrprogramm
Blockchain & Anwendungsdomäne
Robotic Process Automation
Entwicklung digitaler
Plattformen Datenverarbeitung
Anfrage Produktion Kontakt
Process Mining 1
&
Process Mining 2
Log Log Log
Grundlagen der Wirtschaftsinformatik
Introduction
Blockchain
History of Blockchain
• Basic features of secured linking of single blocks
was described in 1991 by Haber & Stornetta
• In the year 2000, a general theory for secured
linking of blocks was presented
• In 2008, Blockchain was mentioned as a protocol
and distributed database (by Satoshi Nakamoto)
• First implementation of the Bitcoin software took
place in 2009
Blockchain
• The blockchain is a distributed peer-to-peer system of
subsequently unchangeable ledgers whose information content is
preserved as sorted and concatenated data blocks by means of
cryptographic security technologies to maintain integrity.
• peer-to-peer system
• concatenated data blocks
• cryptographic security technologies:
network participants have their own private keys
• maintain integrity
(immutable)
PoW PoS
How does the blockchain work?
• A and B carry out a transaction
• Cryptographic keys are assigned to the A and
B transaction
• A new block is created that represents the
transaction
• The transaction is transmitted and validated by
a distributed network
• The block is then assigned to the blockchain,
which is a permanent record
• The transaction between A and B has ended
Elements of a Block: Nonce
Block x+1 Block x+2 Block x+3
Hash of x Nonce1 Hash of x+1 Nonce2 Hash of x+2 Nonce3
Transaction time-stamp Transaction time-stamp Transaction time-stamp
Nonce: is a random string that edits so-called "miners" to ensure that the hash
of the block meets the network's goals. It ensures uniqueness and prevent the
rerunning of transactions.
Elements of a Block: Hash
The most commonly used hashing algorithm is SHA-256:
For the same input, the SHA-256 algorithm will always
generate the same fixed-length output
▪ Hash should serve as a digital fingerprint
▪ Usually can not be decoded
Input SHA-256 Hash value
m 62C66A7A5DD70C3146618063C344E531E6D4B59808443CE962B3ABD63C5A
M 08F271887CE94707DA822D5263BAE19D5519CB3614E0DAEDC4C7CE5DAB7
M1 2D214CA69B86C255BE416D42CCA977A59B34A7492873105522C3501FAB806
Merkle Tree
▪ Hash-based data structure that maps data to a
key
▪ A representative hash of all
transactions included in the block
▪ Used for data transmission
▪ Instead of an information file,
hashes are used
▪ K. Zhang, H.-A. Jacobsen: Towards Dependable,
Scalable, and Pervasive
Distributed Ledgers with Blockchains
Concatenation
• the first block is called the genesis block
• anyone can group transactions into blocks
• if two participants calculate a valid block almost
simultaneously, then the longer chain will remain
• The other chain is returned to the pool with unconfirmed
transactions and reprocessed in the next block
• the consensus algorithm provides a way to append new
blocks to the chain
Block x+2 Block x+3 Block x+4
Block x+1
Block x+2 Block x+3
Consensus Algorithm
(Proof of Work)
available transactions validated transactions
node
group to be validated
Algorithm:
• retrieves a set of transactions from pending transactions
start process • the algorithm rewards participants who solve cryptographic puzzles
to validate • broad proof-of-work for all nodes (code to open the lock)
transactions
• write transactions to the blockchain if a proof-of-work is valid for the
majority of nodes (nodes can open the lock)
5544 5544
node 5544
node 5544
node
Consensus Algorithm
Functional requirements:
– Acceptance of the rules and laws defined in the
protocol
– Acceptance of nodes and interest groups that
adhere to these rules
– equal treatment for all network participants
If the rules are ignored, a node can be excluded
Consensus Algorithm
(Proof of Stake)
• a set of validators take turns proposing and voting on the next
block
• anyone who holds the blockchain's base cryptocurrency can
become a validator by sending a special type of transaction
• the weight of each validator's vote depends on the size of its
deposit (i.e. stake)
→ This algorithms depends on a validator's economic stake in
the network
risks of PoS:
• how to select the next validator
• what if a validator does not complete this job?
On-Chain vs. Off-chain
source: https://blog.enigma.co/building-on-chain-reputation-79139abe1730
Blockchain Systems
source: https://hackernoon.com/comparison-of-smart-contract-platforms-2796e34673b7
Difference between
Etherum and Hyperledger
Blockchain Stack
• K. Zhang, H.-A. Jacobsen: Towards
Dependable, Scalable, and Pervasive
Distributed Ledgers with Blockchains
How Blockchain could end
the trade in blood diamonds
Blockchain – yes or no?
souce: https://eprint.iacr.org/2017/375.pdf
Does a Blockchain always
make sense?
Use Case:
• We want our customers to be absolutely sure they are buying
expensive goods, such as watches, wines, or cars
• we link our wine bottle to a token supported by blockchain and put a
QR code on it
• Now, every step of the way (from manufacturer, to carrier, to store,
to customer) is confirmed by a separate blockchain transaction and
the customer can track their bottle online
→ is this system vulnerable?
• solution: a dishonest seller can make a copy of a real bottle with a
token, fill it with wine of lower quality, and either steal your expensive
wine or sell it to someone who does not care about tokens
https://kahoot.it/
