Blockchain and Acronis - Blockchain Meetup John ZANNI, CEO Acronis SCS & President Acronis International - Sandra Day O'Connor College of ...
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Blockchain Meetup Blockchain and Acronis John ZANNI, CEO Acronis SCS & President Acronis International 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 1
Acronis – Global Company World Leader in Cyber Protection Singapore Schaffhausen, Switzerland Scottsdale, AZ Founded in Singapore Established 2nd HQ in Acronis SCS by a Singaporean Switzerland for the global 40+ employees exclusively in 2003 expansion in 2008 serving the U.S. market 1,000+ employees • 50,000+ partners • 500,000+ businesses 5,000,000+ prosumers in 150+ countries 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 2
Acronis has Solutions for Every Customer and Company 46% 70% 75% 60% 79% of Fortune of Fortune of Tech Fortune’s of Healthcare of Top 100 Most 250 Top 10 Top 20 Top 20 Valuable Brands AMERICAS 200,000+ customers EUROPE 200,000+ customers APJ / MEA 100,000+ customers 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 3
Digital Landscape Complete Reliance on Data Threats to data The world is becoming increasingly digital Accidental data loss Businesses are driven by data Hardware failures Personal lives depend on data Phishing Medicine Pharming Communication Malware Public services Ransomware Travel Email scam Hacking Enterprise challenges Data is everywhere Local, cloud, physical, virtual, mobile Decentralized systems 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 4
Evolution of ransomware AIDS 1989 Cryptowall 2013 WannaCry 2017 $10B damage by NotPetya alone https://boingboing.net/2018/08/22/ andy-greenberg.html 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 5
5 Vectors of Cyber Protection Safety Accessibility Privacy Authenticity Security Data PROTECTION CYBER Security CYBER PROTECTION 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 6
The need for AI and Blockchain Attacks are frequent and changing fast: only AI can recognize the attacks and protect data. Changes to data are subtle and may not be noticed right away: only blockchain-based technology can verify the integrity of data. 5 Vectors of Cyber Protection provide holistic approach to protecting all data, applications and systems. 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 7
Unique Innovations Privacy Authenticity Security Hybrid Cloud Architecture: Blockchain-based digital Notary: AI-based protection: any source, any data, any data certification, time active detection and prevention destination – on-premises, private stamping and validation using of ransomware attacks, datacenter, service provider an immutable distributed vulnerability assessment, and or public cloud blockchain. security configuration. Advanced applications of Artificial Intelligence 1. Predictive security 2. Automatic data organization 3. Semantic search 4. Storage tiering 5. Automated compliance 6. Automated configuration 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 8
Acronis approach to Blockchain use 1. Solving a legitimate technical problem: ensuring immutability of existing digital objects 2. Validity of certification is based on existing public Blockchains – making Blockchain essential to the product 3. Solving scalability and efficiency problems outside of Blockchain 4. Building solution that Acronis partners and customers can easily use in practice Blockchain Acronis Is an append-only database with • Provides high throughput transaction order with the following solutions to store and data protection properties: exchange significant volumes • Immutable data storage of data in secure and verifiable • Secure time-stamping manner • Public audit • Where anti-tampering and verification is ensured by the But it is unpractical to store big blockchain algorithm chunks of data in a blockchain 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 9
Acronis focused on blockchain since 2015 2018 2017 2016 • Spin-off: Chainstack, Singaporean startup • Notary Cloud and File • First large industry clients Sync&Share on • Improved cost efficiency blockchain 2015 • Strategic initiative to • Notary Cloud Service for MSPs • Integration with Acronis develop applications of Data Cloud • 10+ patent applications Blockchain for data • Notary as plug-in feature • First Proof-of-Сoncept for innovative protection announced for cloud services project ‘tamper-proof’ blockchain • Blockchain powered Data (MSFT Office, email data storage with technologies filed attachments, Amazon Web Authentication Prototype verifiable sync and share services, OneDrive, • First Blockchain-related solutions Dropbox, Google Docs) service – Acronis Notary • First customers 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 10
Barriers to blockchain adoption • Fast growth creates challenges for long government decision making cycle, and for Technological figuring out the value from adoption Challenges • Not all government processes are/can be decentralized • Technology limitations are important: Regulatory • Security (“51% attack”, sensitive Challenges information), and privacy questions • Scalability (Every participating node to verify transaction) Business • Performance (e.g. Bitcoin: Challenges only a few transactions per second) The Blockchain Reality 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 11
Authenticity: Blockchain-based data certification More than 6.5 million files are notarized with blockchain products every month Notarize in blockchain Generate certificate Or Compact events Blockchain stores Notary stores User stores Packaging in chunks ensures high throughput certificate’s key certificate certificate 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 12
Case Studay: Acronis Notary and Log Audit Log data is a subject to security and retention Log data often contains policies, as well as sensitive data compliance mandates Protection of log data – both in transit to the log collection solution and when – an important concern Log data must be strictly controlled and never altered 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 13
Case Study 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 14
Acronis Notary Cloud A blockchain-based service for file notarization, e-signing and data verification for businesses of any size. Acronis Notary Cloud creates a unique digital fingerprint for files and stores it in a public blockchain ledger, enabling independent validation of a file’s authenticity and existence at a specified date and time. Allows to: • Ensure the integrity of business-critical data Eliminates the need for third parties to guarantee the immutability of data. • Achieve greater regulatory transparency Reduces the cost and time necessary to conduct an audit. • Reduce the risks to data’s security Adds a extra layer of protection that is powered by a mathematical proof. Ensure data is authentic and unchanged using blockchain technology 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 15
Easy to Use Solution to Gain Advantages of Blockchain Technology Notarization Service E-signature Service Verification Service Lets users notarize files of any Enables all required Once a file is notarized, type and record it in the parties to electronically allows confirmation from any blockchain ledger sign files device, at any time Any Industry. Any Document. Any File. 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 16
Beta 2: New in Acronis Notary Cloud More options for custom branding Thanks to the new options for custom branding now it is possible to fully customize the service including its logo, URLs, color scheme and “buy” button. Hard quotas Acronis Notary Cloud incorporates the ability to set hard quotas for the clients. This feature allows service providers to flexibly adjust licensing and pricing according to business needs. Management at unit tenant level Now it is possible to manage the service at the unit tenant level. This feature is very useful for companies with many divisions and regional offices distributed around the globe. 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 17
Blockchain market momentum Global blockchain market, 2016-25 Government is #2 blockchain market 5% By type 20% Public $B 75% Private Hybrid CAGR(2021,25) = 40%+ https://www.acronis.com/en-us/articles/blockchain/ 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 18
Gov agencies in 10+ countries are examining blockchain US Canada UK Denmark Sweden Estonia Georgia South Korea Most active public service use 1 2 346 9 3 1. Digital currency/payments 2. Land registration 2 1 2 3 5 7 8 3. Voting (elections) 1 3 4. Identity management 1 5. Supply chain traceability 12 6. Health care 7. Voting (proxy) UAE India China 8. Corporate registration 9. Entitlements management *Measured by observing the number of public sector blockchain experiments planned, in 10+ on-going projects progress, or stalled globally 20+ countries plan to start trials this year 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 19
Blockchain has broad range of applications beyond bitcoin Automotive Charity/Donation Credit History Education Real Estate IoT Data Security Track history of Track donation Transparency and Verification of Trusted ownership, Distributed time- vehicle from pre- lifecycle, Reduce accuracy of academic transfers stamped data production to sale overheads reporting credentials agreement records of IoT Reduce transaction ecosystems costs Transport Media Government & Insurance Legal Healthcare Transparent IP rights control Voting Reduce multi- Time-stamped facts Patient records tracking Car Smart Contracts for Trusted audit stakeholder Smart contract with proof Sharing and public artist compensation Transparent voting contract cost rules / agreements Tracking Clinical transport Accountability Improved risk Trials Regulatory contract efficiency Supply Chain compliance mgmt management Cybersecurity Aviation Software Digital Company Cloud Storage Human Trusted data Maintenance Development Incorporations, Crowdsourcing Resources integrity records time- Time-stamping and transfer of unused storage Trusted track of management proof of ownership equity/ownership Cost efficiency and records, Proof of component in SW development and governance Increased security background origin Reputation, feedback management https://medium.com/fluree/blockchain-for-2018-and-beyond-a-growing-list-of-blockchain-use-cases-37db7c19fb99 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 20
How to leverage blockchain value in government realm? Real world examples Estonia South Korea USA • A digital identity card powered and secured • Provincial government of Gyeonggi-do • Delaware uses blockchain to track by blockchain recently tapped technology developed by operational & legal activities: company • i-voiting in operation, blockchain-based Linq blockchain startup Blocko for a vote on registration, share movement, shareholder platform for private capital market community funding communication • Plans to transfer e-medical records of 1 M+ • Illinois uses blockchain for Birth registry and citizens to blockchain-based identification system Details • Utah uses Private blockchain for online voting Details Argentina China United Arab Emirates • Since Jun 2017, government has been • Trade financing system on blockchain • Government strategy to move all using the OpenTimestamps Dapp to mark • Asset-backed securities on Shanghai government document flow to blockchain the times that it releases its official bulletins, Securities Exchange on blockchain based protocol with further expansion which it publishes each weekday • ‘Out-of-hospital prescription circulation’ ambitions by 2020 service Details Decentralization does not mean disorganization – government can use private blockchain https://medium.com/@bryzek/how-blockchain-is-used-by-governments-as-a-form-of-national-identity-e24a4eefb7d8 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 21
Estonia is among first blockchain adopters 2008 Testing started Keyless Signature Infrastructure is a blockchain • 1st country to use blockchain on national level technology designed in Estonia and used globally to make sure networks, systems and data are free of • 2nd fastest court proceedings in Europe compromise, all while retaining 100% data privacy 2012 Blockchain has been in operational use in Estonia’s registries: Linked Timestamping • National health + Proof of work + Formal proof (2003) + Inentives + Distrubuted consensus (2007) • Judicial + Attribution of origin (2010) • Legislative Bitcoin KSI • Security and commercial code systems + Post-quantum signatures (2014) Plans to extend its use to other spheres: + Smart contracts + Anti-tamper hardware (2014) + Provenance calculus (2016) + DLT integration (2017) • Personal medicine • Cybersecurity Ethereum KSI Stack • Data embassies 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 22
Since 2013, Chinese government, financial institutions, and innovators have been investing heavily in blockchain China is # 1 in blockchain patents $100 M funding in 2017, 40% YoY $1.6 B Global Blockchain Innovation Fund Jul 2018 Blockchain-powered trade financing system • by Hong Kong Monetary Authority and a Ping An Group fintech subsidiary, with over 20 banks involved Sep 2017 Blockchain-backed asset-backed securities on the Shanghai Securities Exchange • Jointy with Baidu Apr 2018 ‘Out-of-hospital prescription circulation’ service • Tencent, Guangxi Province, Liuzhou city, and other China plans to Establish National Blockchain Standards by 2019 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 23
USA has over 30 initiatives related to blockchain adoption on federal and state levels Birth registry and identification system • State of Illinois • individualization and enhanced improvement of the security of identities • jointly by Evernym and the Illinois State Government Private blockchain for online voting • State of Utah • State Republican Party has a secure and convenient option to participants in its Presidential Preference Caucus • Operated by Smartmatic Automated compliance of Public Archive with laws • State of Delaware • Delaware Public Archives do “beta” test for the blockchain technology within State government. • New “smart records” technology Company shares are authorized by distributed ledger • State of Delaware • Division of Corporations could validate and file the incorporation plus transfer the authorized shares to the new company. 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 24
Other examples • Government of Brazil announced its intention to move petitions and popular voting onto Ethereum • Canada is testing out using Ethereum to provide transparency to the use of government grants to ease citizens’ concerns of misappropriation and corruption • City of Zug, Switzerland— a long-time crypto bastion — began offering digital IDs registered on Ethereum in 2017 • Chile uses Ethereum to track the data and finances from the energy grid, hoping to combat corruption and exploitation through transparent, immutable data available for every citizen to see • Dubai is on the move to become an entirely integrated, blockchain-powered city by 2020 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 25
Blockchain adoption: current state and opportunities Now Promising use-cases Several financial institutions and • Verify vendors’ track records in public procurement technology partners plan to test an • Blockchain based electronic document flow interbank payments using DLT Implications of using digital tokens • Blockchain-certified regulation compliance as a virtual Singapore dollar • Tax collection based on smart contracts • Blockchain-certified web-content of government • Track a public officer’s career moves • Auditing processes on blockchain Building a national trade platform based on blockchain, connecting • Electoral rolls businesses, community systems • Digital identity and platforms, and government systems From a paper-based, delayed-reporting world to a more dynamic, real-time world https://www.psd.gov.sg/challenge/ideas/deep-dive/blockchain-trust-public-service‘ 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 26
Looking ahead • Blockchain is not panacea, but one of the ways how government can become more modern, especially in areas where decentralisation and transparency means increase in efficiency or convenience of G2C, G2B, G2G • Governments should carefully investigate possible opps, no fast / risky decisions • Best practices & Standardization will form in mid-term, but only 10…20 countries will be able to proceed with blockchain adoption where: • Access to qualified talent or relevant education initiatives • Favourable governance & regulation • Industry & Startups involvement • Only testing may lead to standard /best practice 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 27
Acronis focus on 3 use-cases Trust Cyber Protection Cost Efficiency Blockchain-certified web- Blockchain-certified regulation Blockchain based Electronic content compliance Document Flow Protect all government publicly Independent and granular audit trail for Scalable and efficient service for Data available data, incl. social media data of all stored data, indisputable proof that the Sharing & Collaboration between government officials - no fake news stored data has not been modified government agencies • Public trust in government is one of the • Currently regulatory transparency is • Easy, cost-efficient, secure technology most important foundations upon which ensured by an independent based on scaled Consortium Data the legitimacy, credibility and mathematical audit trail Sharing Platform sustainability of governments are built • Any file has its own unique fingerprint, • Verifiable intra- or inter-department data • Technologies are changing balance of thus availability and authenticity of a file exchange public trust from the governments to the can be checked even without revealing people rule • Multiple levels of shared data visibility the information • Immutability 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 28
For more information Acronis Resource Center www.acronis.com/resource-center Acronis Blog www.acronis.com/blog John Zanni jz@acronis.com 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 29
twitter.com/acronis facebook.com/acronis blog.acronis.com motorsport.acronis.com 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 30
Privacy: Hybrid Cloud Architecture Protecting all data, applications and systems ANY MANAGEMENT ANY PROTECTION ANY DEPLOYMENT Management software deployed and Backup Storage Local Private Cloud controlled independently, enabling control of data protection by customer, Sync&Share Partner Cloud Public Cloud service provider, vendor, partner, or third-party from public/partner/private Disaster Recovery cloud or customer premises ANY WORKLOAD ANY STORAGE ANY RECOVERY On-premises Private cloud Disk, Tape NAS, SAN Physical Virtual Cloud Partner Cloud Private Cloud Applications Mobile Public Cloud 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 31
Security: AI-based Ransomware Protection • Biggest stacktrace database – 400M records • Significant Computing resources investment • Ongoing Research – 10+ projects based on machine learning and deep learning • Experience • Collaboration with global AI community • Expertise More than 200k attacks prevented Files retrieved from the Cloud in 12 months Ransomware Ransomware If untrusted, block Several files are infects windows starts to encrypt and terminate the encrypted machine files threat Background Event Heuristics Whitelist / work logging reacts Blacklist check 15th ANNIVERSARY © Acronis, 2018. All rights reserved. 32
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