1. Max. width Min. height Max. height ING Orange RGB= 255, 98, 0 ING Light Grey RGB= 168, 168, 168 ING Indigo RGB= 82, 81, 153 ING Sky RGB= 96, 166, 218 Colour Guidelines ING Fuchsia RGB= 171, 0, 102 ING Lime RGB= 208, 217, 60 ING Leaf RGB= 52, 150, 81 ING Mid Grey RGB= 118, 118, 118 Text Colour RGB= 51, 51, 51 BlockChain Technology Oğuzhan Çetinkaya Influences on Finance Sector Istanbul 9 March 2016

2. What People Say about BlockChain Nicolas Courtois Cryptographer at University College London, “The most important invention of the twenty-first century” Oliver Bussmann Group chief information officer at UBS ”The blockchain had the potential not only change the way we do payments but it will change the whole trading and settlement topic.” David Whiteing CIO, Commonwealth Bank of Australia "It is clearly, in very clear terms, faster, cheaper and more transparent than some of the existing practices we have today" Elmer Funke Kupper Chief Executive, ASX Group "Every now and then, something comes along that might just change everything. And this is one of those moments" Goldman Sachs “The Blockchain, can change... well everything…”

3. What is Blockchain and How Does It Work? DeCentralized Data is distributed. Everyone has the same data Relying on cryptography instead of a central authority New way of Data/Transaction Management You can just add record You cannot delete, once added To add a record, you need consensus What BlockChain Brings? No need for Central Authority Reduce data management/security costs Improve Security Improve Privacy Global Transparency and Democratization Simply, BlockChain is Technology behind the Bitcoin. But it has the potential to do a lot more. New way of Trust One goal of moving transactions onto the blockchain is trustless trust. Proof of Work is the original consensus protocol It is based on puzzles which are difficult to solve, but once solved, it’s easy to verify that the solution is correct.

4. How Startups Use It make notaries and banks redundantnotaries Medici, The Blockchain Stock Exchange Medici, The Blockchain Stock Exchange.) Wills/Last Wishes Anyone can choose to create a digital crypto-will with particulars of beneficiaries, terms of execution etc. Genome Data DNA.Bits has announced plans to store genetic and medical record data using block chain technology Digital Rights Management It is a decentralized, blockchain DRM system for use by the music industry Social Messaging Allows users to safely and securely send encrypted messages worldwide. Anti-counterfeiting Prevent fake pharmaceuticals from entering the market. Voting Systems By casting votes as transactions, we can create a blockchain which keeps track of the tallies of the votes

5. Other Potential Uses MicroFinance Vehicle Registration Patents Gun Permits Copyright Smart Property Mediation Shared Financial Management Time-locked Transactions Trusts Wills ProofOfExistence Distributed Cloud Storage

6. What Did Financial Service Companies THINK About BlockChain? They had No Plan for BlockChain Till 2015. They were thinking a lot of Fintech Startup are the new competitors. They saw Bitcoin as a threat. They saw the Blockchain potential for: -Cost saving -New Opportunities On the other hand Bitcoin was the biggest BlockChain laboratory. They are now looking for opportunities, doing researchs, POC’s with BlockChain Startups.

7. What Financial Service Companies Are DOING About BlockChain? It has a team called "Crypto 2.0" in London conducting research on the technology. Announced Smart Bonds Platform based on Ethereum It had explored an "innovation lab" to investigate the potential of the blockchain. They have internally identified 20 to 25 use cases where this technology can be applied in InnoVentures. Citigroup has built its own digital currency based on bitcoin and the blockchain Bank of America has submitted 11 patent applications related to cryptocurrencies

8. R3 Cev BlockChain Consortium 42 banks have joined the blockchain consortium led by startup R3 CEV. Focused on proof-of-concept experimentation and the development of standards for blockchain tech.

9. More Than POC POC’s are time based, no commitment, does not show potential always. Small but end to end projects. Invest On trial projects and be ready for failures. Create a new team. Invest on your team, educate them, do not outsource. What SHOULD Financial Service Companies DO? Think Different Dhink about opportunities rather than problems Start New Start new projects rather than changing existing ones If you do not have a BlockChain Strategy, you are so slow on innovation! Implementing BlockChain : %80 Business Process, %20 Technology

10. What is Next Future for BlockChain? More & More Enterprises -especially Finance Service Companies- will Invest on BlockChain. Partnerships of Enterprises will evolve into Competition. VC Investments on BlockChain Startups will exceed 2B USD. We will see a lot of new usecase of it. And we will see the failures also. Bitcoin will be more widespread, and will be used for online banking also.