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Introduction to Blockchain

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Presentation on theme: "Introduction to Blockchain"— Presentation transcript:

1 Introduction to Blockchain
Tony Trenkle, CHIO IBM Global Healthcare and Life Sciences May, 25, 2017

2 Blockchain is not the thing. It’s the thing that enables the thing.
Mark Buitenhek Global Head of Transactions Services ING

3 Shared ledger between a set of entities that faithfully records a series of transactions Combined with… A smart contract platform for embedding scripts that run across the network and can add new entries to that ledger.

4 Inefficient, expensive, vulnerable
Problem - Difficult to monitor asset ownership and transfers in a trusted business network Ledger Incident Ledger Party A’s Records Ledger Counter-party Bank records records API-integrations Party C’s Records Auditor records Ledger Party B Records Ledger Ledger © 2016 IBM Corporation 15 © 2016 IBM Corporation 15 Inefficient, expensive, vulnerable

5 Solution – shared, replicated, permissioned ledger
Party A’s Records Counter-party Bank records Ledger Ledger Ledger records Ledger Ledger Party C’s Records Auditor records Ledger Ledger Ledger Ledger Party B’s Records Ledger Participants have multiple shared ledgers NOTE : Participants same as before © 2016 IBM Corporation 15 © 2016 IBM Corporation 15 Consensus, provenance, immutability, finality

6 Bring Technology and New Business Models & Processes Together
Blockchain can be the center of technology that drives Value, Efficiency and Trust in business transformations HCLS Pain Points Technology Enablers Transformations in every part of business Interoperability, accessibility, and data integrity Privacy and Security Healthcare delivery models and cost Fraud and abuse Process complexity Customer engagement Procurement and contracting Regulation Revenue leakage Improving operations & lowering costs Creating new products & business models Driving engagement & customer experience Bring Technology and New Business Models & Processes Together Measure the Outcomes Develop Business & Digital Strategy © 2017 IBM Corporation

7 Blockchain is NOT Suited for high-performance (milestone) transactions
Suited for low-value, high-volume transactions For use cases involving only one participant A replicated database replacement A messaging solution A transaction processing replacement

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9 Blockchain for Business
Shared Ledger Append-only distributed system of record shared across business network Smart Contract Business terms embedded in transaction database & executed with transactions Privacy Ensuring appropriate visibility; transactions are secure, authenticated & verifiable Consensus All parties agree to network verified transaction IBM has an easy to access, proven and incremental engagement model giving customers the confidence to get started NOW Shared Ledger: Shared ledger – single source of truth Digital assets – record depository Smart Contract: Smart contracts – business logic Privacy: Secure – tamper proof (extra security) Audit-able – prove identity & ownership Confidential – permission control Consensus: Permissioned – participants identity Consensus – modular protocol Blockchain Benefits: Saves Time Business transactions automated and conducted in near real-time Removes Cost Business networks can eliminate intermediaries and scale easily Reduces Risk Business transactions become verifiable and auditable Increases Trust Through shared processes and recordkeeping © IBM 2016 9

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11 Top Friction Areas Top frictions that Trailblazers expect to reduce using blockchains Source: IBM Institute for Business Value Analysis ; EIU survey healthcare executives - 63% providers 37% payers, 16 countries

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16 Potential Linkage of Blockchain/EHR
Drew Ivan ONC /Nist Blockchain Challenge August 2016 Potential Linkage of Blockchain/EHR Figure 4. Architecture and data flow for the EHR with built-in blockchain client (option 1). 1.Upon completing an encounter, the EHR saves data locally, prepares a C-CDA version of the encounter data, and transfers it to the built-in blockchain client. 2.The built-in blockchain client encrypts the document using the patient’s public key and connects to the blockchain to transmit the document. 3.The C-CDA document, along with metadata about the document’s source and subject, is committed as a transaction to the blockchain. The nodes of the blockchain network use a consensus algorithm to determine the transaction’s validity, and when a quorum of nodes agrees to the change, it is permanently committed to the public ledger. 4.The blockchain stores all documents for all patients. 5.The PHR client is able to connect to the blockchain and download all documents for the patient. The documents are decrypted using the patient’s private key. 6.The patient is able to view the documents and share them with other providers.

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21 Rethinking Clinical Trials Management
Sponsor (Pharma/CRO) Regulator Protocol C RF DCF (Data clarification Form) Site’s Case Report Form (CRF paper) Regulator üAuditability and use for fraud detection üStandardize electronic Case Report Forms creation üProvenance of patient data through the chain of exchange, transformation and results üeCRF data can be checked in blockchain by any authorized participants Site or Pharma or FDA üUn- alterable record of protocols, eCRFs and protocol amendments üTraceability of protocol design elements to data collection © IBM Corporation © IBM Corporation 9 Page 9 1 Page 0 1 0

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25 Discussion Questions What do you see as the major policy inhibitors to beginning to implement Blockchain in your or any healthcare organization? One of the major building blocks for Blockchain is the creation of an ecosystem like we have done with other major technology/business advances. How best drive the growth of a healthcare blockchain ecosystem. What role should the government play? Do we need additional regulations, standards, or legislation? What role can HIMSS play? What do you see as the major friction points that can potentially be helped by Blockchain?

26 Contact Information Tony Trenkle, CHIO IBM Global Healthcare and Life Sciences


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