blockchain

What Most People Get Wrong About Blockchain

I regularly hear people talk about blockchain, bitcoin and distributed databases in the business community. Cybersecurity is becoming more important by the day and business leaders are trying to find ways to optimize their technology work. So, I’m not suprised when someone tells me that they must get blockchain or do blockchain.   After a number of these conversations, I started to realize that most people get one thing fundamentally wrong with blockchain. Blockchain isn’t something you do.   The origins   Many people know the story of bitcoin and its rise to financial dominance. Few people know exactly why blockchain needed to be created, though. The problem with bitcoin and non-traditional financial transactions is there needed to be a factor of trust between two parties.   In our current financial system, banks act as the keeper of all records and therefore agents of trust. If I were to send someone money from my account, how can the recipient be sure that I didn’t already spend the money? In today’s environment, the bank ensures I do not overdraw or double-pay someone.   The creator of bitcoin needed a mechanism to ensure trust between two anonymous parties. The goal of blockchain was to replace the responsibility of the bank. Because there was no centralized ledger of transactions, he created a method to tie each transaction to the previous transaction. This is a chain of transactions, or blocks.   This chain of transactions is distributed across many computers and is used as a form of authentication. If a transaction doesn’t match the the chain of transactions, it likely isn’t valid and will not be added to the chain.   Blockchain validates bitcoin transactions and stores these transactions across a number of hard drives so the likelihood of a breach of trust is virtually zero.   Google vs. Microsoft   To get a better understanding of how blockchain compares to a standard bank, compare Google Sheets to Microsoft Excel. They are both similar software with similar functions and uses. A main difference between the two is how you send and receive updates when collaborating with someone.   Traditionally with Microsoft Excel you must make your updates, save it and then send it to someone else for them to make updates. Then, you have to wait for it to be sent back. Only one person can edit this file at one time. You are reliant on a some sort of version control to know which is the most accurate version.   This is how banks operate with traditional transaction environments. Only one person can access funds at a time. You initiate a transaction, then wait.   With Google Sheets multiple people have access to the same single version at the same time. They can view and edit the document without sending it back and forth. Version control isn’t needed because it is a main component of how the software functions.   Blockchain uses distributed, linked ledgers as a way to eliminate version control from banks or any other intermediately. While Google Sheets does not run on blockchain, the analogy is useful. The purpose and general functions of Google Sheets and Microsoft Excel are the same. The main difference is in how it accomplishes the general functions.   How, not what.   Blockchain is a method to ensure integrity of transactions between two parties. It isn’t just a peer-to-peer network or distributed network. It also isn’t just a ledger of accounts. Blockchain is a system to fulfill the responsibilities of a centralized, authorization organization in a distributed, anonymous and secure manner.   Blockchain has been used outside of bitcoin and currency for some time. Music companies like PledgeMusic are using blockchain technology to ensure artists are paid when fans listen to or download their music. Blockchain is used as the intermediary. AScribe is a service for artists to sell their work online and protect against copyright infringement.   Like the Google Docs analog and bitcoin, these two companies are using blockchain in how they conduct business not as what they do. Blockchain isn’t something you do, it is a way you conduct the technology side of your business. So, when someone says they need to adopt blockchain or “do” blockchain, they must clarify exactly the goal they are trying to accomplish.
stoic

What a 2,000 Year Old Philosophy Can Teach Technologists

The Stoics are known for their control of their emotions and for their pursuit of wisdom, truth and perseverance. After 2,000 years, the philosophy of Seneca, Marcus Aurelius and Epictetus still hold true. This is because Stoicism is practical in nature. While I find the history and inner workings of philosophy interesting, most do not. Stoicism is popular for a number of reasons. It is practical and not just conceptual.

 

The writings of the ancient philosophers focus on real-world tips and tools to apply Stoicism in your daily life. This is why people, like Tim Ferris, choose to use philosophy as a personal operating system. Technologists should use this 2,000 year old method to identify what matters and focus solely on those things. Here are four things Stoicism can teach us.

 

1. Your product must serve a real, identifiable problem.

 

A product must serve a problem that a customer has and is willing to pay for a solution. The problem must be real enough to cause customers to change. Seneca talks about life being similar to a play but the importance is “not the length, but the excellence of the acting that matters.”

 

The same goes for everything about your product, operations and business. The excellence of delivery is the only thing that matters. And it all starts with one thing - a problem worth solving.

 

The first step is to have a real problem to solve. But that isn’t the only thing that matters. You must have a clear reason why you are solving this problem. The cliche and often overused words by Seneca apply here: if one does not know to which port one is sailing, no wind is favorable.

 

The “why” not only drives your development process, go-to-market strategy and tactics but it influences team dynamics and hiring decisions. It has been written before, but you must know your why.

 

2. Focus on your minimally viable segment.

 

If you ask technology strategists how to launch a product they will come back with a number of buzzwords and phrases. Start lean. Be agile. Build an MVP. Launch a beta. Sure, this is fine advice. But often an important piece is missing.


“To be everywhere is to be nowhere.” Seneca wrote this words to help his students uncover the importance of mindfulness and focus. This applies even more so when selecting a first group of customers to tackle. The technologist should think in this way. To try to serve every one is to try to serve no one.


Identify your first core group of users and solve their problem first. They will be your early adopters and referrers and provide early feedback on how to grow your product.

 

3. Data and customers are your true north.

 

Marcus Aurelius wrote a daily meditation while running his military campaigns. He journaled frequently on topics of perseverance and wisdom.

 

“If someone is able to show me that what I think or do is not right, I will happily change, for I seek the truth, by which no one was ever truly harmed. It is the person who continues in his self-deception and ignorance who is harmed.” – Marcus Aurelius

 

Marcus Aurelius sought truth, the best technologists can find is data. You cannot ignore data as a technologist. All aspects of data are important but some are more important than others. Usability labs, traffic, customer behavior, feedback forms and digital metrics are just the beginning. When you encounter information on how your customers behave and what they want, you must adapt your strategy and tactics.

 

4. Anyone on your team can add value to your product.

 

Every team has a leader and every company a CEO. But, team members at every level could provide value to your product. Data scientists, software engineers, UX architects and product managers all have their relative expertise. Do not discount the potential for an intern or your CFO to provide excellent input and insight on features to build next.

 

Seneca the Younger in his Letters to a Stoic echoed this sentiment in his writings “I shall never be ashamed of citing a bad author if the line is good.” He was referencing ethics, reason, and good and evil, but the concept applies to product management. CFOs and interns can have great UX ideas.

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