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Blockchain allows a true digital identity based on reputation | Bernd Lapp | TEDxLausanne


I always recruited by the NFL the
National Football League the one that
place is Super Bowl every year the one
with these monster athletes well okay
I was not recruited as a player as you
might see but to run the fan development
and talent scouting Department in
Germany probably now are you asking
yourself am I in the right talk isn’t
this supposed to be about octane
technology and this guy talks about
sports I will talk about blocks an
identity in a very personal way not
technical more in a way that relates to
the world as you know it when I was
hired by the NFL it was the first time
someone Marshall hopper hired me for my
experience and not my certificates as a
hat none that related to this job but I
had something more important at that
time I was coaching a junior team in
Germany that managed to attract a lot of
young talent of players that was what
the NFL was interested in what I had
accomplished because they could see my
track record they could see the results
of my actions and these results gave me
a reputation the reputation I had built
gave the NFL the trust that I would be
the right fit for this position it got
me this job and it led to great results
I created a program that helped five
general players get into the NFL playing
professional football two simple words
with a big meaning trust and reputation
in 2007 the league in Europe played a
last championship game after 11 years of
working for the NFL I was unemployed
for the first time I had just bought a
house my daughter was four years old I
was devastated what did I have to offer
a new employer I was great at scouting
players and preparing them for a
football career but who needs it in
Europe where soccer is the number one
sports and I did not even try to get a
coaching job in the u.s. because we’re
reputation as a coach was not strong
enough after many years or after one –
actually of applying too many jobs I
finally found a position in digital
marketing the hiring manager believed
that my reputation even though it was
built in a different context was still
helpful for the job easily was hiring
for I became a product manager at the
online and it was a huge change and
challenge for me to work in virtual
topics after I worked with athletes the
whole time but the hiring manager was
correct my coaching skills helped me to
create a team out of online news editors
and we exceeded every goal that was set
for us in 2014 after six and a half
years of working 40 online I was ready
for a new challenge I felt confident I
had built up enough reputation different
industries now that I could take on any
position so I moved to Switzerland I
became the head of sales for mobile
banking startup and that where I learned
about blockchain blockchain finally
mentions it ok so here we go a developer
about a Barboza he explained to me the
technical novelty of this new of this
Bitcoin but most importantly he
explained to me the philosophy behind
blockchain and this really opened my
eyes because blockchain philosophy has
two fundamental elements I found so
important like
it’s trust and reputation the blockchain
is actually just a database the beauty
though is that the outcome of every
transaction is stored in many different
places at the same time which makes it
impossible to change data in a
fraudulent way if you take the word
transaction and delete the first part it
leaves you with action so every action I
do on a blockchain gets stored as a and
is unchangeable if you remember what I
said about the NFL when I got the job
there action leads to reputation a
blockchain gains more reputation the
more action it stores just like the more
positive outcomes I show in my career
the more reputation I gain in my job but
it is important to understand that the
blockchain is digital digital means
something is either 1 or 0 there’s no
other option
in case of reputation this means it
neither happened and I can prove it
through the blockchain or it never
happened but it’s also important to
understand that reputation on a
blockchain is not like a rating system
it has no sentiment it is objective and
therefore we can compare one person’s
reputation with another person’s
reputation but let’s jump into the
future let’s say ten years from now and
let’s see what this two new technology
will help us with transportation will be
done by driverless cars they take us
anywhere and these cars don’t even need
an owner we pay the car with a
cryptocurrency
and the cars use the payment to pay for
electricity and from paym and
maintenance they paid themselves we buy
goods on digital marketplaces directly
from the people that created goods
the marketplace itself just provides the
infrastructure for the people to do
business on top of it but it doesn’t
interfere with that but something else
affects the price of a good reputation
if the person buying has high reputation
he’s more trustworthy which means the
deal or the transaction on a blockchain
is more likely to go through without
trouble than with a person with low
reputation a greater risk or less Trust
results in a higher price for good just
like your credit score influences your
interest rate in this new future we
don’t say we go to work anymore because
we can work from anywhere and for anyone
sometimes we don’t even know who we work
for the work we do is based on tasks and
these are based on agreements in the
blockchain world an agreement is called
a smart contract which is computer code
that simply refines if this happens then
do that so this could replace our
employment contract and even includes
the payment process if we finish the
task and the outcome is as expected the
smart contract automatically pays out if
the outcome is not as expected the smart
contract has rules to deal with that
situation as every product we use is
built on the blockchain every action we
have is stored and all the time we
generate reputation on the blockchain
and our identity is the sum of all the
reputation we gain over time blockchain
identity is what now allows us to really
trust the person we deal with because we
know it has arrived from actions that
have really happened it is possible to
gain the same reputation through actions
as it is through study
in this future maybe we even believe in
these actions more than in the
reputation base of certificates nobody
knows the creator of the Bitcoin
blockchain
we only know him as Satoshi Nakamoto but
still we believe in him because he has
proven what he wrote in his white paper
Vitalik muttering the creator of the
Bitcoin of the etherium blockchain has
dropped out of college if he would have
applied for the job to create a
blockchain probably no wouldnt nobody
would have hired him if I’m looking for
a job again in ten years probably
I get jobs offered based on my skills
the skills I have proven to be correct
because the blockchain shows them the
employer will see people that match the
skills and he will take the person that
is the the best combination of price and
reputation it will look like a matching
engine for all of us maybe we are not
even ten years away from this this is
not as futuristic as you might think
today a lot of blockchain projects are
open source which means the code they
develop is openly accessible developers
join these projects because they see the
code they can read it and they believe
in a vision that this project wants to
create they even get paid in a
cryptocurrency of this project which has
the benefit that if the developer
creates value for users then the
cryptocurrency will generate more value
the developers believe in this vision
which creates a like-minded culture of
people but let’s compare this to the
hiring process as we know it today to
see the real difference a job
description is posted the hiring manager
receives many if not hundreds of
applications
then a very rough filter comes to play
it has a degree on one side has no
degree on the other side on the other
side maybe there’s a third pile has a
nice letter of application then the line
manager received the proof pile and goes
through with a very subjective filter so
finally he finds five to ten candidates
you want to interview I think we all
know this process so this takes around
two months to find a person for a job
but this does not mean this person will
create value for the company and fits
the culture guess what some people even
train for the application process they
might not fit the position but they’re
great at mastering the application if
this person does not fit the position or
the culture of the company that’s eight
months time lost remember when I was
told about Johan bono who hired me at
eonline he looked at a reference letter
of the NFL and believed in my coaching
background actually I could have easily
forged that so there is no truth in it
to some degree most of you I believe are
not involved in the blockchain project
or your project is not developed
open-source or community driven but
still you should remember these three
powerful messages that the blockchain
technology has incorporated reputation
is built from your actions your identity
is the result of your reputation which
is the sum of your actions Trust is
built on your reputation and it really
helps when you know that it derived from
actions that have really really happened
today I explained to you or you believe
me that I was recruited by the NFL in
the future this can be easily verified
the next time you will hear someone
explain blockchain technology you will
know it has more to offer than just the
financial value of Bitcoin [Applause]
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