IBM Systems Magazine, Mainframe - September/October 2016 - 22

Built-In Security
Blockchain immutability relies
on keeping copies of the data on
multiple databases and ensuring
they're always kept in sync. In
addition, the data can't be deleted
or changed without the action
being noticed, Dillenberger notes.
The software uses hashing-a
function where data is put into the
system and yields a deterministic,
opaque value-to keep track of
data changes. "Since hashing is
deterministic, if you give a hashing
function the same data, it will
come up with the same hash value.
If you change the data, a hashing
function will come up with a different hashing value," Dillenberger
says. You can hash information
with the hash of a prior record or
the rest of the blockchain data.
If someone deletes or changes
a record, the hash value will no
longer match the recorded hash
values in all of the other copies of
the blockchain. In that case, the
rest of the blockchain network
recognizes that the records no longer match. The protocol doesn't
allow you to remain a part of the
blockchain until your database is
synced with the others, she notes.

{
An advantage
of running
blockchain on
z Systems is
HiperSockets,
an accelerated
network
communication
that provides

7x
more throughput
and

82%
faster response
time to speed
communications

Additional security components
of the blockchain ensure intruders
can't access the data. Members of a
blockchain are issued a certificate
by a certificate authority that's a
trusted entity. If you can't produce
a certificate for a specific member,
you can't participate in that
blockchain, Dillenberger says.
To illustrate blockchain's
security, she uses the following
example: "Two identical
twins-Twin 1 and Twin 2-are
dressed exactly the same, and
this is recorded on a blockchain.
Twin 1 decides to put on a red
scarf, which is comparable to
adding a new record on the
database. Twin 2 must get a copy
of the red scarf from Twin 1 to
stay in sync. Whatever happens
with one of the twins-and it
could be hundreds of them-
happens to the others.
"However, if a malicious person
steals the red scarf from Twin 2,
that twin no longer looks like the
others. The blockchain software
sends information as a hash
function to all of the other twins
that Twin 2 no longer has the red
scarf. The other twins say, 'You
don't look like the rest of us. You

What Is Blockchain?
Blockchain is a secure, immutable ledger software that allows companies to
record and share information within the company or with outside entities. The
information being shared can only be accessed by those authorized to be part
of the blockchain. Because each change on the blockchain is recorded and
hashed, any of the participants can see the status of the information or transaction. It serves as a more secure way to track data.
Blockchain was originally conceived during the Great Recession to create a
currency known as bitcoin that couldn't be changed or manipulated. Because
of blockchain's inherent advantages, many industries, such as finance, manufacturing and healthcare, are looking at how to best employ the technology for
business processes.
-S.S.S.

22 // SEPTEMBER/OCTOBER 2016 ibmsystemsmag.com

have to go back and get a red scarf
before we let you add any records
to the blockchain.' When Twin 2
reports that the red scarf has been
stolen, Twin 2 can communicate
with the rest of the blockchain
members to receive another red
scarf. Once this has been done,
Twin 2 can rejoin its blockchain."

Enabling Interaction
Blockchain gives companies the
capability to interact with others
to share information in a secure
manner. The blockchain group
can be a handful of companies
wanting to share information or,
in the case of other companies,
hundreds of members.
Interactions between blockchain
members vary from payments
to the provenance of a product.
Some companies are looking at
using blockchain to provide a
clear record for auditors.
IBM plans to use blockchain for
its supply chain network. "We are
asking our suppliers and partners
to use the blockchain to record
when we ask for products, when
the invoice has been approved,
when payments have been sent
and when payments have been
received," Dillenberger says.
The goal is to track each
transaction in the supply chain
as well as reduce the time it
takes to settle disputes, which
can take 44 days on average, she
notes. It frees developers who
no longer will need to write code
to learn the status of an invoice.
With blockchain, the developer
logs into a blockchain instance
and queries the status of the
invoice. The developer determines
the status of the invoice by
examining the other entries on
the blockchain. "It simplifies the
process," she says.


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IBM Systems Magazine, Mainframe - September/October 2016

Table of Contents for the Digital Edition of IBM Systems Magazine, Mainframe - September/October 2016

Table of Contents
Editor's Desk: Mitigating money matters
IBM Perspective: Linux on z Systems provides financial industry a foundation for blockchain
Partner PoV: Virtualization helps improve time to market and data center operations
IT Today: Blockchain's potential extends beyond the financial industry
Case Study: The Right Tools: Educational Testing Service streamlines application calls and improves PCI compliance
Cover Story: Process Transformation: Blockchain brings speed, security and transparency to business
Feature: A Modern System: IBM midtier solutions exploit API and microservices to drive innovation
Special Report: Mainframe Security Survey: Unauthorized users and external hackers are top concerns cited in survey
Tech Corner: Create a DevOps pipeline for Java applications in CICS
Solutions: zVT Control Center, dbDefender DAM Agent for DB2
Stop Run: IBM software engineer balances his day job with acting
Reference Point - Global Events, Education, Resources for Mainframe
IBM Systems Magazine, Mainframe - September/October 2016 - Intro
IBM Systems Magazine, Mainframe - September/October 2016 - Cover1
IBM Systems Magazine, Mainframe - September/October 2016 - Cover2
IBM Systems Magazine, Mainframe - September/October 2016 - 1
IBM Systems Magazine, Mainframe - September/October 2016 - Table of Contents
IBM Systems Magazine, Mainframe - September/October 2016 - 3
IBM Systems Magazine, Mainframe - September/October 2016 - 4
IBM Systems Magazine, Mainframe - September/October 2016 - 5
IBM Systems Magazine, Mainframe - September/October 2016 - Editor's Desk: Mitigating money matters
IBM Systems Magazine, Mainframe - September/October 2016 - 7
IBM Systems Magazine, Mainframe - September/October 2016 - IBM Perspective: Linux on z Systems provides financial industry a foundation for blockchain
IBM Systems Magazine, Mainframe - September/October 2016 - 9
IBM Systems Magazine, Mainframe - September/October 2016 - Partner PoV: Virtualization helps improve time to market and data center operations
IBM Systems Magazine, Mainframe - September/October 2016 - 11
IBM Systems Magazine, Mainframe - September/October 2016 - 12
IBM Systems Magazine, Mainframe - September/October 2016 - IT Today: Blockchain's potential extends beyond the financial industry
IBM Systems Magazine, Mainframe - September/October 2016 - 14
IBM Systems Magazine, Mainframe - September/October 2016 - 15
IBM Systems Magazine, Mainframe - September/October 2016 - Case Study: The Right Tools: Educational Testing Service streamlines application calls and improves PCI compliance
IBM Systems Magazine, Mainframe - September/October 2016 - 17
IBM Systems Magazine, Mainframe - September/October 2016 - 18
IBM Systems Magazine, Mainframe - September/October 2016 - 19
IBM Systems Magazine, Mainframe - September/October 2016 - Cover Story: Process Transformation: Blockchain brings speed, security and transparency to business
IBM Systems Magazine, Mainframe - September/October 2016 - 21
IBM Systems Magazine, Mainframe - September/October 2016 - 22
IBM Systems Magazine, Mainframe - September/October 2016 - 23
IBM Systems Magazine, Mainframe - September/October 2016 - 24
IBM Systems Magazine, Mainframe - September/October 2016 - 25
IBM Systems Magazine, Mainframe - September/October 2016 - Feature: A Modern System: IBM midtier solutions exploit API and microservices to drive innovation
IBM Systems Magazine, Mainframe - September/October 2016 - 27
IBM Systems Magazine, Mainframe - September/October 2016 - 28
IBM Systems Magazine, Mainframe - September/October 2016 - 29
IBM Systems Magazine, Mainframe - September/October 2016 - 30
IBM Systems Magazine, Mainframe - September/October 2016 - Special Report: Mainframe Security Survey: Unauthorized users and external hackers are top concerns cited in survey
IBM Systems Magazine, Mainframe - September/October 2016 - 32
IBM Systems Magazine, Mainframe - September/October 2016 - 33
IBM Systems Magazine, Mainframe - September/October 2016 - 34
IBM Systems Magazine, Mainframe - September/October 2016 - 35
IBM Systems Magazine, Mainframe - September/October 2016 - 36
IBM Systems Magazine, Mainframe - September/October 2016 - 37
IBM Systems Magazine, Mainframe - September/October 2016 - 38
IBM Systems Magazine, Mainframe - September/October 2016 - 39
IBM Systems Magazine, Mainframe - September/October 2016 - 40
IBM Systems Magazine, Mainframe - September/October 2016 - 41
IBM Systems Magazine, Mainframe - September/October 2016 - Tech Corner: Create a DevOps pipeline for Java applications in CICS
IBM Systems Magazine, Mainframe - September/October 2016 - 43
IBM Systems Magazine, Mainframe - September/October 2016 - 44
IBM Systems Magazine, Mainframe - September/October 2016 - 45
IBM Systems Magazine, Mainframe - September/October 2016 - Solutions: zVT Control Center, dbDefender DAM Agent for DB2
IBM Systems Magazine, Mainframe - September/October 2016 - 47
IBM Systems Magazine, Mainframe - September/October 2016 - Stop Run: IBM software engineer balances his day job with acting
IBM Systems Magazine, Mainframe - September/October 2016 - Cover3
IBM Systems Magazine, Mainframe - September/October 2016 - Cover4
IBM Systems Magazine, Mainframe - September/October 2016 - Reference Point - Global Events, Education, Resources for Mainframe
IBM Systems Magazine, Mainframe - September/October 2016 - SE1
IBM Systems Magazine, Mainframe - September/October 2016 - SE2
IBM Systems Magazine, Mainframe - September/October 2016 - SE3
IBM Systems Magazine, Mainframe - September/October 2016 - SE4
IBM Systems Magazine, Mainframe - September/October 2016 - SE5
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