New algorithm by AMIS handles more transactions-per-sec

The Istanbul BFT (Byzantine Fault Tolerance) Consensus Algorithm was released by AMIS Technologies
06 July 2017   1310

On July 4, AMIS Technologies, a blockchain infrastructure development Taiwan company, announced a new Ethereum-based consensus algorithm.

Ethereum

Is an open-source blockchain-based distributed computing platform featuring smart contract functionality, which facilitates online contractual agreements 

The algorithm is a major breakthrough in the consensus algorithms for Ethereum and it will be incorporated into J.P. Morgan's private Ethereum-based platform Quorum. As the developers claim, it will allow the platform, and any other platform that uses the algorithm, to handle more transactions per second.

The collaboration between AMIS and J.P. Morgan's private Ethereum-based platform Quorum The collaboration between AMIS, J.P.Morgan and the Ethereum community

Blockchain

Distributed database that is used to maintain a continuously growing list of records, called blocks

Alex Liu, CEO of AMIS, contrasted the classic Proof-of-Work method with the new protocol, arguing that "compared to Proof-of-Work (‘mining‘) that is currently in use in many blockchains worldwide, PBFT represents an important step forward in many ways" as "it ensures settlement finality, it speeds up settlement time to under 1 second from the current tens of seconds to tens of minutes, and it reduces energy consumption dramatically". According to Alex Liu, "for the consortium blockchains that most financial institutions are looking to deploy, PBFT represents the only way forward in consensus algorithms."

The algorithm will make Quorum more accessible to institutional users, by introducing PBFT (Practical Byzantine Fault Tolerance), which can scale to their needs by handling a greater transaction load. Go-ethereum client's pluggable consensus engine, a model that is adaptable to different consensus protocols, made it possible to bring together the PBFT protocols alongside Proof-of-Authority consensus, allowing for wide adoption among various application scenarios with differing practical needs.

Julio Faura, head of blockchain R&D at Banco Santander and chairman of the board at EEA , explained that "this is significant advancement in providing enterprises a range of 'pluggable' consensus algorithms, which is a core objective of the EEA". He also added that they are "proud to see EEA members such as AMIS not only contributing in such a meaningful way, but also in collaboration with other members such as J.P. Morgan".

Julio Faura went on to say:

Enterprise adoption of Ethereum has never been stronger, and is getting stronger everyday through efforts like these. 
 

Julio Faura
Chairman of the board at EEA and head of blockchain R&D at Banco Santander

Thomas Hu, CEO of Kyber Capital, one of AMIS's early investors, called this collaboration between AMIS, J.P. Morgan, and the Ethereum community "a great testament of the capability of AMIS and the Ethereum community to meet the mission-critical demands of global financial institutions". He also mentioned that it "establishes a new benchmark for strategic collaboration and co-creation between financial institutions and FinTech startups in global blockchain innovation."

Given that there are many consensus models, the Istanbul BFT Consensus Algorithm would be more desirable to institutions that do not want to use a Proof of Work-based consensus algorithm to confirm blocks.

AMIS continues to work with fellow EEA members including J.P. Morgan, Fubon FHC, and Taishin FHC to develop blockchain applications.

'Kodak Miner' Turned Out to be a Scam

KashMiner by Spotlite USA was promoted as Kodak branded bitcoin miner 
17 July 2018   143

The KashMiner bitcoin miner, exhibited at the Kodak stand during the CES technology show in Las Vegas, was in fact a product designed to mislead potential consumers and with a potentially unattainable potential return. This is reported by BBC.

Spotlite USA is licensed by Kodak's lighting division, which allows it to use the famous brand in its products. In January 2018 the company introduced its miner and announced that it intends to lease it. According to its business plan, potential users had to pay a commission before getting the device. It was expected that after depositing $ 3,400, the customer will receive a device that will allow him to easily cover expenses and receive revenue from bitcoin mining.

However the company did not have an official Kodak license to use the brand in the production of mining equipment and initially overstated the indicators of the potential profit of its device, refusing to take into account the growing complexity and costs of bitcoin mining. The advertising materials reported that KashMiner brings $ 375 a month, which, subject to a 2-year contract, would allow the client to receive $ 5,600 of profit after paying a commission. Experts from the industry of cryptocurrency call this offer a scam.

There is no way your magical Kodak miner will make the same $375 every month.
 

Saifedean Ammous

Economist

CEO Spotlite USA Halston Mikail previously reported that he plans to install hundreds of miners at the headquarters of Kodak. According to him, he already managed to place 80 miners there, but the Kodak spokesman denied this information.

While you saw units at CES from our licensee Spotlite, the KashMiner is not a Kodak brand licensed product. Units were not installed at our headquarters.
 

Kodak Spokesman

In a phone call with the BBC, Spotlite's Halston Mikail said the US Securities and Exchange Commission (SEC) had prevented the scheme from going ahead.