2018 June

EOS Shows Transparency is Essential in Resolving Smart Contract Disputes

Much has been made online over EOS’s handling of its first arbitration case earlier this week. For those who don’t know, a group of the chain’s block producers made a decision to freeze specific accounts in response to an apparent theft. An arbiter has ruled to freeze the tokens for now and return them from the alleged thieves to their original holders. It appears, from the evidence, that the block producers judged the situation correctly as an attempted theft and that justice was served.

However, despite the seemingly happy resolution of this specific incident, the way it was handled raises important and troubling questions for EOS and the broader blockchain community, as many observers have noted in the days since the event. Crucially, the decision was made by an anonymous group of network insiders with no input from the broader community or recourse to challenge the decision. This inequitable decision-making power – you might call it centralization – seems to go against the egalitarian ethos of the blockchain community as well as EOS’s own Constitution.

This is not to imply that EOS is wholly in the wrong. As blockchain entrepreneurs ourselves, we are intimately familiar with the unexpected twists and turns inherent in building a technology platform. We are inclined to agree with those who say EOS’s action was an understandable, one-off fix to a fast-moving situation in which the correct action was clear. It was a fudge, but an understandable one, and certainly preferable to the alternative in that instant. Nevertheless, it underscores how much work there is left to do if we are to build an industry with strong, transparent, reliable safeguards for smart contracts.

There are some concrete solutions to which we as a community can make a commitment in order to build the strongest possible blockchain future. In the case of smart contracts and arbitration, businesses should adopt a few fundamental best practices.

First, we must remember that a strong blockchain platform provides the tools for people to make good decisions. Decentralization does not mean insulation; it just means that participants have control over their assets and information and with whom they decide to share them. Mechanisms for dispute resolution must be robust, but transparent. The reason so many commenters are upset with EOS is the opacity with which it and its block producers acted. All participants must understand and be able to trust the parameters of any transaction they enter into. This transparency must extend to the arbiters, and the community should be able to remove them if they are judged to be corrupt. Transparency, an understanding of best practices, and a strong, equitable system for resolving disputes will be increasingly important as the space matures.

EOS has certainly achieved a great deal already, and we celebrate the progress they have made in moving the technology forward. But that should not distract us, as this recent incident makes clear, from doggedly continuing to establish the tools and safeguards the blockchain space will need if it is to be successful. Transparency and reliability in smart contract dispute resolution are a great place to start.

Meet The Team: Senior Engineer Grant Powell

Today we introduce Sagewise’s Senior Engineer, Grant Powell. Grant brings with him years of experience in the digital world and is well-poised to contribute towards our vision of developing a safety-net for smart contracts.

Grant, proficient in a multitude of programming languages, is an expert in the development of innovative technologies and digital products. Over the last fifteen years, Grant has produced hundreds of websites and applications. Most notably, Grant developed the first-ever live streaming platform for YouTube and the first application to integrate with Spotify’s Web API, used to match people based on their taste in music.

As we continue to grow, Grant will prove instrumental in executing Sagewise’s long-term vision and pushing forward our immediate goals. Grant is fascinated by blockchain and smart contract technologies. He is passionate about guiding these technologies toward becoming real-world solutions with valuable user experiences. Grant believes there is no limit to the market size or scalability of what Sagewise is developing as he is certain that “every single business will need to leverage these technologies in the future”. Drawing on his ample experience in both development and leadership, Grant will lead technical product development helping to build-out the SDK and real-world marketplace solutions for blockchain and smart contracts.

Innovative, creative, and business-savvy, Grant also brings to Sagewise his experience and success as a leader. As founder and operator of the digital agency Pomegranate, Grant has partnered with some of the world’s most notable brands including Google, Spotify, Porsche, Dow Jones & Company, among many others. Revealing his entrepreneurial spirit, Grant co-founded ServiceFirst Solutions, a payment technology company where he was the Chief Technology Officer. Grant also founded the very first peer-to-peer secure lending platform, YouPawn, where he was also Chief Executive Officer. Both of these endeavors have provided Grant with insight valuable to the crypto space. Creating applications that move millions of dollars on a monthly basis, Grant developed an intimate understanding of the intricacy of the code on which these transactions operate. Grant also understands the need for dispute resolution systems and believes that Sagewise will ensure accountability in smart contracts, an imperative as the crypto industry matures.

We are thrilled to welcome Grant to Sagewise as we build for the future.

For more information visit sagewise.io and engage via our Telegram.

Sagewise To Build Its Smart Contract Resolution Ecosystem on Hedera Hashgraph Platform

LOS ANGELES – June 6, 2018 – Providing peace of mind to all parties to a smart contract, technology company Sagewise will utilize the Hedera Hashgraph platform to build its ecosystem on top of. A blazing fast blockchain-alternative, Hedera Hashgraph will serve as the basis of Sagewise’s testnet, as the company realizes its mission to deliver transactional confidence and create a new legal paradigm.

Co-founded by Amy Wan Esq., an award-winning leader in legal tech, and Dan Rice, a veteran software engineering luminary and blockchain expert, Sagewise offers a proprietary SDK to mitigate variables such as the quality of smart contract coding and evolving situations. Sagewise does this by building in a layer of smart contract monitoring, notification, freezing, and dispute resolution to ensure that execution of a smart contract reflects the user’s intent. The hashgraph algorithm — a consensus mechanism based on a virtual voting algorithm combined with the gossip protocol — will help Sagewise achieve its goal by providing a framework for quick, fair, efficient and secure consensus.

“We believe justice should be decentralized, so our objective is to provide smart contract users a toolkit to settle errors and disputes, lest they end up with unintended outcomes. Smart contract losses exceeded half a billion U.S. dollars in value in 2017, so we feel it is integral to address the void in the industry,” said Amy Wan, Co-founder and CEO of Sagewise. “In order to reach our objectives, we knew scaling was of utmost importance, which is why we decided to work with Hedera Hashgraph. Its technology does not have the technical limitations of the existing blockchain, and provides distributed consensus.”

“From supply chain to financial services, smart contracts can be used in almost every industry; however, despite widespread adoption, the possibility for dispute is ever-present,” said Jordan Fried, Global Vice President of Business Development for Hedera Hashgraph. “Sagewise’s mission to help smart contract users quickly resolve disputes and reach consensus is greatly needed in the market, and we are pleased the team is choosing to build on top of hashgraph.”

For more information, please visit www.sagewise.io or view the Hedera whitepaper.

About Sagewise

Founded in 2017, Sagewise is a technology company focused on the efficient resolution of disputes involving smart contracts. Sagewise has developed a product comprising a smart contract safety net for blockchain users. The company’s proprietary SDK, released in April 2018, provides the tools and infrastructure needed for the effective handling of disputes at any stage in the development and execution of smart contracts, freezing contracts in place while they are being resolved. Sagewise’s mission is to provide peace of mind to all parties to a smart contract, ensuring that the outcome of a blockchain endeavor is consistent with the parties’ true intent.

To learn more about Sagewise, please visit sagewise.io or follow the company on Facebook, LinkedIn, and Twitter.