 All right. Hello everyone. Thank you all for coming. So I'm Yuan. I'm a product manager and developer evangelist at Chenling So today I would like to discuss the problem that you are solving at Chenling So the smart contract connectivity problem First off, why does smart contracts? Why do smart contracts matter? Why do we like smart contracts? Why is there super practical and super well revolutionary? First, smart contracts have some really key properties. They are deterministic. They are reliable They are number proof. Whatever input you have into a smart contract, you will know the output Now that's a big change from the digital agreements that you have today So in today's words for a derivatives contract for an insurance contract for trade finance It can always be delayed, right? So let's say a payment needs to be done once a package is delivered Well, for some reason this payment could be delayed by a third party which could act maliciously or just be Unreliable, right? So basically digital agreements of today are quite unsure. They are unreliable and if you have a choice to Basically have our world economy turned into some things that is better That is more secure and more reliable than we should probably do it, right? so Smart contracts are great, but why are we not using them today? Why today? Don't you have all the enterprises or businesses using smart contracts? Well currently smart contracts cannot communicate with the outside world It means that the real world data. So market fields IOT data for trade finance for insurance All of this stuff is not accessible on smart contracts So basically there are siloed and that's where the interoperability aspect comes If you don't have access to real world data, you have access to nothing. Basically you have access to the data That's on the blockchain This data is not going to change a word. You're not going to make a lot of stuff with it, right? so Let's go over the history of smart contract to basically see where where we came from and where we want to go So at first when Bitcoin came we had multi-sig So basically multi-sig if you had multiple signatures you allow the transaction to happen So here you got a couple of inputs which were the signatures and the outputs Which would always execute was allowing the transaction to happen Then we got protocol up-code smart contracts. So basically you had a smart contract you wanted to Unmitted into the protocol you had to contact the protocol developers for them to kind of implement your smart contract so that's a very bad approach because first it's very lengthy it takes time to implement and It's very insecure because you have to modify the protocol control the protocol codes each time You don't want to start touching protocol codes every time you want to implement something, right? It's very insecure. So then we got Ethereum the saviour basically which Created a 10x improvement on what you had before Now you are able to have smart contracts which could be rolled up in a few well hours a few days and Without needing any protocol change, right? so when this happened we saw the wave of tokens emerging so basically People had the freedom to start coding up tokens releasing them on the blockchain and that's what happened Like you if you give developers tools they'll start building and they'll start creating stuff That you didn't think of before so that's what happened We had a lot of tokens being created and that's fine. That's great However, it didn't change your right like nothing got disrupted really it kind of created a movement But if you want to take it further if you want to kind of disrupt to kind of create something better more transparent More secure for the enterprises the businesses Then we need to go a step further. What is a step further? It's basically allowing smart contracts to have access to real-world data So real-world data, what are those well market prices insurance? Like basically everything as it can be in a digital agreement As of today, we need to have it on the blockchain We need all the important inputs to be fed into smart contracts to trigger reliable contracts which can basically allow you to have services which You had before in digital agreements, but which were unreliable, right? So Basically to kind of explain what I was saying here we have basically data providers, which would be market prices, which would be IoT data and Basically those will allow you to have smart contracts for for instance, if you want to track the package delivery of well of a package, right, so you have multiple API endpoints which are feeding you Which are tracking a certain package when this package gets delivered you will have access To a payment, right, so you want to do a payment. Let's say in Bitcoin. So Basically in this case, you need to have access to the price of Bitcoin. So you meet multiple Data fins to provide you with this price. So that's what I'm saying. Basically, it's having inputs which are Which will basically allow you to trigger a smart contract which will do a payment Which will basically generate an output and in this case you need for the insurance contract. I was discussing the tracking of the delivery of the package delivery and the price of Bitcoin for instance So you have multiple use cases with sending to have the inputs the outputs and being able to communicate across blockchains basically so now This is fine. We want secure input. We want secure outputs and now how do we achieve it? Well first? Let's talk about how not to achieve it Let's say Currently if you were to use centralized Oracle to trigger a smart contract So let's say you have one Oracle feeding data into a highly secure highly decentralized Computation system which is built on Ethereum a smart contract now this system doesn't make much sense, right? Because you have the middle piece the smart contract, which is very secure and then you have the input Which relies on one centralized Oracle? Which means that if your input gets corrupt and gets hacked or is just malicious Then your contract will be triggered for no reason whatsoever. So you basically don't want to have an architecture where the middle part is very secure whereas the inputs and the outputs are insecure or centralized So in this case we strongly advocate against such a system, which wouldn't make sense You want and to end reliability your system is a secure as the weakest part of your system, right? So How do we have end-to-end reliability now a chain link are we we have multiple approaches to it, right? Our main approach that you are using right now is decentralization so very similar to Ethereum to Bitcoin where you have multiple actors each of these Actors has a version of the state of the network. So basically of the block that should be Appended to the blockchain well here each Oracle has a version of the data that should be fed into the smart contract and probabilistically We can assume that if most Oracle's have the same version of the data then this data is probably reliable. It's probably the right data, right? Very similar to consensus in Bitcoin or in Ethereum So we are using decentralization to find out what the right data point is what the source of truth that you'll be using in your smart contract is So that was the example I was talking about previously, but I forgot that I had this slide here So too bad Well, just to go over it you have a delivery package API, which is easy post Which will feed data into your smart contract. You have multiple oracles to do this basically having multiple oracles feeding you the same data source is Important because if you had only one if it was taken down or malicious it could probably lie, right? So having multiple ones is an insurance For security and for reliability So once your package got delivered something will be triggered inside the smart contract which says okay Package got delivered. I should make a payment. How do we make these payments in Bitcoin? So you have multiple oracles each one of them using Data provider which will be basically feeds the right price for the for Bitcoin And you can now make this Bitcoin payment from your smart contract So that's basically how we envision That's a simple use case, right, but you have so many out there like let's say for insurance you could have You know the new Tesla cars have a black box in the car, right? so you could have IOT data feed data to your smart contract whenever a Tesla car gets into an accident or something similar the black box will signal it to the smart contract and you'll be able to reimburse Automatically using an insurance contract the person who who got into the accident, right? So that's another example and you have so many out there like basically every digital agreements can be transformed into a smart contract so Yeah, basically our line of body of work a chain link is creating multiple chain links multiple oracle and data providers Which can allow you to have all the functionalities that basically currently iOS developers or Android developers have whenever you create Uber was created for instance read access to Google API, right? You had access to SMS API to payment API. Well, we want to have the same for smart contract developers We want to give you guys the tools to have Access to whatever API you need to build complex systems which can one day disrupt and revolutionize smart like digital agreements basically it's about making Smart contract the main form of digital agreements in today's societies and for this you need the right tools to do it, right? So that's basically our vision now on our security We have multiple approaches, right? But the more secure the better if you are going to trigger smart contracts with Where basically billions or trillions of dollars could one day depend on you need very very highly secure Inputs and outputs. So Decentralization is one approach. We have another one which is called the T trusted execution environment So chaining recently is working with the ic3 basically ic3 developed down cracker down cracker is basically An oracle which is using the trust execution environment to feed data into smart contracts. So T's have some very Interesting proper properties first one is a very small attack surface. So whenever you're using the TE It cannot be accessed by the OS or the application so there is a very small attack surface on this kind of hardware which is trusted execution environment and How does it work exactly? So what is the TE and how do we use it like down cracker for instance? Let's say you you want to feed data into a smart contract So you'd have a down cracker contract on the blockchain. It will get a request from a user contract to provide data it will ask the node operator which is running a trusted execution environment to provide this data and This node operator like the TE is composed of an enclave and an enclave is a part of the trusted execution environment which is Basically which guarantees your confidentiality and integrity So the one can see what's an opera what's a node operator is running and even the node operator cannot see What code he's running, right? So basically it allows you to be fully confidential in what you're doing and This property of confidentiality and integrity allows to have many use cases The first one is basically off-chain your computation where you can send encrypted codes to the trusted execution environment It will decrypt it it will compute it and then it will send it back So that's one of the properties another one is being able to manage credentials So now that you know that trust execution environments allow you to be fully confidential free private Even the node operator cannot access it It means that basically you can send credentials to it and no one will be able to see what these credentials are so let's say you want to do a payment using a banking API or PayPal, you know, whatever like you'll be able to send these credentials to the trusted execution environment for it to be processed and It's the same for private keys. I think a very nice property which Which you should be able to appreciate is basically being able to use private keys which can be managed by node operators running teas and Since no one can see this private key It can just be sent and it can allow to sign to sign transactions on other block chains, right using The nice property of confidentiality is a trusted execution environment offers So, yeah, let's not go too much into this Yeah, basically, I think that's mostly what I wanted to discuss. So just quick recap. I Think it's important to understand that Inputs and outputs like what you're trying to do a channeling is really securing and connecting the real-world data to smart contract to the blockchain words, so You can ever be too secure to do this That's why we are we want to use defense in-depth approach. We use decentralization We use trusted execution environments and we are going to use many other solutions. So we are using We are thinking about many other ones So we want to be able to connect all the real-world data into smart contracts for you guys to be able to develop compelling applications which can one day disrupt Today's digital agreement. So basically our mission is to give you guys the tools to build stuff that currently can be built with applications such as iOS and Android Be able to build these applications on the blockchain and leverage the smart contracts Which have such nice properties such as not relying on third parties being deterministic and so many others So it's basically building tools which can allow to Build more secure more transparent and more efficient systems for developers And that's about it. We've been on blocks. Also, we've been on the main net for I think two weeks So we are currently ramping up more and more on our integration site So I don't know if you guys saw the Google announcement recently where Google will be using chain link to provide Big query data into Ethereum. So basically chain link is used as a middle Where to do this and we have partnerships with Swift we have partnerships with many crypto companies and blockchains and we want to make this vision come true, which is to basically Interoperate between crypto and the real world. We want to kind of Take crypto out of the intranet where it is currently basically. It's very siloed You know and it doesn't communicate with the real world and take it to some things that can really kind of change the words Basically, so yeah, that's it. Thank you. And if you have any questions, happy Hey, thank you very much. It was a great talk This TEE trusted execution environment. It's something like super evolutionary to me. Is it already something that Works? Is it like can I see it somewhere in the code? Yeah, it has it has a lot of promises It also has some vulnerabilities currently many companies are working on it Intel SGX arms also is using its own implementation. So you can go to tantra website and see Basically in production use cases, but it's I think too early to have contracts rely With billions of dollars on it. So it's it has a lot of promises. It could really revolutionize a lot of stuff We are doing currently like but still takes more time Like I think it's the second layer of the defensive depth approach You know like the first one that you have to remember is decentralization Second one, which is very nice to have is TEE if it works. It's huge. Yeah Just wanted to confirm a bit the architecture really quick So chain link has its own network. It's its own chain and it has permission to write to contracts on Ethereum with real-world data Yeah, so sorry chain link is not its own chain So basically chain link deploys smart contract on Ethereum currently we are doing Ethereum But we are blockchain agnostic right so we want to be on every big blockchain where smart contracts are developed So there is smart contract on Ethereum this smart contract Which will receive a query from a user contract the user contract wants to get some piece of data Market prices IoT data, whichever, you know So it queries a chain in contract which will carry an oracle nodes Which is off chain and this oracle node will query Data source will fetch data from an API endpoint, right or multiple API inputs So that's the way it is and so you know, it's not its own chain However, we have node operators to run these nodes basically these oracle nodes we are talking about So it's not its own chain, but it has its own kind of economic system and the game theory system. Yeah Great. Thank you. Thank you. Okay. Thanks a lot John