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QWAFAFEW TALK
Dushyant Shahrawat, CFA
Block Chain: Trends,
Perspectives and Key Insights
Dec 15, 2015
QWAFAFEW Lecture on Blockchain_Dushyant Shahrawat
Let’s Do the Numbers…
$921 mill. Cumulative VC investment in Bitcoin
and Block chain companies
$121 mill. Largest funding total raised by Bitcoin
developer 21 Inc.
805 Number of early stage startups
30+ Financial institutions testing, analyzing and
investing in Block chain
11m Number of registered Bitcoin wallets in Sep
2015
106,000 Number of merchants who accept Bitcoin
Block chain technology is #1
innovation that Goldman Sachs is
investing in
Ex JPM execs remain committed to
Block chain despite top rival offers
R3 creates a consortium of securities
firms to agree to standards, and
develop use cases
VC Investment In 2015 Tops $500mill, 50% More Than In 2014
Q3’15
$87.5
Investor Base is Broadening with Corporates,VCs, Exchanges and FI’s
Jumping On The Bandwagon
Consider Block Chain in the Context of the Internet’s Evolution
Publishing
Brochureware
Ecommerce
Personalized,
Contextual service
What’s
Next??
“Bitcoin is to Block chain what
Pornography was to the Internet.”
We Are In Stage 3 of a 15 Year Evolution
2007-2009
EARLY STAGE GROWTH PLATEAU MATURITY
2010-2013 2014-2016 2017-2020 2020-2025
INCEPTION
Satoshi creates
Block chain
Few people even
know about it
Interest slowly
grows
Practioners,
private firms first
take notice
Startups begin
emerging
First Investments
begin
Mostly academics
involved Rising Popularity
Investment activity
explodes
Startups crawl out
of the woodwork
Amazing number of
use cases emerge
Governments take
serious note
VC Investment
slows markedly
Shakeout in
startup camp
Disappointment,
snake oil anyone?
Reality sets in
about use cases
Technology
matures, greater
standardization
Hype/pessimism
replaced with
pragmatism
Global agreements
and regulatory
rules mature
What Is It…
Benefits &
Characteristics...
Distributed Ledger Builds on Decentralized Systems
Source: WEF Draft Report. Not to be Reproduced
Four CharacteristicsDefine Distributed Ledgers
Source: WEF Draft Report. Not to be Reproduced
Benefits... and Challenges
Source: WEF Draft Report. Not to be Reproduced
QWAFAFEW Lecture on Blockchain_Dushyant Shahrawat
QWAFAFEW Lecture on Blockchain_Dushyant Shahrawat
Use Cases for Block
Chain
QWAFAFEW Lecture on Blockchain_Dushyant Shahrawat
QWAFAFEW Lecture on Blockchain_Dushyant Shahrawat
Many Applications Are
Emerging in Financial
Services
Three Major Use Cases Are…
Source: WEF Draft Report. Not to be Reproduced
Source: WEF Draft Report. Not to be Reproduced
Source: WEF Draft Report. Not to be Reproduced
Source: WEF Draft Report. Not to be Reproduced
Source: WEF Draft Report. Not to be Reproduced
Source: WEF Draft Report. Not to be Reproduced
Source: WEF Draft Report. Not to be Reproduced
Source: WEF Draft Report. Not to be Reproduced
Nasdaq’s Decision to Power Its Private Market Using Block Chain Is a
Major Endorsement
• Linq platform (part of Nasdaq’s Private Market) to run on block chain
• Brings liquidity, transparency and efficiency to private market
• Legitimizes ‘back of the envelope’ agreements
• Shot across NYSE’s bow, Nasdaq’s arch rival
Looking Ahead…
...What’s in Store
Bitcoin Infrastructure
(61 Companies)
Blockchain Innovations
(58 Companies)
Big Data (4)
Investments
(22 Companies)
Bitcoin Payments
(88 Companies)
Bitcoin Exchanges
(191 Companies)
Bitcoin Mining
(58 Companies)
Services
(74 Companies)
Bitcoin Financial Services
(112 Companies)
Bitcoin Wallets
(90 Companies)
News & Data
(52 Companies)
Trust (13)
Bitcoin
Gambling
(31 Companies)
Contact
info@venturescanner.com
to see all 738 companies
Bitcoin
MarketMap
We Are In Stage 3 of a 15 Year Evolution
2007-2009
EARLY STAGE GROWTH PLATEAU MATURITY
2010-2013 2014-2016 2017-2020 2020-2025
INCEPTION
Satoshi creates
Block chain
Few people even
know about it
Interest slowly
grows
Practioners,
private firms first
take notice
Startups begin
emerging
First Investments
begin
Mostly academics
involved Rising Popularity
Investment activity
explodes
Startups crawl out
of the woodwork
Amazing number of
use cases emerge
Governments take
serious note
VC Investment
slows markedly
Shakeout in
startup camp
Disappointment,
snake oil anyone?
Reality sets in
about use cases
Technology
matures, greater
standardization
Hype/pessimism
replaced with
pragmatism
Global agreements
and regulatory
rules mature
Some Factors That Could Jeopardize, or Slow Growth
• Regulatory change of heart
• Lack of international coordination
• Privatechainssplinter ongoing growth
• Slow adoption and lethargicpaceof development causeinnovation fatigue
• Powerful commercial interests get in theway
Dushyant Shahrawat, CFA
Dec 15, 2015
HAPPY HOLIDAYS!

More Related Content

QWAFAFEW Lecture on Blockchain_Dushyant Shahrawat

  • 1. QWAFAFEW TALK Dushyant Shahrawat, CFA Block Chain: Trends, Perspectives and Key Insights Dec 15, 2015
  • 3. Let’s Do the Numbers… $921 mill. Cumulative VC investment in Bitcoin and Block chain companies $121 mill. Largest funding total raised by Bitcoin developer 21 Inc. 805 Number of early stage startups 30+ Financial institutions testing, analyzing and investing in Block chain 11m Number of registered Bitcoin wallets in Sep 2015 106,000 Number of merchants who accept Bitcoin Block chain technology is #1 innovation that Goldman Sachs is investing in Ex JPM execs remain committed to Block chain despite top rival offers R3 creates a consortium of securities firms to agree to standards, and develop use cases
  • 4. VC Investment In 2015 Tops $500mill, 50% More Than In 2014 Q3’15 $87.5
  • 5. Investor Base is Broadening with Corporates,VCs, Exchanges and FI’s Jumping On The Bandwagon
  • 6. Consider Block Chain in the Context of the Internet’s Evolution Publishing Brochureware Ecommerce Personalized, Contextual service What’s Next?? “Bitcoin is to Block chain what Pornography was to the Internet.”
  • 7. We Are In Stage 3 of a 15 Year Evolution 2007-2009 EARLY STAGE GROWTH PLATEAU MATURITY 2010-2013 2014-2016 2017-2020 2020-2025 INCEPTION Satoshi creates Block chain Few people even know about it Interest slowly grows Practioners, private firms first take notice Startups begin emerging First Investments begin Mostly academics involved Rising Popularity Investment activity explodes Startups crawl out of the woodwork Amazing number of use cases emerge Governments take serious note VC Investment slows markedly Shakeout in startup camp Disappointment, snake oil anyone? Reality sets in about use cases Technology matures, greater standardization Hype/pessimism replaced with pragmatism Global agreements and regulatory rules mature
  • 8. What Is It… Benefits & Characteristics...
  • 9. Distributed Ledger Builds on Decentralized Systems Source: WEF Draft Report. Not to be Reproduced
  • 10. Four CharacteristicsDefine Distributed Ledgers Source: WEF Draft Report. Not to be Reproduced
  • 11. Benefits... and Challenges Source: WEF Draft Report. Not to be Reproduced
  • 14. Use Cases for Block Chain
  • 17. Many Applications Are Emerging in Financial Services
  • 18. Three Major Use Cases Are… Source: WEF Draft Report. Not to be Reproduced
  • 19. Source: WEF Draft Report. Not to be Reproduced
  • 20. Source: WEF Draft Report. Not to be Reproduced
  • 21. Source: WEF Draft Report. Not to be Reproduced
  • 22. Source: WEF Draft Report. Not to be Reproduced
  • 23. Source: WEF Draft Report. Not to be Reproduced
  • 24. Source: WEF Draft Report. Not to be Reproduced
  • 25. Source: WEF Draft Report. Not to be Reproduced
  • 26. Nasdaq’s Decision to Power Its Private Market Using Block Chain Is a Major Endorsement • Linq platform (part of Nasdaq’s Private Market) to run on block chain • Brings liquidity, transparency and efficiency to private market • Legitimizes ‘back of the envelope’ agreements • Shot across NYSE’s bow, Nasdaq’s arch rival
  • 28. Bitcoin Infrastructure (61 Companies) Blockchain Innovations (58 Companies) Big Data (4) Investments (22 Companies) Bitcoin Payments (88 Companies) Bitcoin Exchanges (191 Companies) Bitcoin Mining (58 Companies) Services (74 Companies) Bitcoin Financial Services (112 Companies) Bitcoin Wallets (90 Companies) News & Data (52 Companies) Trust (13) Bitcoin Gambling (31 Companies) Contact info@venturescanner.com to see all 738 companies Bitcoin MarketMap
  • 29. We Are In Stage 3 of a 15 Year Evolution 2007-2009 EARLY STAGE GROWTH PLATEAU MATURITY 2010-2013 2014-2016 2017-2020 2020-2025 INCEPTION Satoshi creates Block chain Few people even know about it Interest slowly grows Practioners, private firms first take notice Startups begin emerging First Investments begin Mostly academics involved Rising Popularity Investment activity explodes Startups crawl out of the woodwork Amazing number of use cases emerge Governments take serious note VC Investment slows markedly Shakeout in startup camp Disappointment, snake oil anyone? Reality sets in about use cases Technology matures, greater standardization Hype/pessimism replaced with pragmatism Global agreements and regulatory rules mature
  • 30. Some Factors That Could Jeopardize, or Slow Growth • Regulatory change of heart • Lack of international coordination • Privatechainssplinter ongoing growth • Slow adoption and lethargicpaceof development causeinnovation fatigue • Powerful commercial interests get in theway
  • 31. Dushyant Shahrawat, CFA Dec 15, 2015 HAPPY HOLIDAYS!