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Intro to
Decentralized Systems
Nicola Greco
Protocol Labs
disclaimer
Redecentralizing the Web: IPFS and Filecoin
Redecentralizing the Web: IPFS and Filecoin
Redecentralizing the Web: IPFS and Filecoin
Redecentralizing the Web: IPFS and Filecoin
Redecentralizing the Web: IPFS and Filecoin
Redecentralizing the Web: IPFS and Filecoin
Part 1 Decentralized Web
Part 2 Universal Services
Part 3 Decentralized Storage
Part 4 Cryptonetworks
Part 1
Decentralizing
the Web
decentralization = de-concentration of power
Benkler 2016
distributed system
decentralized system
no single authority fully trusted
minimize risk from misbehaving nodes
Server <> ClientWeb
Server provides the right service

Server uses data responsibly

Server is secure

Server is always online

Server is single point of reference
Server <> ClientWeb
Server provides the right service

Server uses data responsibly

Server is secure

Server is always online

Server is single point of reference
Server <> ServerP2P
Altruistic Network

Peers are equal
Server <> ClientWeb
Server provides the right service

Server uses data responsibly

Server is secure

Server is always online

Server is single point of reference
Server <> ServerP2P
Altruistic Network

Peers are equal
Network <> ClientIncentivized
Protocols
Clients delegate their service to the network

The network is “paid” to do so
5,000,000,000+ files
• Video distribution & streaming
• Legal documents
• 3D Models (they’re big!)
• Games
• Scientific data & papers
• Blogs & websites
• Within blockchains
• Totally distributed web apps
	 	 ex. forums, chat, messaging,
	 	 cms, blogs, github, ...
IPFS
Content Addressing
Content Addressing
Where is the data?
?
http://nicolagreco.com/slides.pdf
Content Addressing
Where is the data?
Who has the data?
?
http://nicolagreco.com/slides.pdf
QmeomffUNfmQy76CQGy9N…
[RFC6920]

[BITTORRENT]

[IPFS]

[BITCOIN]
Content-addressable Web where:
- data links work across application
- links are cryptographic hashes
- anyone can distribute data
DHT
[CHORD]
A
D
F
H
J
O
Q
U
DHT
[CHORD]
A
D
F
H
J
O
Q
U
SHA256( ) = GRxQ123..
DHT
[CHORD]
A
D
F
H
J
O
Q
U
SHA256( ) = GRxQ123..
DHT
[CHORD]
A
D
F
H
J
O
Q
U
SHA256( ) = GRxQ123..
LIBP2P
http://10.20.30.40/foo/bar/baz.png
10.20.30.40
you
/ipfs/QmW98pJrc6FZ6/foo/bar/baz.png
IPFS
Content Addressing
Redecentralizing the Web: IPFS and Filecoin
SLIDE: SIZE OF THE
COMMUNITY
Large Open Source Project
Over 2000+ Contributors
Over 150+ contribute Weekly
Redecentralizing the Web: IPFS and Filecoin
Server <> ClientWeb
Server provides the right service

Server uses data responsibly

Server is secure

Server is always online

Server is single point of reference
Server <> ServerP2P
Altruistic Network

Peers are equal
Network <> ClientIncentivized
Protocols
Clients delegate their service to the network

The network is “paid” to do so
IPFS
(altruistic)
IPFS
(altruistic)
Filecoin
(incentivized)
Part 2
Universal Services
decentralization beyond the web
Fair Exchange
Nicola Samer
Fair Exchange
Nicola Samer
Fairness Either both parties receive their inputs or none
Fair Exchange
Nicola Samer
Fairness Either both parties receive their inputs or none
Timeliness Exchange either happens or does terminate
Fair Exchange
Nicola Samer
Scenario 1
Fair Exchange
Nicola Samer
runs with
the money
Scenario 1
Fair Exchange
Nicola Samer
runs with
the money
Scenario 1
Nicola Samer
Scenario 2
Fair Exchange
runs without
paying
Nicola Samer
runs with
the money
Scenario 1
Nicola Samer
Scenario 2
Fair Exchange
Nicola Samer
[Cleve1986]
Fair Exchange
Nicola Samer
Impossibility of Fair Exchange without a Trusted Third Party
[Cleve1986]
Fair Exchange
N S
Trusted
— Trust Assumptions —
Fair Exchange
N S
Trusted
N S
Building Trust
— Trust Assumptions —
Fair Exchange
N S
Trusted
N S
Building Trust
N S
Third Party
*
— Trust Assumptions —
Fair Exchange
— Trust Assumptions —
Trusted
Party
Fair Exchange
— Trust Assumptions —
Trusted

Hardware
Trusted
Party
Fair Exchange
— Trust Assumptions —
Trusted

Hardware
Trusted
Party
Trusted
Auditors
Fair Exchange
— Trust Assumptions —
Trusted
m-of-n
Trusted

Hardware
Trusted
Party
Trusted
Auditors
Fair Exchange
— Trust Assumptions —
Trusted
Majority
Trusted
m-of-n
Trusted

Hardware
Trusted
Party
Trusted
Auditors
Public Ledger
Alice-Bob $2
…..
Public Ledger
Alice-Bob $2
…..
3 MAY 2017: A-B $2
Patent
Public Ledger
Alice-Bob $2
…..
3 MAY 2017: A-B $2
3 MAY 2017: C patent
Patent
State Machine
Replication
log
application
OP Log+1 -1 +1 +2 +4 -1
1 0 1 3 7 6 STATE Log
6
Digital Currency
$5
Digital Currency
$5
Digital Currency
$5
Digital Currency
$5
OK
OK
OK
OK
OK
OK
OK
OK
Digital Currency
$5
A-B 5
A-B 5
A-B 5
A-B 5
A-B 5
A-B 5
A-B 5
A-B 5
Digital Currency
$2
A-B 5
B-C 2
A-B 5
B-C 2 A-B 5
B-C 2
A-B 5
B-C 2
A-B 5
B-C 2
A-B 5
B-C 2
A-B 5
B-C 2
A-B 5
B-C 2
Naming
Local Naming
./nicola.jpg
Global Naming
Trusted Party
[RFC1035]
Naming
Local Naming
./nicola.jpg
Global Naming
Trusted Party
[RFC1035]
Untrusted Party
[RFC6962]
[CW2009]
[CONIKS]
Naming
Local Naming
./nicola.jpg
Global Naming
Trusted Party
[RFC1035]
Untrusted Party
[RFC6962]
[CW2009]
[CONIKS]
hash( )
Qas13jdsjw
Cryptographic
Hash
[RFC6920]

[BITTORRENT]

[IPFS]
Naming
Local Naming
./nicola.jpg
Global Naming
Trusted Party
[RFC1035]
Blockchain
[ENS]
[BLOCKSTACK]
[NAMECOIN]
Untrusted Party
[RFC6962]
[CW2009]
[CONIKS]
hash( )
Qas13jdsjw
Cryptographic
Hash
[RFC6920]

[BITTORRENT]

[IPFS]
Naming
Local Naming
./nicola.jpg
Global Naming
Trusted Party Untrusted Party
[RFC1035] [RFC6962]
[CW2009]
Blockchain
[ENS]
[BLOCKSTACK]
[NAMECOIN][CONIKS]
hash( )
Qas13jdsjw
Cryptographic
Hash
[RFC6920]

[BITTORRENT]

[IPFS]
Trusted
Majority
Trusted
Party
Cryptography
Fair Exchange of
Services
Nicola Samer
Fairness
Timeliness
Either both parties receive their inputs or none
Exchange either happens or does terminate
Completeness If seller is honest, both parties receive their inputs
Soundness
Fair Exchange of
Services
Fair Exchange of
Services
Fair Exchange of
Services
Fair Exchange of
Services
Fair Exchange of
Services
Fair Exchange of
Services
Fair Exchange of
Services
Fair Exchange of
Services
Trusted
Majority
Any
Trust
Trusted

Hardware
Trusted
Party
Trusted
Auditors
Reputation
PenalizationsRewards
Sigma
Protocols
SNARKs …
[NICOLA’s MASTER]

[ZKCSP]

[ZKCP]

…
Fair Exchange of
Services
Trusted
Majority
Any
Trust
Trusted

Hardware
Trusted
Party
Trusted
Auditors
Reputation
PenalizationsRewards
Sigma
Protocols
SNARKs …
[NICOLA’s MASTER]

[ZKCSP]

[ZKCP]

…
Fair Exchange of
Services
Trusted
Majority
Any
Trust
Trusted

Hardware
Trusted
Party
Trusted
Auditors
Reputation
PenalizationsRewards
Sigma
Protocols
SNARKs …
[NICOLA’s MASTER]

[ZKCSP]

[ZKCP]

…
Fair Exchange of
Services
Trusted
Majority
Any
Trust
Trusted

Hardware
Trusted
Party
Trusted
Auditors
Reputation
PenalizationsRewards
Sigma
Protocols
SNARKs …
[NICOLA’s MASTER]

[ZKCSP]

[ZKCP]

…
Trust Spectrum
You
Trusted
Majority
Trusted
1-of-n
Trusted

Hardware
Trusted
Party
Trusted
Auditors
Reputation
Any
Trust
Interactive
Proofs
Trust CryptographyRationality
PenalizationsRewards
Sigma
Protocols
SNARKs …
Verifiable Markets
Order matching
Settlement
Verifiable Markets
Order matching
Settlement
– Don’t need to trust

individual service provider

– Anyone can participate in

the market as participant

Part 3
Filecoin (abstract)
Cloud Storage
Store Get
Cloud Storage
Store Get
Decentralized Storage
Put Get
Decentralized Storage
Store Get
How do we store
files without
trusting the
providers?
Filecoin Protocol
Get - Retrieve a file
Put - Store a file
Pledge - Add storage
Proofs of Storage
CChallenge
Prove
Verify
Setup
Proofs of Storage
Complete
Sound
Public Verifiable
Transparent
Useful
everyone with storage will generate valid proofs
no adversary can generate fake proofs
everyone can verify proofs
there is no secret information that can generate proofs info
proofs are about useful storage
Proofs of Storage
h1,2 = h(h1,h2)
p1 p2 p3 p4
h(1) h(2) h(3) h(4)
h3,4 = h(h3,h4)
hroot = h(h1,2,h3,4)
p1 p2 p3 p4
roothash
Proofs of Storage
Proof of Replication
Sybil attack
Outsourcing attack
Generation attack
Proof of Retrievability
Setup
Proof of Retrievability
Setup
Challenge C
Setup
Proof of Retrievability
Setup
Proof of Retrievability
Setup
Challenge C
Proof of Retrievability
Setup
Challenge C
Proof of Retrievability
Setup
Challenge C
Proof of Retrievability
Adding Replicas
Setup
Challenge
Adding Replicas
Setup
Challenge C
Adding Replicas
Setup
Challenge C
Adding Replicas
Setup
Challenge C
Adding Replicas
Setup
Challenge C
Making Replicas slow
Setup
Making Replicas slow
Setup
Making Replicas slow
Setup
Challenge C
Making Replicas slow
Setup
Challenge C
Making Replicas slow
Setup
Challenge C
Filecoin Markets
Order matching
Settlement
Order matching
Settlement
Exchange OTC
Order Matching
Storage/
Retrieval
orders
Store a file
for 1 week
at 50c GB/h
Offer storage
for 1 week
at 50c GB/h
Paying for storage
C
Verify
Storage Settlements
Retrieval Settlements
Storage-based Proof
of Work
Open Questions
Are there ways to do efficient proofs of replication?
Are there ways to overcome front-running attacks?
Are there ways to avoid miners posting proofs on chain?
Can build a storage-based consensus?
What are other incentives beyond economic reward?
Part 4
Foundational Infrastructure
Bell Labs Holmdel site
Redecentralizing the Web: IPFS and Filecoin
Open Source
Open Source
Open Source
Open Source
Open Source
Open Source
Open Source
Open Source
Open Source
Open Source
Open Source
Open Source
Open Source
Open Source
Sharing Economy
IPFS
Redecentralizing the Web: IPFS and Filecoin
Crypto Network
& Tokens
Text názvu
Text úrovně 1
Text úrovně 2
Text úrovně 3
Text úrovně 4
Text úrovně 5
Text názvu
Text úrovně 1
Text úrovně 2
Text úrovně 3
Text úrovně 4
Text úrovně 5
Redecentralizing the Web: IPFS and Filecoin
Text názvu
Text úrovně 1
Text úrovně 2
Text úrovně 3
Text úrovně 4
Text úrovně 5
+
Text názvu
Text úrovně 1
Text úrovně 2
Text úrovně 3
Text úrovně 4
Text úrovně 5
Redecentralizing the Web: IPFS and Filecoin
spend .
to store
store to
earn .
exchange
for . . .
Redecentralizing the Web: IPFS and Filecoin
Free Market for Data Storage
Governance?
github.com/nicola/
decentralized-research
Thank you
Samer
Thank you
Samer
Question?
What are other trust models? What is any-trust?
What are other types of Verifiable Markets?
Would this be enough for decentralizing the web?
Can DDoS attacks be possible on Filecoin?
How do you know Samer?
Redecentralizing the Web: IPFS and Filecoin
Refereed Multi-Prover
YES NO NO NO
YES NO NO NO
Refereed Multi-Prover
YES NO NO NO
Refereed Multi-Prover
Rational

Refereed Multi-Prover
YES NO NO NO
$$$$$$

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Redecentralizing the Web: IPFS and Filecoin