Agricultural blockchain platform

Bitcoin’s blockchain technology makes the rise of a “FinTech(Financial technology)” wave in the financial industry. Major financial institutions and central banks rush to join and establish standards. From "TCP/IP"-communication to "HTTP"-multimedia, the blockchain further take us to a higher level of value exchange (Internet of Value). With no centralization, no trust, collective maintenance and reliable database, the blockchain design more innovative value, service, business processes and revenue model. It will change all our industries. Taiwan's small-scale farmer economy model has always been in low-income farmers, lack of sales channel, high production costs, food safety and food waste problem. To integrate of existing agricultural resources and the Big data, to build agriculture blockchain platform, to expand the scope for lease, to implement of precision agriculture, to use environmentally friendly methods, make Taiwan's agriculture product is still the opportunity to move towards international market competition.
Blockchain is a revolutionary paradigm shift. The internet can also make it possible for machine-connected artificial intelligence economies. Agriculture Blockchain Platform(ABP) is a comprehensive strategic alliance of agricultural production, processing and manufacturing, sales, finance and agricultural policy, science and technology research institutions, climate change, environmental protection. It is a "dynamic eco-economic innovation activity" that can be used to automatically update the production process as the supply chain environment changes. Automated registration, storage, validation, transaction, and transfer of tangible or intangible intellectual assets through intelligent contracts using Ethereum blockchain technology. The intelligent contract code written in various applications(DAPP, Decentralized Applications) on the Ethereum is validated against the block(block validator) by the Ethereum Virtual Machine(EVM). Consensus algorithm of Mining and Network Information Exchange for distributed nodes. After the new blockchain is generated, the remote procedure(RPC) is called and synchronized between the nodes to perform various business transactions such as transaction transfer. A smart contract is like an automated agent in the Ethereum system. When the user sends a transaction to the other party's ETH address, the contract is invoked, and then returns a result based on the transaction's information and the running of the code. The data required for the transaction or the results of the transaction can also be input or output via the Javascript API, through HTML pages, Android APP, iOS APP, Microsoft Windows 10 APP, other platform APIs, IoT and M2M (Machine to Machine). See Figure 1 below:

Figure 1: Ethereum architecture(2016)

Agricultural blockchain platform intelligent asset records all field information, seed, pesticides and fertilizers, agricultural machinery and so on transaction information. "Business Intelligence Contract" is driven by time and conditions. The production decision information from production forecasting, weather, water conservancy, soil and other production conditions is imported from Taiwan Agricultural Research Institute’s Agri-food production and marketing decision management information integration platform. Artificial intelligence systems(AI) produce a variety of scenarios. Through the "Production Contract" money-driven goods, the use of smart phones APP issued production orders to guide the farmers field operations. "Purchase Contract" and "Work Contract" deal with the delivery of raw materials, graded packaging, logistics and other third-party manufacturers and temporary workers. And in accordance with the "Buy Contract" at any time to meet the consumer and consumer access procurement. Agricultural machinery, vehicles, storage, seed, pesticides, fertilizers and raw materials can also be affixed with RFID, equipment interconnection and rowing trade, in line with the principle of maximum economic efficiency in large quantities. All the farming information of the process operation is collected by the telemetry and artificial field investigation agencies, etc., and then sent to the "monitoring contract" event of the internet of things to operate and then back to the agricultural database of Taiwan Agricultural Research Institute to facilitate the decision- Agri-food production and marketing decision management information integration platform in time. Agricultural blockchain platform get big data, generate a new data model. Research units do further theoretical research. The results of the research will be the business intelligence of the "Agricultural Database" and the "Agri-food production and marketing decision management information integration platform". The entire ecosystem uses the encrypted digital currency "Farm" as a closed trading interface. It can effectively promote the exchange of value within the platform and economic operation, and to avoid currency due to external factors affect the risk of agricultural trade price fluctuations. Finally, liquidation by the internet money exchange, ATM or physical bank is very easy to convert to more legal tender. See Figure 2 below:

Figure 2: The Operation Mode of Agricultural Blockchain Platform(2016)

The smart asset records all complex agricultural information of object. The smart contract will be based on time, events, conditions, and money exchange drive to trigger the completion of every linked transactions. See Figure 3 below:

Figure 3: Intelligent assets, intelligent contract mode of operation(2016)

Agricultural blockchain platform can also be introduced to decentralization of political power and independent blockchain governance, the concept derived from the United States George Mason University professor Robert Hanson. He named the concept Futarchy: Because democracies do not have a well-established mechanism for instantly enabling stakeholders to get the right message from policymakers, and voters lack the ability to evaluate and monitor the quality of government decision-making without relying on the integrity of politicians or technocrats. Consequences are often tragically situation. Futarchy is briefly described as a double voting mechanism for "Vote Values, Bet Beliefs". The creator of the Ethereum project, Vitalik Buterin wrote it into the blockchain. When the agricultural authorities decided to carry out an agricultural policy, the agricultural blockchain platform is a set of two-stage process of governance. The first step is through a regular voting formula: the individual first votes on specific objectives, such as GDP growth of 1%; The second step by the forecast market: the voting results of these proposals. Voting is made up of encrypted digital currency. Market forecasting voting is an investment betting on one or the other proposal you want to win. For example, compared to "investing in automated agricultural contracts," you may be betting on "investing in new biotech contracts" as the best way to achieve "1% GDP growth." By such a vote, the blockchain can more effectively achieve the Futarchy decentralized political power and the concept of self-governance.

[email protected] Aug,2016