Who owns your data?

And now before we break for lunch our last session of the morning is a special session from our title sponsor Streamr, so please welcome a panel that’s going to discuss the question of who owns your data. They’re going to get into solutions that empowers consumers to take control of their information and will address ways in which consumers can own the data in a near future from their cell phone their car and even the lights in their home. So, this is a sponsored session from our title sponsor: Streamr. Please welcome to the stage Hi everyone, welcome to the session I would like to first of all kick this off with an image you’ve probably all seen earlier this year in April. The image I’m speaking about features Mark Zuckerberg’s pale face when he had to testify in front of Congress about Facebook’s misuse of user data. And this was not only a wake-up call for Facebook but also for users around the world who realized that their data had been misused and monetized. And this is also going to be today’s sessions’ topic: How can we empower users to regain control of their data? My name is Marlene Ronstedt, and I would like to introduce the three panelists to you so first of all we have Henri Pihkala. He is the CEO of Streamr Streamr is a data marketplace trying to solve the issue of how users can actually monetize their data and gain control of it. Then we have Antti Saarnio here he is the CEO of Zippie and Zippie builds a smartphone OS which lets users manage their data and Identity using blockchain and then we have Richard Muirhead here He’s the founder and partner at fabric Ventures a VC investing into decentralized networks So my first question goes to you Henri. A couple of weeks ago at another conference You launched the Streamr marketplace and how does this marketplace empower users? So what the Marketplace does is it basically removes the friction between data producers and data consumers so that they can meet on a neutral ground not controlled by a giant corporation trying to spy on them, but rather enable them to transact directly, peer-to-peer, with each other. So the marketplace is kind of a manifestation of the kind of applications that can be built on top of the decentralized data infrastructure that we’re building at Streamr All right and Antti, your company is building a smartphone OS and the last major disruption we’ve seen in this market was back in 2007 when Apple launched iPhone. So how do you think blockchain will disrupt the phone market of smartphones the important thing is that the current mobile ecosystem is, it can’t actually continue or it if it continues in this way people don’t own or control their data and that basically means that We are being personalised in so many different characters that we can be basically manipulated with this data So I don’t see that as a possible outcome in the future so that means that we need to build a new mobile ecosystem and that’s what this decentralized economy and blockchain can be the starting point for that. And actually for that both of you Antti and Henri, you have a partnership. You’re two companies are collaborating so Streamr is helping Zippie to actually launch a possibility for users to monetize their data. So how exactly does this work? Yeah, exactly. So what Zippie is doing is that we are turning smartphones into reward engines basically. People are being rewarded instead of recorded basically and then team Streamr is super important in this because one of the key features is that users should be owning and controlling their own data, but there’s no reason why users should not be monetizing their data and that’s what Streamr’s marketplace is basically doing One interesting value chain pattern for us is the crowdsourcing of data I mean organizations can already like do the heavyweight process of creating the legal structures and grading the payment structures required to share data to optimize their operations and and Streamr can help that as well by removing the friction but something that is not possible today is for an individual user of a smart device. Let’s say it’s a mobile phone, or maybe it’s a connected car But anyway for that user to as a side product of using that device, like using an application or simply existing in some location, to share that data and gain some value out of that Currently that data is being held by the the big corporations and sold to advertisers but there’s so many more use cases and monetization patterns that are completely unexplored at the moment because there’s no there’s no tools and there’s no platforms to accomplish that. And Richard your VC fund has actually invested into Streamr and into a couple of other decentralized networks which are dealing with the question of how to decentralize data Where do you see the future of those data markets? Yeah, so I mean my background: I had spent some time trying to actually build some companies and and focused on complex problems like running data centers and Automating the functions within them and had failed to really crack the nut of how to incentivize and coordinate smart people to solve those problems So when this wave of tokenization and token economics took off It resonated with me particularly strongly. Fabric Ventures has come out of, Spun-out if you will of Open Ocean Which was a fund set up by the founders and authors of MySQL. So very strong kind of data pedigree and you know central to our thesis is that we see that this interaction between this myriad of devices and a new data layer that operates in a new way and this new if you will, a petri dish provided for algorithms this whole new architecture is being built. And that it’s essential perhaps to create new business models, but it’s also a central and kind of perhaps even existential level for society. It’s a question of personal privacy and so being a venture capitalist, we’re in the business of spotting things that are fundamentally important and fundamentally challenging and so therefore we think there are can be many different components of this new architecture that need to be built and we’re looking for those components to invest in and We’re happy to find Streamr So Richard, you just mentioned a key word here, which is privacy Antti, how do you think? blockchain can empower users especially when UX problems are being solved by building applications for smartphones, which everyone can use, how can users leverage that for their own gains to gain back their privacy? Well I think It’s always question about money. Currently there’s no privacy because there are no there’s no application ecosystem Which is respecting privacy So that means that we need to build a new application ecosystem, which is respecting privacy And I say that token economics is the key thing which is monetizing this whole new ecosystem and that’s why it’s possible Otherwise, it would not be possible. But with tokens applications having their own tokens they can incentivize their own community to grow the community, and the user base. Then it becomes possible And that’s why it’s it’s token economics is the key thing here. I think another important aspect here is the community what you just said Henri do you think that in this respect? It’s rather up to us as the community to build the tools or should we rather wait for legislators to come out with regulations like the GDPR? I mean this spring a lot of advancement has happened. We had the Facebook scandal and then like conveniently the GDPR kicked in to kind of address that kind of problem, but I think that Unless we move towards a trustless system and a trustless economy, legislation can only help us so far, because it does penalize doing the wrong things, but it doesn’t guarantee or make impossible to do those wrong things and legislation varies from country to country Whereas the systems that we are all building are global by definition, right? So privacy should be there by default…It should be there from the beginning and guaranteed by cryptography and mathematics and the incentive mechanisms at play there. And if we as consumers rely on legislation to protect us Then I think we’re Not going to find ourselves in the future that we want it to be I mean, I think, as you said it helped move things forward, the GDPR regulation It helped highlight the issue, but I would agree that you know one of the three things that are pushing this along is this panic around privacy But it is, I think where it is going to be most effective, because individuals tend to be complacent about privacy until after the fact It’s gonna be most effective in organizations where people are realizing they need to move from you know, I’ll try not to be evil to actually, I can’t be evil and I think that if you can couple that with new business models that work out You know applications that take off. I think that’s attracting the attention of organizations and I think you know commercial organizations. I think that is the way we are gonna see a change. I mean it gives advantage against competitors if they empower the users of their device versus kind of following the old Business pattern of collecting data and selling it. Like think think about this. So you have two mobile phones. You’re buying a phone, right? And comparing different options and one phone respects your privacy And allows you to earn money for the for the data that you want to share And the other one is the old, I guess we can start calling them dumb phone pretty soon! But anyway one that is just a regular phone your data goes to I don’t know Google or whoever and they sell it to advertisers Which one do you buy? Of course, you buy the one that empowers you as a user, right? But this requires a bit of a mind shift from the from the organization’s and the device manufacturers to realize this and I hope the discussions we’re having today will kind of help in that One question I’m having here is what is here the role of open-source software development because somehow at the end of the day companies need to also monetize or make revenues to actually be able to deliver services to consumers So that question goes to all of you. If you have any ideas how that can be solved. I used to be building a mobile operating system without token economics with open-source principles and it’s really difficult to monetize that But now with the combining open-source and tokens, the token economics, it’s perfectly possible you can ask licensing companies to stake your token. You can ask Dapps or apps to stake your token which creates demand for your token and token value goes Up with with that naturally without any manipulations or anything. So open source and token economics are perfect couple in my opinion And we will agree so my partner at Open Ocean Monty Widenius is the guy who authored MySQL so she’s been pretty deep in open-source for a long a long time and we have a construct that you know of four eras of open source and You know in the second era people attempted to make money through services support but it was pretty challenging… In the third era major organizations kind of captured these projects at software projects that they didn’t really own and they kept at our data and made a lot of money out of that Or at least market capitalization. This fourth era is one that can be fundamentally different as we’ve been describing and we think you know the panic around privacy coupled with you know consensus networks that actually, you know operate but critically, you know tokens and token economics where we do believe they can be a lot of value in tokens outside of security tokens and our outside store of value You know that is kind of fuel. And people are thinking very intelligently about how to make sure that the right people in these networks are rewarded which includes critically, not just the developers who originated the open source software projects, but also the ones who maintain the project’s overtime because you know maybe forgotten but pretty critical So in the case of Streamr, how are people being rewarded? So in the Streamr network, the people who run the nodes are rewarded for contributing bandwidth and storage to the network So it’s a bit like mining But we don’t call it mining because you are not solving this artificial like CPU or GPU hashing problem But instead you’re contributing like actual usable resources to the network and gaining a reward from that so in terms that the infrastructure service that Streamr creates the messaging service and is kind of an something that emerges from the cooperation of different nodes One last question, which I have to you, is where else do you see the potential of those data marketplaces? So we’ve spoken about cars No, actually I’ve spoken only about phones So where else do you see the potential? Yeah, okay, so I mentioned connected cars that’s something we’re exploring with for example, our partner Hewlett Packard Enterprise Cars are great devices because they roam the environment all the time like fleets of cars your personal cars Public transport and so on and they can measure so many different things starting from road Conditions like potholes and stuff to like blind spots in the mobile network, environmental things like rain pollution, all these kind of things and this data is not being utilized today at all because the device manufacturer the car manufacturer is not interested in in those those things and there’s a high threshold of Collecting that data and making it useful to others So by creating this low friction meeting place for all that kind of site product data We can actually enable That value to be extracted from the data And eventually empower the users again to sell it? Yes! of course. You can earn money by driving your car, like, how cool is that, right? All right Thank you guys. That’s already it. Can we have a round of applause please for the panelists?

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