S A F E T Y  A G E N D A  D U T C H  B L O C K C H A I N  C O A L I T I O N

S A F E T Y  A G E N D A  D U T C H  B L O C K C H A I N  C O A L I T I O N

Decentralized technologies such as blockchain and cryptography offer unprecedented opportunities for innovation for our society and business. Decentralized cryptography can ensure data integrity in crucial chains and contribute to secure data accessibility and exchange. This allows citizens, the business community and the government to benefit from the possibilities and opportunities that decentralized technology offers us. At the same time, these key-enabling technologies entail unknown risks. This is a fact that must be thoughtfully addressed to create a digital society where innovation is fostered, and risks are under control. This security agenda of Dutch Blockchain Coalition (DBC) articulates the identified risks and opportunities, including future actions to de-risk the adoption of blockchain and other decentralized technologies. Public-private partnership for decentralized technology and safety DBC's safety theme establishes a national public-private partnership to stimulate activities at the cutting-edge of safety and decentralized technology. Together with stakeholders from the government, the business community and knowledge institutions, this triple helix partnership is working on the safety agenda that jointly addresses the identified challenges and requirements.

This agenda gives direction to activities to exchange and develop knowledge, to experiment and test new ideas, and encourages projects to achieve accelerated results that make the Netherlands safer and strengthen its economic position. Dutch Blockchain Coalition 6 To understand the safety problem, it is important to understand the technology dynamics in the existing global market. Technology is the main driver of innovation and social change, realizing impact after adoption and practical use of those technologies. For this agenda is focused on decentralized technologies such as blockchain, crypto-assets and secure multi-party computation. Safety risks often only become apparent in or after the adoption phase, where it is complicated to make technological adjustments to implement security measures. That is why security and privacy by design is important to minimize risks at an early stage. Unfortunately, in today's technology-led world, where time to market is paramount, those security and privacy design principles are being reviewed often as an afterthought. Agenda pillars and items identified by triple helix activities The safety agenda presents a series of high-level ecosystem challenges and requirements. If a single organization can fulfill the outcome in isolation, then it is not considered an ecosystem challenge and does not fit in the agenda. Agenda items are identified in three phases of technology readiness: Research (TRL 1-4), Innovation (TRL 5-7), and Implementation (TRL 8-9).

To manage the risks and opportunities that these three phases present, they are assessed synchronously to exploit the linkages between them. The implementation of technology usually results in new innovation and research requirements, and those results lead to new implementation opportunities. In each iteration, more details emerge, causing the ecosystem to mature step by step. Input for the agenda pillars and items is collected during a series of expert consultations and discussions:

• Roundtables of Partners for International Business on Blockchain with focus on Financial Crime in period July 2020 to June 20221 ;

• DBC Conference on 28 June 2022 break-out session Safety;

• First expert session on 25 August to review different action items on the two pillars;

• Second expert session on 28 September focused on Safety in Blockchain;

• Third expert session on 30 November focused on Safety with Blockchain.

As a result of the first iterations and validation during the August session, the agenda is focused on two pillars:

1. Security measures against abuse and fraud in crypto-assets and blockchain (Safety in Blockchain) 1 - Position Paper - Combat Financial Crimes in the Era of Emergent Technologies Dutch Blockchain Coalition 7

2. Trust technologies for a safe and reliable digital society (Safety with Blockchain)

These two pillars have been selected because they address:

• Urgent and significant societal problems,

• Recognition of challenges by problem owners and solution providers,

• Translation into practical solutions at an early stage,

• Progress in solution translation through various initiatives.

The safety agenda is organized as follows. The two pillars including specific agenda items are presented and discussed in detail in the next two chapters. The safety agenda concludes with a summary and key recommendations for the future towards a secure and mature ecosystem with decentralized technology................


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