Becoming an oracle
Becoming an oracle in the digital infrastructure of a nation
BUIDL with the Dutch Chamber of Commerce to improve trust in the digital business world. Can we create an autonomous, independent business identity checker? How will an independent oracle have a role in the Digital Infrastructure of a Nation?
Winning Solution: ChainMix
Easily checking fake invoices
1 in 7 SMEs faces invoice fraud. The ChainMix solution allows SMEs to easily do a fake invoice check.
With registering an unique public key at the Dutch Chamber of Commerce, any company sending an invoice can hash the invoice and upload the signed hash on the IOTA tangle. The company receiving the invoice can easily generate the hash and ensure that the invoice hasn’t be altered by comparing it to the hash stored on the IOTA Tangle. Furthermore, a query of the public key provided by Chamber of Commerce can be done to ensure the invoice is issued by the correct company.
Next to this, the team integrated an image text recognition AI, to allow the system to work with paper invoices. The solution is set up to in the future integrate additional oracles/data source (e.g., banks, Land Registry, Tax Office) to reduce other potential causes of fraud as well as even fully automate the invoice process with the help of smart contracts.
The distributed ledger creates a publicly-auditable shared database that increases the trust in the system. Without it, a system like this would completely depend on the trust of one centralized authority. That becomes even more difficult if you start integrating additional oracles or even fully automate the process via smart contracts. It’s hard to imagine that all these different data providers and the stakeholder of the smart contracts blindly trust one centralized black-box. The immutability of the distributed ledger makes it also possible to track malicious parties.