MAY - 2019ENTERPRISE SECURITY| | 9CBP has adopted these specifications as the standard for the industry to do business with our agency. It is important to note that each of these specifications have been vetted through GS1 (Global Language of Business) and W3C (Worldwide Web Consortium). Utilizing existing protocols, this system allows for an open market and true interoperability between blockchain software. This is something that has not been fully achieved by anyone else that this author is aware of. Interoperability between blockchain software has been a weakness in blockchain technology because differing software programs are not easy to integrate and can expand costs by forcing customization. Both DHS and CBP believe that adoption of these ground-breaking specifications will lead to reduced cost and greater adoption by the private sector over the next several years.For those of you unfamiliar with these specifications, Decentralized Identifiers act as unique numbers that solely identify the entity. Consider this akin to a driver's license or passport number. The beauty of blockchain is that you can add context around these identifiers and this is where Verifiable Credentials come in. Verifiable Credentials are like the data that surrounds your license number or passport that helps to identify a person or in CBP's case a person or an entity. For the last specification, we needed a way to manage data that is "on chain" and merge it with data that is "off chain." The Decentralized Key Management System does just that. Government agencies will not be able to produce a completely open and decentralized system due to the responsibility to protect Personally Identifiable Information (PII) data and Trade Secrets. The Decentralized Key Management System allows systems to exchange data much like a person who uses a post office box. If person A gives his or her key to person B, then only person B can access the post office box to collect the information inside. Once done with the information, person B simply places the information back in the box and locks it. Similarly, in the CBP design, we did this with systems to keep trade data safe. Any individual entity on the blockchain could exchange data with another entity in a similar manner and keep the data safe behind their firewall and inaccessible to those who don't need to see the data. Again, all of this was completed by using existing web-based protocols so any system can adapt to it.CBP tested both technical and operational aspects of blockchain. CBP completed its assessment of the NAFTA/CAFTA proof of concept in December and recently released the report for public consumption. Suffice to say that CBP did find improvements in current practices and efficiencies for both sides. Due to the success of this test, CBP will continue to work on "other use" cases and continue to prove out the next generation of technology. We strongly believe blockchain will help the United States maintain a competitive edge in the worldwide competition to grow stronger, better, and more reliable ways of protecting our country from illegal imports and exports. Blockchain is a nascent, but rapidly advancing technology that shows incredible potential. CBP hopes to help apply the technology in the supply chain sector and drive innovation and value to our trade partners. CBP is dedicated to advancing blockchain ­ and other innovative technologies ­ which promote safety and prosperity in the United States and throughout the world. ESWe strongly believe blockchain will help the United States maintain a competitive edge in the worldwide competition to grow stronger, better, and more reliable ways of protecting our country from illegal imports and exports
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