Aims:

This module aims to teach students the mechanics of the blockchain technologies and give them an understanding how the technologies can be applied to businesses (with a focus on the financial services industry).

Learning outcomes:

On successful completion of the module, a student will be able to:

Use and understand basic cryptography tools and concepts including private/public keys, digital signatures, hash functions and Merkle trees.
	Understand the basics of the most used consensus algorithms (e.g., Proof of Work, Proof of Stake).
	Distinguish between different types of blockchain (private vs public, permissioned vs non-permissioned) and cryptocurrencies (e.g., security tokens, stablecoins).
	Discuss the features of the most popular cryptocurrencies and platforms, including Bitcoin, Ethereum, XRP Ledger and EOS.
	Conduct wallet installation, inter-wallet transactions and cryptocurrency trading.
	Critically evaluate and discuss business application of distributed ledger technologies.
	Examine limitations of public blockchain protocols and potential solutions to improve scalability, privacy and security.
Contents:

This module will cover the core features of blockchain and distributed ledger technologies and their application to different business domains, with a particular focus on the financial services industry. We will start by discussing the mechanics of the pioneering cryptocurrency Bitcoin, including basics of cryptography, proof-of-work consensus algorithm and peer-to-peer networking.

We will then explore other major blockchain platforms such as Ethereum, XRP Ledger and EOS as well as associated cryptocurrencies. We will examine the advantages and limitations of different blockchains. We will also review the evolution of the sector in the Decentralised Finance area (DeFi), the adoption of the technology and its current and future challenges. A more hands-on part of the module will be devoted to smart contracts design and deployment on public and permissioned blockchains.

Requisites:

To be eligible to select this module as an optional or elective, a student must be: (1) registered on a programme and year of study for which it is formally available; and (2) have some fundamental knowledge in coding (there is no specific requirement on the exact programming language.)

Basic understanding in probability and mathematics is useful. No prior knowledge in blockchain or cryptocurrencies is required.