One of the big four accounting firm has revealed the smart contract addresses running on ethereum’s public blockchain to tokenize assets.
The asset in question is wine bottles, with Thomas Uhde, SAP Director, stating in a press release earlier this month:
“This is one of our first commerce integrations of SAP software to a blockchain platform and we see great potential in putting a scalable, consumer-friendly front-end on a blockchain-based digital market.”
From that we can discern there’s the front-end or internal database, with this then connected to the public blockchain through EY OpsChain.
EY tokenized wine, Dec 2019
So we have a Tattoo Bottle unique token with its own ID connected to an ethereum address which owns the token and the rights to the bottle.
Transferring the rights now is easy, but the bottle itself would presumably be in the possession of a trustee if this was to be used as an investment or as a right to claim possession.
Then there’s “the address of the platform relayer address that handles the creation of winery wallets and the batch tokenization on Public Blockchain,” Barbara Burgess, Associate Director at EY, said in an email.
That has a smart contract (featured image) of some 200 lines of code which presumably connect the internal system with the public blockchain.
Tokenized wine EY ethereum transaction, Dec 2019
So here we have an ownership transfer at the cost of 12 cent with EY itself having 4 eth in an address that appears to be theirs.
“Public blockchain provides wine traceability capabilities to the wineries that want to sell the wine in the platform, a capability that is needed for the Chinese/Asian market,” Burgess says.
That presumably means this token ID is used to link to data contained somewhere else, with the public blockchain not quite containing any data as far as we can see save for the ID.
“We’re now entering an era where thousands of companies will routinely be pushing production data onto the Ethereum Mainnet – creating, offering and selling digital tokens that represent their products and services to consumers. This is what the mainstreaming of blockchain business looks like today,” Paul Brody, EY Global Blockchain Leader, says.
By that presumably he means one aspect of blockchain business: certification. The point here being that the ID number of a token which corresponds to a bottle can’t be changed, nor can its attribution to you if we discard hacks.
But just what bottle that is exactly, or how it was produced and the like, is obviously not on the public blockchain, but presumably on the EY OpsChain platform.
Making this not much different from Cryptokitties as there too you have just an ID, with the graphics and the like on some internal database. So showing the difficulty of creating a wholistic asset on the public blockchain itself.
It’s a first step however, and undoubtedly much is being learned from it, with current public blockchains very much the text only – if that – of the early internet.
There are projects however that hope to bring in animations of sorts or more dynamic customization that can potentially handle more wholistic tokenization with this space continuing to evolve.