Blockchain, data protection and P2P energy trading. A review on legal and economic challenges

Blockchain technology (BCT) enables the automated execution of smart contracts in peerto-peer (P2P) energy trading. BCT-based P2P platforms allow the sharing, exchange and trade of energy among consumers or prosumers as peers, fostering the decarbonization, decentralization and digitalization of the energy industry. On the other hand, BCT-based P2P energy trading relies on the collection, storage and processing of a large amount of user data, posing interdisciplinary challenges, including user anonymity, privacy, the governance of BCT systems and the role of energy market players. First, this paper seeks to review the state of the art of European data protection law and regulations by focusing on BCT compliance with the General Data Protection Regulation (GDPR) of 2018. Second, it explores both the potentials and the challenges of BCT-based P2P energy trading from a legal–economic perspective. To do so, the paper adopts an interdisciplinary approach which intertwines both law and economics, by reviewing the recent literature on BCT and P2P energy trading. Findings have revealed that the deployment of BCT-based P2P energy trading is still in its pilot stage because of technology immaturity, data protection uncertainty, incomplete disintermediation and the lack of both user awareness and collaboration among market players. Drawing on the review, the paper also proposes a selection of solutions to foster the implementation of BCT-based P2P energy trading

Sea Level Requirements as Systems Engineering Size Metrics

The Constructive Systems Engineering Cost Model (COSYSMO) represents a collaborative effort between industry, government, and academia to develop a general model to estimate systems engineering effort. The model development process has benefited from a diverse group of stakeholders that have contributed their domain expertise and historical project data for the purpose of developing an industry calibration. But the use of multiple stakeholders having diverse perspectives has introduced challenges for the developers of COSYSMO. Among these challenges is ensuring that people have a consistent interpretation of the model’s inputs. A consistent understanding of the inputs enables maximum benefits for its users and contributes to the model’s predictive accuracy. The main premise of this paper is that the reliability of these inputs can be significantly improved with the aide of a sizing framework similar to one developed for writing software use cases. The focus of this paper is the first of four COSYSMO size drivers, # of Systems Requirements, for which counting rules are provided. In addition, two different experiments that used requirements as metrics are compared to illustrate the benefits introduced by counting rules

Information systems offshore outsourcing: a descriptive analysis

Purpose - The present paper has as its aim to deepen in the study of Information Systems Offshore Outsourcing, proposing three essential steps to make this decision: weighing up the advantages and risks of Offshore Outsourcing; analysing the taxonomy of this phenomenon; and determining its current geography. Design/Methodology/Approach - With that objective in mind, it was decided to base the research work on the literature about this topic and the review of reports and statistics coming from different sources (consultants, the press, public institutions, etc.). Findings - Offshore Outsourcing has grown vertiginously in recent years. Its advantages exceed even those of onshore outsourcing, though it also involves greater risks derived from the (cultural and physical) distance existing between customer and provider. Various types of services and customer-provider relationships hide under the umbrella of Offshore Outsourcing; i.e. it is not a homogeneous phenomenon. The main Offshore Outsourcing customers can be found in the USA and Europe, mainly in the UK but also in other countries such as Germany and France. As for provider firms, most of them are located in Asia −outstandingly in India but also in China and Russia. At present, there are important providers scattered in other continents as well. Originality/Value - The conclusions suggest that the range of potential Offshore Outsourcing destinations must be widened and that the search for a provider cannot be based exclusively on cost savings; other considerations such as quality, security and proximity of the provider must also be taken into consideration. That is precisely the reason why the study of new countries like Spain as Offshore Outsourcing destinations is proposed

The Economics of Free and Open Source Software: Contributions to a Government Policy on Open Source Software

This document seeks to lay the groundwork for a government policy on free and open source software. We briefly characterize the extent of the open source software phenomenon. We analyse its pros and cons for the government, in its role as both an engine of economic development and a large user of information and communications technologies. We conclude with a series of recommendations for the government, as both “economic and industrial policy maker” and “large user.”free software, intellectual property rights, free source code, open source code, free operating system, GPL licence, BSD licence, innovation, forking,

The Need for Speed: Regulatory Approaches to High Frequency Trading in the United States and the European Union

High frequency trading (HFT) is a financial investment execution technique with a growing presence in world financial markets. Investment firms engaging in HFT use computer-automated algorithms to trade financial instruments at high speeds. There is much debate as to what HFT entails, particularly its risks, benefits, and costs, and whom HFT affects (positively or negatively). In particular, this Note addresses efforts in the United States and the European Union to define and regulate HFT. The proposed Regulation Systems Compliance and Integrity (Reg SCI) and Regulation Automated Trading (Reg AT) in the United States and Markets in Financial Instruments Directive II (MiFID II) in the European Union contemplate measures to increase transparency and decrease volatility surrounding HFT, particularly in light of flash crashes in various influential markets. Recent events like the emergence of the Investors Exchange (IEX) and the flash crash following Brexit draw the role of HFT in ensuring the continued operation of the market into higher relief. As such, combining elements from both US and EU regimes to create a transparency within reason approach will help balance competing interests in effectively addressing HFT through a cohesive framework

Delegating Up: State Conformity with the Federal Tax Base

Congress uses the income tax to achieve policy goals. States import federal tax policies into their own tax systems when they incorporate by reference the federal income tax base as the starting point for assessment of state income taxes. But federal tax policies reflect national, not state, political choices. This Article calls attention to the practice of tax-base conformity and to its advantages and disadvantages. Conformity conserves legislative, administrative, and judicial resources, and it reduces taxpayers\u27 compliance burdens. At the same time, however, conforming states cede tax autonomy to the federal government, thereby jeopardizing federalism values, such as regulatory diversity and diffusion of power. Conforming states also expose themselves to revenue volatility stemming from the ever-changing federal tax law. Despite these concerns, the administrative and compliance advantages of federal-state tax-base conformity are so significant that states are unlikely to abandon it. Thus, this Article makes only limited recommendations for reducing the adverse impacts of tax-base conformity

Delegating Up: State Conformity with the Federal Tax Base

Congress uses the income tax to achieve policy goals. States import federal tax policies into their own tax systems when they incorporate by reference the federal income tax base as the starting point for assessment of state income taxes. But federal tax policies reflect national, not state, political choices. This Article calls attention to the practice of tax-base conformity and to its advantages and disadvantages. Conformity conserves legislative, administrative, and judicial resources, and it reduces taxpayers\u27 compliance burdens. At the same time, however, conforming states cede tax autonomy to the federal government, thereby jeopardizing federalism values, such as regulatory diversity and diffusion of power. Conforming states also expose themselves to revenue volatility stemming from the ever-changing federal tax law. Despite these concerns, the administrative and compliance advantages of federal-state tax-base conformity are so significant that states are unlikely to abandon it. Thus, this Article makes only limited recommendations for reducing the adverse impacts of tax-base conformity

The Cryptic Nature of Crypto Digital Assets Regulations: The Ripple Lawsuit and Why the Industry Needs Regulatory Clarity

The tension and associated time lag between technology and regulation has been well documented. Paradigmatic of this phenomenon is the global evolution of blockchain technology and digital assets. Digital assets in the blockchain allow users to transact directly without financial intermediaries. However, the regulatory guidelines for the assets, their issuance, and the subsequent transactions are unclear. The Securities and Exchange Commission (SEC) has filed an action to apply its existing regulations and the judicial interpretations to Ripple’s issuance of XRP, its token, and Ripple’s control over subsequent user transactions of XRP. This Note uses SEC v. Ripple as a case study to determine how digital assets are treated for securities purposes. It will also discuss the general regulatory and policy concerns of digital asset transactions. SEC regulations require disclosures and minimize price manipulations to protect users and market integrity. The SEC has provided a framework, and Chairmen and Commissioners have given speeches regarding how digital asset transactions on exchanges would be regulated. However, the SEC has mainly used litigation to enforce its jurisdiction over certain digital assets by applying the Howey test; thus, its guidelines are based on an amalgamation of the facts and circumstances from different cases instead of what they should be: a robust regulatory framework specifically and thoughtfully tailored to how these digital assets might be regulated as users transact. This note reasons that regulatory clarity is necessary for this industry to flourish. Digital assets may be issued as a security but after time, as the digital assets are transferred between users and the network decentralizes, they begin to function more like a consumer token. Not only are digital assets valuable to society, but they are also transforming the financial industry. The Commodity Futures Trading Commission (CFTC) has also offered guidance on how it would regulate digital assets within its jurisdiction. Yet, the question remains which digital assets fall under CFTC jurisdiction, which are in the SEC’s jurisdiction, and how the digital asset community can know the difference. To provide greater clarity, this Note argues that the SEC should adopt Commissioner Hester Peirce’s Safe Harbor Proposal 2.0, which proposes monitoring these digital assets while allowing sufficient time for decentralization. If decentralized, the digital asset would be regulated by the CFTC, and, if not, the digital asset would be regulated by the SEC

VENTURE CAPITAL INVESTMENT CRITERIA IN GAME SOFTWARE COMPANIES : Initial investments in the Finnish game industry

This thesis explores venture capital (VC) investment criteria on a specific industry, the game industry. The game industry is a new, lucrative and fast-paced industry characterised by volatility, unpredictability and a hit-driven nature. The theoretical purpose is to summarise the findings of previous literature on VC investment criteria and discuss it in the context of the game industry. The empirical purpose is to study what criteria Finnish VCs use when deciding whether to invest or not into a game company. To aid in providing an appropriate framework, the thesis includes a section introducing venture capital activities in general and in Finland, and the game industry, its dynamics and the Finnish game industry. The methodological approach of the thesis is empirical and descriptive. The thesis falls into the tradition of ‘managerial-oriented venture capital research’, which approaches VC activities from the micro-perspective in contrast to ‘market-oriented venture capital research’, which has a macro-perspective. The study is qualitative and the data is received via semi-structured interviews. In total six persons are interviewed: five from venture capitalists and one from the Finnish Game Industry Association. The primary result from the interviews is that an experienced team is the most important single investment criterium, accompanied with product and/or business model continuity, market characteristics such as market size, platform or segment, product characteristics such as genre, novelty, appeal, market interest and having a playable demo ready, substantial profit potential and VC portfolio suitability. The team needs to be experienced in both content and technical skills, have game business understanding, have marketing skills, be balanced, have passion and have the ability to execute. Moreover, the importance of the continuity of the product or business model was a new finding that seems to be important to VCs operating in the game industry. Market characteristics seem to play a role in some VC’s decision making, but are not universally critical to all VCs. Similarly, product characteristics divide the interviewees. Portfolio suitability and substantial profit potential did not stand out. In conclusion, the key findings of this thesis can be summarised in that the game industry does not fundamentally differ from general VC investment criteria, but certain criteria are emphasised. General VC investment criteria - the competitiveness of entrepreneur and the team, the lucrativeness of the market, the suitability of the product or service and profitable financial considerations - are all relevant, but the team is clearly even more emphasised when investing into the game industry. Future research is suggested in VC investment criteria in different industries and game industry related financial topics