About the mit digital currency initiative

Our mission is to create a future in which moving value across the Internet is as intuitive and efficient as moving information

Overview

As with the Internet, cryptocurrencies have the potential to affect all aspects of industry, from financial transactions to social networks.  We imagine a tipping point at which growing numbers of users start to demand the autonomy, openness and new value-generating potential of digital currencies and blockchains.
 
There is still a great deal of fundamental research and development needed before the technology can deliver on these promises, and academia has a vital role to play in that endeavor. Venture capitalists, entrepreneurs, and a new breed of crypto investor have collectively invested  billions in blockchain-based startups and so-called ICOs, at the same time that Wall Street banks, marquee technology companies, and government and international agencies have rushed to establish blockchain research labs. Yet leading experts in cryptography and economics are only now starting to weigh in on questions around the security of this technology and its broader impact on the economy.
 
That’s why the MIT Media Lab launched the MIT Digital Currency Initiative. The goal of the DCI is to bring together the brightest minds at MIT and elsewhere to conduct the research necessary to support the development of digital currency and blockchain technology.
 
Together with collaborators at other universities and research institutions, we are working with interdisciplinary groups of faculty, students, and research scientists to author research papers, run pilot use cases of the technology, and develop open-source software.

Goals

  1. Conduct research on blockchain and digital currency, broadly defined within two categories:

    1. Core software and infrastructure development that addresses questions about security, stability, scalability, privacy, and the internal economics of these systems

    2. Pilot projects and other research initiatives aimed at exploring and testing applications and use cases for the technology within business, government and society at large.

  2. Be a neutral convener for governments, nonprofits, and the private sector to research and test concepts with high social impact.

  3. Foster diversity and inclusion in the development and adoption of this technology by promoting access to educational resources among a wider body of students inside and outside MIT.

  4. Equip students with skills to drive innovation in blockchain technology

Values

  • Serve the public good

  • Have real-world impact

  • Act with integrity and rigor

  • Have the courage to rethink everything from the ground up

  • Challenge everything and be fearless

Why does blockchain technology matter today?

Many observers have compared the potential of blockchain technology with that of the Internet. The Internet enabled people to easily call each other without a phone company, send a document without a mail carrier, or publish an article without a newspaper. As a result, today more than 2.9 billion people depend on that decentralized communications protocol to more efficiently communicate with one another.
 
Similarly, a blockchain is a decentralized public ledger of debits and credits built on the principle that no one person or company owns or controls it. The intent is that users control their data directly. This new system promises to let people transfer money without a bank, write simple, enforceable contracts without a lawyer, or perhaps even turn personal property such as real estate, digital music, or a household’s rights to locally generated solar energy into digital assets that can be transferred or pledged with near-zero transaction fees. Many are projecting that the impact from the Internet of Value will be similar to that of the Internet of Information: disrupting traditional industries, challenging existing regulations, and significantly increasing the volume of commerce by both dramatically lowering the cost to transact and allowing parties to enter into exchanges without having to trust each other.
 
For comparison, the Internet had more than 20 years to mature in academia and government before its tremendous impact on mainstream commercial and personal use was realized. The first bitcoin was created in January 2009. While it shows enormous promise, it’s clear that much work still needs to be done before this technology can become truly safe, secure, and ready for billions of users. At the DCI we believe we can make important contributions to its technical safety, security, and reliability through rigorous academic research.