Overview
Blockstream is a prominent blockchain technology company that plays a significant role in the development and infrastructure of the Bitcoin ecosystem. Founded in 2014 and headquartered in Victoria, British Columbia, Canada, Blockstream is led by co-founder Adam Back, a well-known figure in the cryptocurrency space.
Products and Services
Liquid Network
Blockstream's flagship product is the Liquid Network, a sidechain protocol launched in October 2018. It enhances the Bitcoin blockchain by enabling:
- Faster and more confidential transactions
- Reduced counterparty risk
- Issuance of new assets The Liquid Network uses Elements Core, a sidechain protocol built on the Bitcoin Core codebase, and features Confidential Transactions, Segregated Witnesses (SegWit), and new opcodes. It processes blocks every minute, compared to Bitcoin's 10-minute interval.
Blockstream Satellite
Blockstream operates a satellite network that broadcasts the full Bitcoin blockchain via one-way transmission. Initiated in 2017, this service:
- Propagates valid Bitcoin transactions to areas without internet access
- Provides coverage in multiple regions, including Asia and the Pacific
- Offers API specifications for user data transmission
Blockstream Jade
The Jade device is a hardware wallet designed for secure storage of private keys for Bitcoin and layer-2 assets, known for its simplicity and high-security features.
Blockstream Mining
The company provides bitcoin mining infrastructure and colocation solutions, positioning itself as a leader in the global Bitcoin mining sector.
Industry Partnerships
Blockstream collaborates with various industry players, including:
- Bitcoin Core developers
- Intercontinental Exchange Inc. (ICE) for cryptocurrency market data feeds
- Digital Garage to create Crypto Garage, targeting the Japanese institutional market
Funding
As of 2021, Blockstream had raised $210 million from investors, including venture capital firms such as Horizons Ventures and AXA Strategic Ventures. In summary, Blockstream is a key player in the Bitcoin and blockchain ecosystem, focusing on enhancing the efficiency, security, and capabilities of digital asset transactions and storage.
Leadership Team
Blockstream, a global leader in Bitcoin and blockchain infrastructure, boasts a diverse and experienced leadership team:
Founders and Executive Leadership
- Adam Back: Co-Founder and Chief Executive Officer
- Background in cryptography
- Previous experience at Pi Corporation, Microsoft, Zero Knowledge, and GuardianEdge Technologies
- Erik Svenson: Co-Founder, President, and Chief Financial Officer
Key Executives
- Lawrence Nahum: Chief Architect
- Responsible for architectural integrity and technical direction of Blockstream's products and services
- Jeff Boortz: Chief Product Officer
- Oversees product innovation and development
- Sam Fang: Chief Financial Officer
- Note: Erik Svenson is also listed as CFO in some sources
Recent Appointments
- Sean Bill: Chief Investment Officer
- Leads the newly established Asset Management Division
- Focuses on developing Bitcoin-based financial and investment solutions
Board of Directors
- Estelle Metayer: Independent Non-Executive Director
- Expert in Competitive and Strategic Intelligence
- Jean-Sebastien Cournoyer: Board Member
- Hands-on investor and entrepreneur
- Focus on AI, blockchain, AR/VR, and synthetic biology
- Reid Hoffman: Board Member
- Co-founder of LinkedIn
- Partner at Greylock
- Renowned entrepreneur and investor This diverse leadership team combines expertise in cryptography, blockchain technology, finance, and strategic management, positioning Blockstream at the forefront of blockchain innovation and development.
History
Blockstream, founded in 2014, has emerged as a leading blockchain technology company with a rich history of innovations in the cryptocurrency and blockchain space.
Founding and Early Objectives
- Founded by prominent figures in the cryptocurrency community, including Adam Back, Gregory Maxwell, Pieter Wuille, Jorge Timón, Mark Friedenbach, and Matt Corallo
- Primary goal: Address Bitcoin's scalability issues and develop technologies for faster, more efficient transactions
- Aim: Enhance Bitcoin's capabilities without creating new cryptocurrencies
Major Milestones
2014
- Blockstream founded
2015
- Launched Sidechain Elements, allowing developers to experiment with new features on Bitcoin-connected sidechains
2016
- Raised $55 million in Series A funding
2017
- Launched the Liquid Network, a sidechain-based settlement network for faster and more confidential Bitcoin transactions
- Introduced Blockstream Satellite API, enabling Bitcoin transaction broadcasting via satellite
2019
- Collaborated to launch the first regulated Bitcoin bond on the Liquid Network
2020
- Released c-lightning implementation of the Lightning Network
Key Innovations and Products
- Liquid Network: Sidechain facilitating interoperability between Bitcoin main chain and Liquid sidechain
- Blockstream Satellite: Broadcasts full Bitcoin blockchain via satellite
- Lightning Network: Instrumental in development and implementation of this second-layer solution
- Green Wallet: Secure and user-friendly Bitcoin wallet
Growth and Expansion
- Expanded product offerings and services
- Formed strategic partnerships with leading industry companies
Leadership and Funding
- CEO: Adam Back, renowned cryptographer and cypherpunk
- Raised $210 million as of 2021 from investors including Horizons Ventures and AXA Strategic Ventures Blockstream's commitment to innovation, transparency, and decentralization has solidified its position as a leader in the blockchain and cryptocurrency industry, continuously pushing the boundaries of what's possible with Bitcoin and blockchain technology.
Products & Solutions
Blockstream, a leading blockchain technology company, offers innovative products and solutions to enhance the security, efficiency, and usability of cryptocurrency transactions. Here are their key offerings:
The Liquid Network
The Liquid Network is a sidechain protocol extending Bitcoin's capabilities, allowing asset transfers between the Liquid sidechain and the Bitcoin main blockchain. Key features include:
- Confidential Transactions
- Segregated Witnesses (SegWit)
- Native asset issuance
- New opcodes
- Faster block times (every minute vs. Bitcoin's 10 minutes)
Blockstream Satellite
This service provides global, one-way satellite broadcasting of the full Bitcoin blockchain, enabling transaction propagation without internet access. As of 2019, it covers six regions, including Asia and the Pacific.
Blockstream Jade Hardware Wallet
The Jade is a secure, open-source hardware wallet for Bitcoin and Liquid assets. Features include:
- Air-gapped QR functionality
- Virtual Secure Element
- Compatibility with various wallets
- Advanced security features (multisig recovery, duress PIN, SeedQR support, stateless signing, TOTP authentication)
Blockstream Green Wallet
Green is a software wallet balancing convenience, security, and control for Bitcoin and Liquid-based assets. It offers:
- Simple setup and user-friendly interface
- 2FA Multisig Shield
- Integration with hardware wallets
- Support for SegWit and customizable fees
- Multilingual support and optional Tor connectivity
Industry Partnerships
Blockstream collaborates with various entities, including:
- Intercontinental Exchange Inc. (ICE) for cryptocurrency market data
- Digital Garage to create Crypto Garage for the Japanese institutional market
- Employment of Bitcoin Core developers and contributions to the Lightning Network Blockstream's offerings align with their mission to build robust, scalable crypto-financial infrastructure based on Bitcoin.
Core Technology
Blockstream has developed several core technologies that significantly contribute to the Bitcoin and broader cryptocurrency ecosystem:
Elements
An open-source blockchain protocol usable as a standalone blockchain or sidechain. Built on the Bitcoin Core codebase, Elements implements advanced technologies such as:
- Confidential Transactions
- Segregated Witnesses (SegWit)
- Native asset issuance
- New opcodes
Liquid Network
A sidechain built using Elements Core, enabling faster and more private asset transfers between the Liquid sidechain and the Bitcoin main blockchain. It supports multiple crypto assets and tokenized fiat currencies and securities.
Lightning Network
Blockstream actively develops the Lightning Network, particularly through its Core Lightning (c-Lightning) implementation. This enterprise-level solution includes advancements like eltoo, enhancing network safety and introducing new off-chain smart contracts.
Satellite Network
A global satellite network broadcasting the full Bitcoin blockchain, ensuring access without internet connectivity. This free-to-use service enhances the Bitcoin network's resilience.
Cryptographic and Privacy Enhancements
Blockstream researchers have contributed to:
- Bulletproofs: Compressing confidential transactions
- Scriptless Scripts: Increasing smart contract privacy on the Lightning Network
- Schnorr Signatures: Aiming to increase throughput and enable privacy upgrades
Hardware Wallets
Blockstream's Jade and Jade Plus offer advanced security features like:
- Genuine Check hardware verification
- Air-gapped firmware upgrades
- Blind Oracle Technology for key extraction protection These technologies reflect Blockstream's commitment to enhancing the security, privacy, and efficiency of the Bitcoin ecosystem and broader blockchain infrastructure.
Industry Peers
Blockstream operates within the blockchain, cryptocurrency, and fintech industries. Its peers and competitors can be categorized as follows:
Blockchain and Cryptocurrency Infrastructure
- Paxos: Regulated blockchain and digital asset solutions for financial services
- Voltage: Enterprise-grade node hosting and cloud-based infrastructure
- Layer One: Crypto asset investment and infrastructure platform focusing on promising blockchain protocols
Digital Asset Integration and Financial Infrastructure
- Zero Hash: B2B embedded infrastructure for integrating digital assets via API endpoints
- Polysign: Secure, scalable infrastructure for financial institutions leveraging digital assets
- STASIS: Bridges traditional banking with blockchain ecosystems, offering stablecoins and Web3 tools
Cryptocurrency and Blockchain Services
- Coinbase: Major cryptocurrency exchange and wallet service provider
- CASA: Secure, multi-asset custody solutions for individuals and institutions
- Exodus: Multi-currency wallet and blockchain-related services
Financial Technology and Blockchain Solutions
- sFOX: Cryptocurrency prime dealer for institutional investors, aggregating global trading liquidity
- STACS: Financial technology solutions including ESG certification, data registry, and digital securities
- Everest: Decentralized blockchain platform with scalable payment solutions, multi-currency wallets, and biometric verification These companies are involved in various aspects of blockchain technology, cryptocurrency infrastructure, and financial services, competing with or complementing Blockstream's offerings in the broader fintech and blockchain ecosystem.