Blockchain Technology and Mediation

Developments in technology; It affects our daily lives in many areas such as health, education, transportation, management and law. “Blockchain Technology”, which is called the beginning of a new era, is a topic we hear frequently lately. In fact, although blockchain entered our lives with an academic article published by Satoshi Nakamoto in 2008, its popularity has increased with BTC (Bitcoin), ETH (Ethereum), LTC (Litecoin), USDT (Tether) and many similar cryptocurrencies. However, blockchain technology essentially opens up a completely different world.

The purpose of this article is “Do cryptocurrencies have a legal infrastructure in our country or not?” Rather than a discussion, it consists of briefly answering the question “Where should we be as mediators?” Therefore, first of all, blockchain technology, crypto currencies such as BTC (Bitcoin), ETH (Ethereum), LTC (Litecoin) and USDT (Tether) that work on this technology. I think it is necessary to briefly explain the usage areas of blockchain other than cryptocurrencies.

In its simplest definition, blockchain is a software-based data storage system. The system allows the transactions performed on the network and constantly added to be recorded on multiple computers and/or networks. This is called distributed data ledger. The meaning of being distributed is that it is decentralized. In other words, in a distributed data system, data recorded in blocks is not collected in a single or a few centers. The data is recorded in an encrypted manner by all members participating in the network. Since the data recorded in a distributed manner is not under the control of a central power or structure, it is very difficult to change the data. This ensures that data is stored securely. Then, the purpose of blockchain technology is to record the transactions made between the parties and/or the data provided, while doing this, to distribute the “trust” service provided by a central intermediary to computers, and thus to eliminate the monopoly of central authorities arising from the need for trust.

So what is the relationship between cryptocurrencies and blockchain technology? Blockchain technology forms the infrastructure of most cryptocurrencies. For this reason, the most distinctive feature of cryptocurrencies is that they are not connected to a central financial institution that controls the flow of money, such as a bank. Bitcoin, the most widely known of the cryptocurrencies, was created in 2008, a period when the world financial crisis arose and trust in intermediary institutions was shaken, by a person and/or persons whose identity is still unknown and who introduced himself and/or himself as “Satoshi Nakamoto”. Bitcoin was the first cryptocurrency and therefore the most popular. Apart from BTC, as mentioned above, there are many cryptocurrencies such as ETH (Ethereum), LTC (Litecoin), USDT (Tether). Since these were produced after Bitcoin, these cryptocurrencies are called altcoins. The underlying goal of all of them is to create a payment system that eliminates intermediaries.

Although blockchain forms the infrastructure of cryptocurrencies used as a decentralized payment tool, it should be emphasized that this technology has many different areas of use. For example, with smart contracts to be established through some blockchain networks; It is aimed to ensure that escrow services, letter of credit trade transactions, notary services, title deed services and similar transactions are carried out without intermediaries and securely, as written on the network.

The issue of how disputes will be resolved in a decentralized manner via the blockchain network is undoubtedly another matter of curiosity. At this point, the Kleros project, which integrates the legal system into the blockchain, appears as a decentralized dispute resolution platform.

of the system; Just knowing that it can be used in many areas such as manufacturing, logistics, energy, health, retail, telecommunications, media, insurance, finance and law sector is enough for us to conclude how deeply it will affect the social rules we live in. Changing social rules will undoubtedly bring about new disputes.

No matter how the dispute arises, there is no doubt that our duty as mediators is to help make agreements that meet the legitimate interests of the parties as much as possible, are permanent, take into account social peace and the happiness of the parties, by keeping up with the technology, agenda and current events.