Morteza Alaeddini’s current researches focus on designing a multi-agent system for trading in an open interbank money market equipped with a blockchain-based decentralized securities depository.

Morteza Alaeddini, Ph.D. student in Management Science

LVBG – Who are you, what is your background?

MA – My name is Morteza Alaeddini. I’m a Ph.D. student at Université Grenoble Alpes and I am currently working on my thesis at CERAG laboratory. Prior to that, I worked as a business/system analyst, programmer, and product manager in both software and banking industries for over 15 years.

LVBG – How did you first hear about Blockchain?

MA – As I said, my main activity was in the development of banking software as well as consulting in this field. So, it was only natural for me to hear about Bitcoin and subsequently, the concept of Blockchain when it started in 2009. However, I was interested in following this news at the time, because virtual currency was one of the wishes and ideas of people who worked in both software and finance, like myself.

LVBG – Can you explain your thesis subject?

MA – In this project, I’ll design and develop a multi-agent system for trading in an open interbank money market empowered by Blockchain. In such a market, commercial banks and the central bank can dynamically handle their money supply/demand balancing issues and securely register market transactions on a private Blockchain platform. Also, due to the use of Blockchain technology in the depository and clearing system, new concepts such as crypto-securities can be developed in the future.

LVBG – Who are your partners in your thesis project (directors, funding, collaborations, etc.)?

MA – This is a multi-disciplinary research topic, and three professors supervise my work. Prof. Philippe Madies guides me in the areas of finance and economics. Dr. Paul Reaidy is the professor I first shared this idea with, he is helping me in the design of the system and the dynamics of money supply and demand, and mainly conducts the project. Also, Dr. Julie Dugdale, who specializes in artificial intelligence, and multi-agent modeling and simulation, is helping us with this project. The project is classified as Strategic Research Initiatives (IRS) and is financed by IDEX Université Grenoble Alpes. We’ll also use data from several commercial banks, the Bank of France and the European Central Bank (ECB) for simulation.

LVBG – What is the greatest discovery you have made in your research to date?

MA – Previously, some researchers have performed simulations of the interbank market using agent-based modeling. However, integrating artificial intelligence, especially multi-agent systems, with Blockchain in the interbank market is a new idea. Throughout the literature review, we have found that transparency, information symmetry, and trust are recent concerns in the interbank market that play a crucial role in mitigating systemic risk and reducing contagion of economic crises, and the use of Blockchain technology can help address them. Let me clarify this argument with an example. Some researchers have already observed by simulations that the contagion regime has been reduced by giving informative signals to banks. Therefore, it can be inferred that the use of a Blockchain platform, whose primary nodes are banks, can play a useful role in reducing systemic risk by continuously maintaining this informative signal.

LVBG – Something that you learned during your research and that you would like to popularize with the general public in the form of a message?

MA – On the one hand, because it is difficult for humans to understand the decisions made by Artificial Intelligence systems, Blockchain can help track the thinking process and understanding of decisions. On the other hand, Artificial Intelligence can significantly increase Blockchain’s performance. Such ideas have recently been applied to the healthcare industry, where data is used to detect, diagnose, and prevent diseases. We intend to bring this innovation into the economy as well.

LVBG – Any advice you would like to give to a student who wants to get involved in a thesis including Blockchain in the subject?

MA – As far as I know, Blockchain as a Service (BaaS), federated Blockchain, as well as interoperability and integration protocols between Blockchain platforms or between a Blockchain platform and other technologies such as Artificial Intelligence and Internet of Things are some trends of study and innovation. Concerning the subject of my research, the development of a Blockchain-based decentralized depository system or the design and implementation of crypto-securities could be two future studies.


LVBG – Do you personally own cryptocurrencies?

MA – The next time that the market booms, I might buy some crypto for investment.

LVBG –What is your favorite one?

MA – Bitcoin and Neo for investment and Siacoin for mining.

Interview by Louise Valentina Bautista Gomez (LVBG) – June of 2020

Posted in Actu, Citation, Etudes de cas, ITW, Notre travail de terrain on octobre, 2021