The Top 5 Enterprise Blockchain Protocols
It was more than a decade ago when the world knew of only one Blockchain, Bitcoin. Or maybe that wasn’t even known as a Blockchain; it was just a cryptocurrency, a new form of money for the people who had a knack for technology. However, today, we’ve transitioned into a time where everyone is more aware and optimistic about Blockchain. They don’t just know about it; they’re experimenting with it to produce new use cases to disrupt various industries and revolutionize the world with it.
What’s a Protocol?
Blockchain is a ledger technology that is not controlled by a central party but is distributed and decentralized. And to keep it decentralized, there are computers and servers, together termed as nodes, on the network that maintains a copy of the database and verifies transactions that are clubbed together in the form of ‘Blocks.’ These blocks are linked with each other using protocols.
Protocols act is the basis of the network, and they are a major reason why Blockchains differ from each other. Since the first-ever protocol, there have been various developments in how people see, understand, and utilize Blockchains. This has resulted in the formation of new types of protocols keeping in mind the purpose that the Blockchain is supposed to serve.
These are the top 5 Enterprise Blockchain Protocols:
While Blockchain is known for its decentralized nature, not every entity would agree to work on such permission-less Blockchains considering that their data would be available to everyone active on such a Blockchain.
Keeping in mind the reservations that companies and financial institutions need to have, Linux foundation built up, with many other tech giants, the Hyperledger, a protocol built for business use cases. It allows for developing solutions and applications for permissioned Blockchain, unlike Bitcoin.
Quorum is a modified version of Ethereum and is a work of J.P. Morgan. The protocol was designed to end the skepticism of financial institutions and smoothen their path to indulge with Blockchain technology and improve their services. Like Hyperledger, Quorum too is a protocol designed for permissioned Blockchains.
The four significant difference that sets apart Quorum from Ethereum are:
● network and peer permissions management
● increased privacy of transactions and contracts
● voting-based consensus mechanisms
● better performance
Built on top of J.P. Morgan’s Quorum is the Dynamo protocol. Designed by BlockCluster, it aims to target and negate the shortcomings of other private and permissioned Blockchains. Users of Dynamo have the authority to build and deploy their own smart contracts if they do not wish to work with auto-deployed contracts.
Below are the essential features of Dynamo:
● Define, issue, and transfer ownership of assets
● Atomic swaps allow users to swap assets without a third party
● Advanced search for assets or streams stored on the blockchain
● Voting-based consensus mechanism
Developed by R3 banking consortium, Corda is built from scratch, and only a few aspects of it are taken from Public Blockchain. It is an open-source Blockchain platform for the enterprise that enables the management and coordination of legal contracts and shared data between organizations. It permits the interoperability of applications on a single global network.
Multichain is again a platform that enables the creation of certain types of private enterprise Blockchains that can help financial institutions with processing and recording transactions. MultiChain has tried to simplify the Blockchains’ usage, maintenance, and deployment by providing simple API and a command-line interface.
MultiChain focuses on maintaining control over the transactions that are processed and enabling more secure mining with proof of work.
With the rapid increase of interest of financial, health, supply chain, and other businesses in the Blockchain technology, the competition to invent a more simplified and expeditious protocol to suit the needs of those parties is ever increasing. While there’s always room for improvements, but with companies like BlockCluster, who are trying to remove the roadblocks in Blockchain adoption and implementation, the universal application is not very far away.