What is Private Blockchain?
Conventionally, blockchains are open to everyone. Anyone can participate in a transaction on the blockchain and can opt to become a node on it. However, private blockchains are designed such that only verified members are able to become a node on the network. Also, private blockchains usually have a comparatively smaller number of nodes participating in the validation process.
Although centralization takes over decentralization in the case of a private blockchain, they are best suited for banks and other financial entities along with organizations that do not want their transaction details to be put out in front of the public.
Where and How are Private Blockchains Used?
Gone are the days when enterprises and financial institutions found blockchains unreliable due to their public nature. The advent of private blockchains has helped enterprises realize and scale the potential of distributed ledger technology while ensuring that their transaction data is only available to authorized parties.
Financial institutions have started implementing private blockchains for more expeditious and secure inter-bank transfers and remittances system. Major brands such as Walmart and Starbucks also joined the blockchain bandwagon to track the authenticity of their raw products and derive more customer trust by delivering readily available product data to them. Shipping companies are using private blockchains to track and access cargo data to ease out custom’s process.
That’s not all. Industries ranging from travel to oil and gas, from airlines to real estate, are all treading down the private blockchain path.
Widely Used Private Blockchain Platforms
Hyperledger Fabric by The Linux Foundation, R3’s Corda, and Quorum by JP Morgan are open source enterprise-focused blockchain platforms that are helping banks and businesses reap the benefits of blockchain. These blockchains provide utmost privacy to enterprises, a high transaction throughput, and a fraud-resistant ecosystem.
Private Blockchain Application Development Service
TheBlockBox is a blockchain application development company that helps enterprises build top-notch applications over private blockchains. We follow our proprietary development framework, wherein we brainstorm your business idea to develop a strategy to move forward.
Our experts then create a blueprint of your blockchain application idea to help you visualize how it would look in real life. Upon receiving a green flag from you on that, we develop an MVP to test your application in a testing environment, following which, we make the conclusive developments to ready the application for the final launch.
If you are planning to build an application over a private blockchain or even have an idea about it, we would be eager to hear that out and discuss the best possibilities.