The rise of Blockchain-as-a-Service
The meteoric rise of the price of Bitcoin and the flurry of initial coin offerings (ICOs) over the latter half of the year have put blockchain in the spotlight of tech. All that buzz has prompted many organizations to aggressively look into blockchain adoption. If large organizations are doing it, why shouldn’t everyone else?
Several tech companies have already responded to this heightened interest by offering blockchain-as-a-service (BaaS). Enterprise computing giants have come out with their respective offerings. Microsoft makes their BaaS available through Azure. IBM also has their own BaaS that’s based on the Hyperledger Fabric and is made available through the Bluemix cloud platform.
Blockchain and smart contract platforms like Ethereum and NEO have also contributed to wider adoption by opening their technologies for decentralized application (dApp) development. Interest from businesses has even brought out renewed effort from other players to improve their BaaS solutions. Jelurida, the group behind the pioneering proof-of-stake blockchain platform NXT, is now working on Ardor – a new project that is aimed at addressing blockchain’s scalability concerns for business users.
The availability of all of these platforms gives organizations more compelling reasons to use blockchain.
Mainstream coverage of blockchain has been non-stop thanks to the skyrocketing prices of cryptocurrencies. IT decision makers (ITDMs), even those in non-tech companies, probably have already had the unsavory experience of fielding questions regarding the technology and how should it matter in their respective companies.
Just about any company could find use in blockchain’s ability to keep immutable and transparent records. However, certain expectations have to be managed. Leadership must be clear about what advantages and benefits blockchain could bring. It’s also important to underscore that blockchain can offer much more than cryptocurrencies and ICOs.
Other factors such as compliance and regulations must also be considered. Issues that have hindered cloud adoption may also become similar problems with blockchain. For example, certain use cases may require data to be hosted within a particular jurisdiction and this can be an issue given blockchain’s distributed infrastructure.
Still, ITDMs must rise to the challenge of providing a clear assessment of their situation. Dismissing blockchain as a fad can result in the company missing out on the other many benefits of blockchain. Companies must also comprehensively evaluate the practicality of implementing the technology and define in which business areas should blockchain be used.
It’s amazing to see how many verticals blockchain startups have already sought to disrupt. Surveying the hundreds of ICOs that were held over the past year, one would notice the diversity of industries that these projects seek to influence. These have shown that blockchain can transcend financial services and find a place in verticals such as the arts and entertainment.
Blockchain smart contracts offer businesses the benefits of automation and efficiency. They could be used to facilitate placement and fulfillment of orders and even take over legal documentation requirements.
