We live in an era where technology is blooming quite fast. Yet leaving in a prosperous society, we still lack a lot of features in our daily lives and businesses. Our businesses run on legacy networks that can’t store records without making any errors; it takes days to process a transaction and cyber-attacks are a daily occurrence.
In a time like this, blockchain technology emerged as a knight with shining armor. The decentralization structure and the heavy security measures created a revolutionary technology that can get rid of all the flaws in our business models. But to make this technology more applicable in the enterprise sector, it needs to have more features. That’s why many enterprise blockchains started to emerge.
One of the popular enterprise blockchains is R3’s Corda. Corda happened to create a lot of hype in the market when it first started its journey as a new enterprise blockchain technology. And so, today, I’ll dive into this renowned enterprise blockchain and let you know how you can utilize their services.
So, let’s begin.
Table of Contents
Chapter-1: What is R3?
R3 is an enterprise-grade blockchain software firm. They have an ecosystem of 200 members from multiple industries. R3 along with all other members develop the Corda platform and Corda enterprise platform for enterprise use cases.
The R3 blockchain consortium came into being in 2014, and David E Rutter was the founder. Now Richard G Brown is the current STO.
Over 180 professional developers are currently working on the development of Corda, and they have investments of 45 firms to back them up. R3 blockchain consortium members develop blockchain technology for the sake of transforming the business world. All of their global network of partners work equally to develop different applications for commerce and finance using the core software Corda blockchain.
Read more about the History of Blockchain Technology.
Introduction To R3 And Different Aspects Of The Corda Platform Infographic
Why Did R3 Create Corda?
R3 envisions a future where different legal contracts such as business contracts are managed and recorded in an automated system without any form of errors. Moreover, people need to transact seamlessly for any contracts without dealing with any frictions.
Further, they think that the marketplace needs to run on a different business model where different enterprises would collaborate and maintain their ledger accordingly rather than having their independent system that’s inconsistent. To do these companies have to depend on a fair system that would treat every company the same way.
Reconciliations, duplicates, breaks, and failed matches should be a thing of the past. Moreover, no one should get trapped in isolated pools of assets. That’s why they introduced a new technology called Corda.
Collectively R3 wants every individual and organization on the Corda blockchain to transact directly with any individual. They designed the architecture carefully to make it capable of handling real-world transactions legally. Further, R3’s Corda blockchain introduced multiple applications on the platform that can operate alongside the typical transitioning feature.
You’ll be fascinated to know that Corda offers a great deal of features such as privacy, identity, governance and many more. I’ll talk about more of it later in the guide.
In Contrast to Permissioned and Permissionless Blockchain
R3’s Corda blockchain is a platform for real-world entities so that they can manage legalized contracts and transfer any kind of value without facing any loss of privacy.
In contrast to permissionless blockchain networks, Corda blockchain can manage all the real-world transactions within two identified users with legal certainty and privacy.
Compared to any kind of permissioned blockchain networks, the Corda blockchain will allow you to have multiple parties to co-exist within one network. They will also be able to interoperate within the same network system. R3 blockchain members explicitly designed the governance system for this purpose and to reflect common use cases on the platform.
To make sure that the Corda blockchain is able to settle all the obligations correctly, it will allow you to issue, transfer and even redeem any cash-like assets. Mainly these assets are the real-world currencies, which have to follow regulations.
Anyone who will issue a native currency or use any tokens on the network can use these tokens to pay for any kind of participation or adoption of new features. You can also use the tokens to pay for any services that can be platform-specific or outside the platform. However, the services need to be on the Broader Corda network.
Let’s see how the design feature of Corda blockchain can truly change the perspective we had on this new technology. Further, hopefully, you’ll finally see a different approach to solve typical business problems.
What Problems Does Corda Blockchain Want to Solve?
From 2016, Corda Blockchain was an open source software for everyone to use freely. A great collaborative effort of different global organizations made it possible to come up with the one of a kind Corda blockchain. All the companies that came together to build this software represent a wide range of industries, and with regulations, the design was complete.
Yes, Corda blockchain was for only the financial sector, and that was the sole purpose of developing this R3 blockchain technology in the first place. But after the release in practical cases, Corda blockchain showed tremendous potential for other use cases beyond banking only.
But what was the motivating factor that drove Corda blockchain to come forward? R3 blockchain technology wanted to solve the core problem between individuals and a combination of firms – managing agreements and other form of contracts. Usually, these parties trust each other to make the transaction, but they don’t trust enough to maintain the same records as well.
It doesn’t matter which location or industry the parties are from, but everywhere we can see the same trust issues, don’t we? Additionally, they maintain their own ledger, and it records the specific view of their positions and agreements along with their set of customers.
But when every single enterprise maintains a different set of records of the same thing it creates mismatching, error fixing with additional costing. Moreover, these scenarios create a lot of conflicts if two firms have different views on the same transaction that creates a loophole for the bad party to exploit it.
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Corda R3 Blockchain to the Rescue
In the past, the mismatching scenario was quite unavoidable. But now recently with R3 blockchain technology, there are quite a lot of ways to get rid of this problem in centralized infrastructure. However, the Corda blockchain had to join their networks without joining the firms themselves.
But this kind of approach also creates a tradeoff where you’d have to deal with inertia and rent-seeking. Anyway, everything comes with a cost, and you can already see how the financial sector was before it even started to use web-based applications. So, whenever there’s a new technology, there will be a far greater achievement than losses.
Corda blockchain, in this case, can use the strong and secure cryptography to offer new opportunities. And this ensures the authoritative system of records where every enterprise taking part in it get equal rights and have a common way to handle it. Furthermore, it won’t even disrupt their privacy at all.
Corda blockchain platform offers a system where the companies can finally know that what they see matches with what the other firm is seeing. So, it reduces the costing, conflicts, and errors in the overall ledger system.
That’s why Corda blockchain platform can evolve beyond only financial sectors and provide the level of trust between various organizations.
Chapter-2: What is Corda?
Corda is distributed ledger software that processes and records data to promote a decentralized network environment. Mainly Corda is geared toward the financial sectors. Corda R3 architecture mainly supports smart contracts that resemblance the definition of Braine, Bakshi, and Clack.
The structure of the smart contract within Corda R3 architecture is an agreement where execution is dependent on the computer code but with human control and input. However, if anyone wants or needs they can legally enforce these smart contracts anytime. So, so if you face any unfairness in smart contract feature of Corda private blockchain, then you can take legal action.
This is something that other enterprise blockchain doesn’t really provide, does it?
Principal Features of R3 Blockchain Platform
Initially, R3 blockchain consortium members designed Corda private blockchain for the need of financial institutions. However, it turned out to be much broader in term of usage. You can see a heavy resemblance of the typical blockchain system in the Corda private blockchain, but it doesn’t have the traditional design that makes it not capable of handling real-life situations.
Mainly the Corda R3 architecture tweaks up the original version of blockchain and offers a blockchain 2.0! In the building block of the Corda R3 architecture, each one is called “state objects.” These objects represent a portion of the real-world contracts or contain the whole contract there.
It differs than typical blockchain because the state of the entire virtual machine or entire ledger system depends on the users reaching consensus. But in Corda things are done a bit differently.
Corda offers three tools for global distribution of consensus –
- Smart contract logic that enables the users to transact using pre-agreed rules. It’s a part of their CorDapps.
- Timestamping and uniqueness services. These are known as Notary pools. The services can order transactions temporarily, which eliminates conflicts.
- Flow Framework that simplifies the writing process of complex protocols between distrusting users.
Corda Private Blockchain Model
The Corda R3 architecture begins with the idea of a global ledger system, where anyone can depend on the single point of source.
But the Corda R3 architecture isn’t entirely like that. You won’t be able to see all the transactions in a ledger, so global visibility isn’t the feature of Corda private blockchain.
Any transaction between two individuals or groups will only be visible to them and no one else. However, users who will be participating in consensus can also see them as they need to verify it for the sake of the ledger.
In compared to platforms that offer a global broadcast of all transactions Corda blockchain definitely has the lead. Also, a certain private platform also offers these by partitioning the data into other channels or confidential contracts. But are they applicable in a network where billions of users will be using the platform every day?
Well, no. So, this unique model gives the Corda r3 architecture a different edge than already existing platforms.
Mainly the foundation of this type of R3 blockchain platform is the state object. State object records the existence of all smart contracts and also provides the current state of the contract. And those who will participate in the smart contract will be able to see this object.
Obtaining Consistency within the Corda R3 Architecture
To make sure that the whole network is consistent in a shared, global system even though not everyone can see the ledger data. R3 blockchain members rely fully on the cryptographic hashes. These hashes can identify data and users and can link back to the previous transaction in order to maintain the chain.
All the state objects are immutable. So, no one will be able to change it. R3 blockchain members want to maintain the consensus for everyone so that the users can remain in agreement as the network grows. And all the R3 blockchain members believe that it’s essential to maintain the agreement if anyone wants to integrate blockchain in real-life scenarios.
Corda blockchain will make sure that every single data remains the same even though other operations are going on to update the data. This forms a Corda R3 architecture where anyone can transact reliably starting from simple monetary payments to sophisticated contracts.
Consensus Process of R3 Blockchain Platform
In Corda blockchain platform, if you had really made an error, then you can update it. But you’ll have to use a transaction to make the change. This new transaction will consume the previous state object and develop a new state object with revised data. Furthermore, there are two aspects of consensus in Corda blockchain platform –
The users who will participate in the contract process of Corda private blockchain has to check some points that would be needed for an updated validation. For that, they need to check the associated contract codes in the state object. So, the users would need to be deterministic about it. Moreover, the state object needs to have all the parties signature and if it indicates any other transaction that the transaction also has to be valid.
How will the validators know whether a transaction is unique or not? In any case, validators can know it if they see that all the inputs in the state object doesn’t have any revisions or doesn’t have any transactions linked to it.
Validators of a transaction can validate that by running the same contract code along with validation logic. However, what will happen if there are two transactions valid at the same time? How will they determine the sequence in the Corda R3 architecture?
In this case, you would need a predetermined observer, and the user needs to be a member of mutually distracting users in the notary pool. In a Corda private blockchain, there can be multiple notary pools where each pool can offer different types of validation characteristics.
Usually, other types of blockchain platforms reach the consensus at the ledger level but not in Corda. Any user on this R3 blockchain platform will only see a fraction or subset of the whole ledger. And this way other parties will get the privacy level they need, without string their transaction info on another private channel.
Corda blockchain platform also offers some unique pluggable features. These pluggable features help to improve scalability, availability, privacy, algorithmic agility and ledger-system compatibility.
Any kind of single services could get created with equally mutual distracting parties using the Byzantine-fault-tolerant consensus. All these uniqueness services or notary pools are only here to determine whether it consumed any previous transactions or not.
They can’t validate the transaction itself in any way in the R3 blockchain platform. So, these notary pools won’t be able to see all the contents of any transaction; therefore, preserving the scalability and privacy of that particular transaction.
R3 blockchain consortium designed the concept that really offers a different kind of blockchain system.
Chapter-3: Architectural and Business Principle of Corda
Business Principles on Corda Blockchain Platform
- Inclusion: All the users are free to discover each other, and they can transact directly in an open network.
- Assured Identity: Users will have assurance about the identities of all the participants in the network.
- Privacy: Transactional details are for the transacting parties only. So, if you are transacting with another user, both of you can see the details but no one else can. The only exceptions are the users who are participating in the consensus.
- Shared Logic: All the characteristics of an agreement will get managed by the system. Moreover, it will be computer code format, so that consistency and validity of that agreement stay intact.
- Legal Footing: Any deal on the ledger is a form of evidence for that information legally. Everyone on the ledger would need to show this in case of any dispute.
- Authoritative: All the information on the ledger have authoritative access and data. These won’t be a shadow of the information kept somewhere else. So, every information is the original copy.
- Immutability: Anything on the ledger is the final state of that information. No one can change that. But if there was an error, then the users need to go through the subsequent transaction to change it.
- Open System: The system itself is open source along with participation, governance, development and even supervision. This kind of system ensures the diverse use cases of the platform.
Corda Architectural Standards
There are few architectural standards for Corda blockchain platform. Let’s see what they are –
- Scale: Corda is highly scalable. So, it can support billions of transactions every day.
- Longevity: There will be multiple version of Corda running on the same network side by side. And any application will run on the latest version of Corda; you won’t have to change the code for that.
- Secure: A great deal of security from the adversarial security environment will look after the network.
- Stable: Evolving will be done really carefully. Each version will maintain the consensus critical network standards to avoid any bugs.
- Interoperable: You can use multiple applications on the same network and have interoperability among them.
A set of interfaces that are standardized are in the architecture too, mainly for contracts. It helps to maximize the interoperability of the Corda R3 blockchain for a variety of providers. Furthermore, Corda R3 blockchains implementation in the enterprises can help to accelerate growth and power.
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Why This Architecture Excels?
R3 blockchain technology wants to target the problems of the industries by reducing costs, regulatory burdens, risks and with the innovation of services and products. Thus, it creates a diversity of services that can really help the blockchain ecosystem.
As far as other distributed ledger platform performs and offers, there are no existing ones that can provide the same level of facilities like Corda blockchain platform. For example, keeping mutually distrusting users on the same network always needs to have a common level of administrative access. But no other platform provides it.
Such as the architecture of Ethereum isn’t suitable as a solution and what the Corda blockchain platform wants to change. Maintaining restricting and keeping all sensitive information on the ledger won’t be a feature of Ethereum. Thus, R3 blockchain technology architecture excels in this field.
Smart Contracts or Business Logic of Corda Blockchain
Corda blockchain runs all of its business logic using the smart contract feature. Typically a smart contract in Corda R3 Blockchain is a much simpler form of business logic. It’s a pure function where the user can reject or accept the proposed agreement and even compose one from simplistic reusable functions.
Every state object on the Corda R3 blockchain network will specify what function you need to use for any transaction that might create that state object or consume it. Furthermore, in any case, everyone has to follow these rules to transact and create a state object of any kind. If anyone doesn’t go with the associated rules, their state object won’t simply verify.
So, to make a transaction valid, you’d have to use the contract code along with its associated states. It’s your responsibility to propose the business logic that goes by all the rules outlined from before if you ever want to get that smart contract agreement validated.
That’s why contracts are actually the one defining the consensus part of the business logic on the Corda blockchain. Moreover, these are mobile; it means that you can download this and run it inside a sandbox where reviewing might not be necessary.
Although Corda R3 blockchain actually uses the signed form of contracts in their global Corda network.
Model the Smart Contract Uses
Corda blockchain followed the model of bitcoin where one party will propose a transaction and other people on the network will verify it. Although they extended the process and generalized it so that anyone can use it.
Furthermore, this is where the privacy and scale come into play in Corda R3 blockchain. Moreover, they selected Java Virtual Machine to execute all the smart contracts and validate them. But why? Well, Java Virtual Machine comes with a lot of existing libraries, and many are familiar with it. SO, it’s much easier for a developer to work on this virtual machine.
The feature is best for R3 blockchain banks who can reuse their codes on this platform without totally altering it.
However, R3 blockchain consortium members use their customer sandbox rather than the JVM sandbox. Thus, it provides a more restrictive nature in case of any transactions. Furthermore, this enhances the security standard in the R3 blockchain banks.
Similar to Ethereum, instead of standardizing a language it uses a bytecode set, which lets users’ innovate with their contract language. They can even use any known language they prefer.
Moreover, the process ensures that using contracts codes in any kind of blockchain application would be utterly easy and promotes good development.
How Corda R3 Blockchain Manage Identities?
It’s time to talk about how the network actually manages identities. You already know R3 blockchain consortium members use identities to represent the node. So, there isn’t any anonymous aspect like bitcoin or other blockchain networks.
Using identities is essential as financial transactions have to have some form of trust. In the identity of the Corda blockchain, the network will give out a certificate. Furthermore, the certificate will contain the sign of the user and the real-world name.
So, criminals who want to hide behind an alias and use the platform won’t be an option here. Thus, it gets rid of the bad side of blockchain technology – Criminal connections.
You will get a private key along with your Corda blockchain identity, and you’ll need to protect it. It’s because anything signed with your private key will legally bind you in the contract. So, if you disclose it to another party, he/she might take advantage of that key.
To do these Corda blockchain associates a human-readable name (originally the legal name) along with the public key and their IP address (Network Address).
The R3 blockchain consortium members are utterly strict about this procedure of mapping. You will get only one public key with your name.
By doing so, Corda blockchain offers an unambiguous legal entity to eliminate any form of ambiguity in the network or anywhere else. Based on this many can create solutions that can be trusted fully.
The underlying Corda blockchain software creates this identity infrastructure within the participants but done not restrict the mode of operation or sophistication. However, the global Corda blockchain network gives out a specific model for this where parties will be able to collect all the identities to promote interoperability in multiple Corda networks.
While developing a CorDapp, there are some factors you’d need to maintain. You’d need to minimize the amount of sharing ability state within the application, and it also restricts what programming techniques you can use.
The combination of contacts codes, APIs, UI components, state objects, Flow frameworks, and wallet plugin make up the general structure or CorDapps. So, if you are planning on developing CorDapps, then you should keep these features in mind. Remove any of it, and it won’t be a Corda application.
Why Build on the Corda Blockchain Platform?
Now you know about the Corda blockchain software. But the main issue is it looks all good, but why should you even consider using it? Well, there are practically a few reasons for that. Let’s see what they are –
- R3 blockchain consortium members ensure to offer industry grade tools along with a perfectly developing environment for focusing on building any value on top of their applications.
- It comes with a firewall application. If you can deploy it within your company, no one can ever harm your network system again. It’s practically the strongest security protocol you can ever hope for. So, communicating with another node across the world won’t be an issue.
- You can bring in the legacy apps into the network system and boost them by synchronizing and linking all these apps with the client’s network.
- You’ll get access to a wide range of CorDapps. These are all interoperable and Cora blockchain-based applications. Every single one is the output of the R3 blockchain consortium members.
- R3 will work with ISVs and individuals to help out in integrating the platform within their company and maintain the disaster recovery protocol. This way you can finally focus on your business rather than on the network itself.
Corda Blockchain: Global Corda Network And Corda Enterprise Infographic
Chapter-4: The Global Corda Network
The Global Corda Network is a combination of the open source Corda software, network parameters, set of standards, and governance processes. Usually, these are a set of nodes with a common standard to help them locate each other for direct transactions.
This network ensures an open ecosystem so that any service of Corda can be offered to specific nodes or all the nodes. The set of nodes locate each other with the help of assured identities and direct transactions.
The Global Corda Network offers a set of standards for the Corda nodes only so that they can transact flawlessly in spite of who is operating them or which group they belong to. It won’t even matter if they run a different application or why they deployed the Corda blockchain platform in the first place.
The open ecosystem of Corda private blockchain offers a tremendous value for the enterprises or the customers. In any case, you can use the platform to run your internal networking system or to provide a solution for the customers.
That’s why the Corda private blockchain comes with a governing system, unlike the Corda software I previously talked about. Don’t confuse Corda blockchain With Global Corda network. Corda blockchain is just a portion of the Global Corda Network.
Business Networks of Global Corda Network
R3 blockchain members already anticipated the outcome of their Corda blockchain. They think that companies who will use Corda blockchain will probably come together to solve any common business issue. That’s why they pinned the deployments of R3 blockchain platform with specific business-oriented features along with membership opportunities.
The R3 blockchain members refer to these type of networks as business networks. It’s a network of companies where they can collaborate on a specific business purpose on the network, but they are also free to participate in other business networks and transact with nodes simultaneously.
Everything will be on the same infrastructure. They won’t have to develop new infrastructure for every collaboration.
Obviously here the R3 blockchain members ensured full freedom for the companies. Even though these companies are using the business network, but they won’t face any constraints for creating new contracts or moving assets.
Furthermore, the Corda blockchain business networks can define their own set of standards according to their needs.
These mainly include privacy levels, business logic, membership criteria’s, governance and even the asset type on the network. You can be a user in different business networks at once and even transact within these frameworks seamlessly.
The sole purpose of the R3 blockchain members to form this global network is to unify the business under a common ground. Typically business class, overlap and compete too much and in the end, both have very little success.
But with the help of these Corda blockchain business networks, they can finally set aside their differences and work together to manage interoperability and compatibility of the nodes. Business networks are an important factor in the overall Corda ecosystem.
What Does The Global Corda Network Do?
- Specifies the network standards. These parameters will define the consensus settings, and every node needs to follow it for global stability and compatibility.
- Offers identity framework, which allows companies to have contracts with real-world companies without any doubts.
- Recommends different consensus pools. These pools offer transparent, consistent and resilient consensus execution.
- Enables oracles that relay information across the network.
- Assists native digital currency along with ﬁat currencies, so that users can transact seamlessly.
- Offer open governance system. They are the stakeholders of the ecosystem.
The Governance System
Although the majority of power is on the hands of the Corda private blockchain users, still there is some residue governance system for maintaining various critical points on which every node relies on.
For their business networks, there should a governance system which the users of that network will choose. But even those governing system would have to follow the specifications of the underlying governance architecture.
This means that the R3 blockchain platform depends on the interest of the stakeholders and it makes operating in a way to satisfy their needs. For example, if you look at Bitcoins block, the maximum size permission of the block is actually arbitrary with few boundaries to restrict it.
But all the members have to agree on this arbitrary figure in order to maintain the network. So, if there is no underlying governance system in the network and no other government to set the settings, conflict is evident.
And why wouldn’t it? It’s not possible for everyone to agree on every kind of setting or standard within the framework. But the R3 blockchain platform makes sure that everyone follows some standard rules and there isn’t any conflict between the participants.
What Does The Governance Model Establish?
However, when large groups of users and business networks are using the network daily to transact assets and other values, only claiming that R3 blockchain members will get benefits, won’t be enough. To make sure that all the large amount of transactions won’t face any issue and everyone on the network will get favored it needs to be operable in a practical aspect too.
That’s why they maintain the Corda blockchain for the R3 blockchain members using the “don’t be evil” mantra. The governance model will cover a lot of stages, and after a careful selection of nodes, it will get a governing body to assist in the standardize rulemaking. Usually, Corda blockchain wants to include the users as the representatives on the network.
Furthermore, the governing committee would have certain responsibility such as updating, managing and defining special parameters, go with the rules of identity certificates, and provide a common ground of rules for the notary teams.
Corda R3 Blockchain: Network Parameters
You might think what the use is for network parameters or do the users even need them? Well, network parameters are in the Corda R3 blockchain for a whole lot of reasons. Firstly they help to make sure that all the nodes on the network can communicate successfully.
Some of these parameters include what the message size could be or how they can use privacy options like Intel SGX or even when they should upgrade their nodes.
All of these seem like small factors and very technical points. But together they make up the infrastructure of the R3 blockchain platform. Furthermore, these small parameters could be a strong point of disagreement among the users.
It happened before with the Bitcoin block sizing where users disagreed on it, and the debate continued for a long time. So, if the R3 blockchain members leave these on the hands of mass people, it will soon become politicized.
That’s why the responsibility of maintaining the setting as long as updating or creating more should be on the hands of the governing body right from the start.
Identity Management in Business Networks
Corda blockchain takes pride in managing the real contracts of firms and users. Furthermore, the R3 blockchain consortium members need a way to help users identify the transacting party. It will help them know who they are transacting with and whether the person is trustable or not. To do this, the network maps down the real-world identity into the digital identity quite carefully.
It’s an unavoidable parameter in business networks. Corda blockchain wants to bring firms together not create more conflict, so there is no way to keep the anonymous identity feature.
However, R3 blockchain consortium members want to make the network accessible to everyone. If you want restrictions, then you can get it within business networks based on location or company. But to restrict the whole network isn’t a good solution for blockchain technology. That’s why the whole platform would be available for everyone.
If you want to restrict user participation in your Business Corda blockchain network, then you need to have any form of authorization protocols for that. R3 blockchain technology does provide this protocol, but they also expect you to use it for your own network security.
This extra layer of security makes the R3 blockchain technology a light framework even though it deals with a lot of identity certification.
A Different Approach
The identity service that Corda blockchain offers is quite simple, but you can upgrade it to be a much broader feature. You can develop a network where the participants will carry their own identity, so you won’t have to store or issue every single one of them. They can get their digital identity issued from an issuer and can just use that on any business networks.
Moreover, the process of issuing will be automated within the network, and any party can trigger the issuance process of identity. But he/she needs to have the required attachments for the identity issuance process. Furthermore, keep in mind that any identity on the network will be unique as the mapping process creates it like that.
Moreover, the governing body of the network has to look over this process and point out which attachment the users have to provide. Corda blockchain expects this simple form of certification to bloom into a rich ecosystem with added features. Furthermore, it could create a new kind of business too.
Consensus Protocol of Corda Blockchain
R3 blockchain technology Corda works on a set of consensus protocols just like all other blockchain platforms. Users will know if a transaction was approved or not when the consensus algorithm processes it. Uniquely, Cora blockchain needs to maintain billions of transaction handling capability using the consensus algorithms.
That’s why R3 blockchain technology offers a variety of consensus services mainly known as notary pools. Additionally, every single notary pools offer different services on the same global Corda network. So, users are free to choose from these notary pools and get the services they want. It’s a quite different approach compared to the typical blockchain system, isn’t it?
Other participants can remotely run particular consensus algorithms in a closed and secured network. But to make sure that the users can transact and use the consensus they wish for the governance body of the network would need to look over the notary pools too.
Furthermore, if they can maintain a list of the notary pools for the users, the participants can streamline their transaction verification processes.
The list will be sharable, so everyone would be able to see it and choose the best one that goes with their needs.
Moreover, providing security for the notary pools is also the primary task for the governance network.
Making the Corda Ecosystem Successful
Usually, the success rate of the Corda blockchain and Global Corda network mainly depends on some variants of the ecosystem. These variants are users, operators, governors, and designers of the business network.
Other than these the providers of notary nodes, application developer and infrastructure, and Oracle service providers also take the cost.
But the good news is that you’ll be able to use fiat money on the global Corda network and this money will follow the typical fiat-money regulations. However, if you don’t want to have this kind of limiting regulations on the platform you are free to use a native asset on the Corda blockchain to maintain it.
That could give you more flexibility to use the currency and utilize it to get storage, representations or any kind of new feature for the users.
Chapter-5: What Is Corda Enterprise?
Corda Enterprise is R3’s commercial distribution of the open source platform Corda. The platform is specifically optimized to meet all the demands of enterprise use cases. This version of Corda blockchain is compatible and interoperable with the main Corda platform. If you are using even one of these, then you can freely interchange them as you need.
You won’t face any vendor lock-ins in this one. So, it’s a flexible option for all the enterprise companies out there. R3 blockchain consortium members will take care of the features once you make your request. They will tweak up the Corda software and give it the features you need for your organizations.
What can be better than to start your enterprise blockchain implementation? Am I right?
Features of Corda Enterprise
Blockchain Application Firewall
With this, enterprises can deploy the technology within their data centers, but they can also communicate with any node in the world. The R3 blockchain technology firewall is super secure, and no hacker can hack into the network and steal sensitive and valuable assets.
Support for SQL and Oracle Databases
You can seamlessly integrate industry standard databases. For enterprises, the R3 blockchain platform is offering SQL and Oracle Databases. Moreover, many are already familiar with these databases. So, using these won’t be much difficult.
You can now obtain cross-version and cross-distribution operability within the Corda network. Corda keeps updating its software adding more features as the time goes by. So, maybe you’ve used a previous version of Corda and is still running application on it.
If they change their software on the overall network how will your application operate? To make sure you won’t face any issues they are ensuring that both versions can run on the same network architecture without interrupting each other.
Optimization for IT Environments
The platform offers 24/7 support, performance, governance, release schedules, monitoring, disaster-recovery, high-availability and many more features for IT environments. So, all you’ll need to do is get the network integrated, and for any support, Corda blockchain team is here to back you up.
With Corda blockchain, you’ll get access to the world’s first interoperable blockchain model making sure all the privacy is maintained. Furthermore, any businesses running on the network can communicate and transact with each other without any issues. The process streamlines the business model to a great extent.
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Use Cases And Consortiums Of R3 Corda Infographic
Chapter-6: Popular Corda R3 Blockchain Use Cases
Many industries can utilize R3 blockchain use cases. Some of them include – Government, healthcare, finance, supply chain, insurance, law and order, and many more. Moreover, all of these can use Corda blockchain to drive more efficiency and simplify business transactions.
Furthermore, Corda blockchain works with some of the complex nature of transactional network such as the finance sector. It helps them to develop their R3 blockchain use cases to fit with the nature of other industries as well.
Not only it’s capable of driving efficiency, but another popular R3 blockchain uses case the improvement of the internal systems and processes. Corda blockchain offers immutability with liked information on the ledger. Furthermore, these linked information validates and promotes transparency within the enterprise itself or between two enterprises. The shared set and global facts help many organizations to –
- Automate the auditing system using the immutable and linked nature of the network.
- Reduce profile risks as the shared data standards offer more confidence in the market.
- Replace their old, faulty internal networking system with a more simple process.
The financial sectors and all the requirement was the first demand for R3 blockchain use cases. A new type of regulations within financial industries along with the global crisis created the most costly obligations and compliances.
At the same time, many new business models and fintech startups cause disruptions with their innovation. So, with legacy networks, financial industries just can’t compete with the new technologies.
There are already some popular R3 blockchain use cases in the finance sector. Well, it’s because Corda blockchain architecture came from the collaboration of the largest financial companies along with stringent industry and regulators in the mix.
Moreover, Corda blockchain introduces a dramatic change of efficiencies to counter the rising costs but maintaining the efficiency they need.
These R3 blockchain use cases include managing an entire lifecycle of a contract such as management of a trade finance group or post-trading paperwork. Corda blockchain can exchange assets automatically, and gets rid of the middleman. Other popular scenarios are –
- Offer Instant Money Transfer payment system. Here R3 blockchain banks won’t have to rely on the complex nature of the nostro account with other banks.
- Equity post-trading system where you can settle your payment immediately without any complex arrangement for the transaction of asset or payment.
- Corda blockchain can also offer syndicated loans where the network can offer multiple contracts within enterprises.
- R3 blockchain technology can offer asset rehypothecation where it can regulate the control limit within every contract and thus reduce the settlement time.
Modern-day supply chain industries that need to collaborate to finalize a product launch in the marketplace. Therefore, the complex nature of the system needs a massive collaboration from nay sources. For example, automobiles or aircraft manufacturers need to collaborate with a lot of companies to gather the raw materials and then assemble themtogether to make the final product.
But this gives rise to a long chain of information and transaction that needs to have more efficiency in managing properly.
R3 blockchain use cases can be a great solution for this system. Corda blockchain is capable of giving them the network they need using the global Corda network. They can transact and exchange information without worrying about a single point of failure. Corda blockchain helps supply chain industries to –
- Show proof of certain information and verify the authenticity of that information.
- Create an encapsulation and automated auditing system for business rules using transactions.
- View the origin of the components and drive connection between them. Usually, the system they use is faulty and needs automation.
Yes, the insurance industry does offer confidence to many business operations. But the amount of paperwork and processing time is one of the main issues of this industry. If you have any kind of insurance, you probably know the fact by now.
Additionally, the insurance industry needs to process and records all the documents for every single insurance. And needless to say, insurance does need a lot of document verifications to form you. Only one single mistake can add friction and waste hours.
R3 blockchain uses cases can ensure a better environment for both the insurer and insuring customer. You will see less fraudulence, greater possibility and more efficiency within the industry.
Corda blockchain makes sure that these processes are automated using the smart contract system. You will set the contract with the insuring policy rules, and after the verification of your documents on the network, you will get the insurance you deserve. Such a smart contract can –
- Collect all the necessary information from the stakeholder for the insurance claim.
- Provide timely payment, and it would be automated.
- Reduce the level of errors and fraud activities with immutable and secure leger.
- Increase overall customer satisfaction.
R3 blockchain use case can change the healthcare sector for the best. Usually, the healthcare industry is a complex and large network of organizations who need to manage patient data securely. There are some challenges associated with it –
- To share the data of a patient for a comprehensive understanding without compromising the patient’s privacy.
- Synchronizing all the disparate systems that hold the patient information and make sure that it offers error-free data formats and identifiers.
- Contacting with the healthcare insurance companies and providing valid information for patient’s need.
- Managing all the complex and inconsistent rules and processes.
Corda blockchain can unite all the disparate processes, reduce the costs, and increase the data flow that results in better patient outcomes and experience. There are few opportunities for healthcare to use Corda blockchain –
- Use the global Corda network to exchange data with other instructions securely and confidentially. It will also follow the healthcare regulation to the point.
- The framework that preserves all the identity while maintaining secrecy. Furthermore, this ensures that the patients will take all the control of their information.
- Smart contract integration that offers a rule-based and consistent method for accessing the patient information.
- Connections to insurance provider directly on the network. Moreover, this helps to verify the information need quite fast and automates the claiming process.
The government plays one of the vital roles in terms of providing a trusted source for transactions. For example, mortgages, land or car titles are few of the areas where this entity plays a huge role. However, their network base runs on an inefficient system that’s full of error. Not to mention the tremendous processing time it needs for every single governmental issue.
Furthermore, these are exposed to tampering where the bad player takes their share of the loot, and the innocent civilians suffer the costs.
R3 blockchain use cases in this sector can get rid of the fraudulence in the paperwork of these vital factors. With the help of immutable records and secure transaction process, the government can facilitate civilian rights more efficiently. Moreover, they can also store sensitive information on the network, and there would be no paper trail left for anyone to get their hand into.
Law and Order
Law and order don’t technically go with the typical structure of blockchain. Many who use these platforms that’s why can’t take any legal actions in time when they are faced with fraudulent activity on the network. Furthermore, this doesn’t give the right the participants deserve.
Although many companies are now using legal ways to launch their platform, still they are facing legal issues. The main reason for it is the lack of proper blockchain education among the lawyers that handle these contracts.
R3 blockchain use cases can help out these industries by handling the legal aspect of the transitions. As it already supports fiat money, you won’t have to worry about the legal issues. Any entity using the platform can equality benefit and even take legal actions when necessary. Usually, Corda blockchain can –
- Handle legal aspects of blockchain technology.
- Manages, records and automates legal agreements between enterprises.
- Provide a specialized platform for lawyers to fast track their learning curve.
Check out our Hyperledger Guide!
Chapter-7: Corda Baas Vendors
At present, there are only a handful of vendors that provide Corda Blockchain. Let’s see what they are –
AWS Blockchain Templates
Amazon is one of those few vendors that offer Corda blockchain platform. They offer