Blockchain is about more than cryptoassets. It is also more than just Ce-Fi, De-Fi, CEX, DEX or any other confusing abbreviation. Blockchain is not about anonymity, eliminating third parties or avoiding regulation.
This is the view of Simit Naik, Director of Commercial & Strategy at nChain. Speaking at the recent Philippine Blockchain Week, Naik explained that blockchain should instead be considered for its data integrity first and foremost, as it acts as a timestamp server, peer-to-peer value exchange, and it provides trust amongst parties.
Public blockchains vs private ledgers
However, Naik stressed that not all blockchains are built the same and that companies and governments often fall into the trap of developing their own ‘private blockchain’ under the misguided assumption that it is more secure.
He explained that private ledgers offer:
- Cheap fees but expensive infrastructure;
- Not secure (need to trust the network nodes);
- Not publicly available;
- Each deployment focuses on a single use case only;
- No independent data guarantees, transparency or interoperability/
By comparison, public blockchains offer:
- Can be fast or slow;
- Can be cheap or expensive;
- Secure when using PoW;
- Guarantee data immutability;
- Are available everywhere.
However, Naik again stressed that not all blockchains are equal and that the BSV blockchain is the only blockchain that is suitable for enterprises because of the following features:
- 13+ years of deployment makes BSV the most battle tested blockchain;
- DLT ensures immutability of the ledger;
- First ever fully security-audited public node implementation;
- 50,000 transactions per second with a roadmap to scale this significantly;
- 4GB blocks supports large file uploads and throughput;
- Average transaction time of less than two seconds;
- Protocol is set in stone, ensuring future proof applications;
- Highly energy efficient blockchain – 1,600x more efficient than BTC;
- DLT is open, enabling entities to easily validate what has been recorded.
Enterprise blockchain use cases
As part of the presentation, Naik gave an example of several solutions and use cases that the team has already implemented for businesses and enterprises around the world. This includes a retail Central Bank Digital Currency (CBDC) which offers citizens a form of digital cash.
‘Our retail CBDC is a pioneering solution that allows central banks to deliver a digital peer-to-peer cash model that respects the privacy of citizens and guarantees security, transparency and traceability for the central bank,’ said Naik. ‘At nChain, our approach to developing a CBDC enables low-cost scaling to suit the needs of nations and low environmental impact to protect the world we share.’
Naik also gave the example of a wholesale CBDC which offers an account-based approach to managing interbank payments.
‘Our solution for wholesale CBDC will help central banks to improve efficiency and security within interbank clearing and settlement, while addressing issues of counterparty credit risk and liquidity,’ he said.
’By leveraging a scalable public ledger, we can provide the foundation for real-time gross settlements (RTGS) and provide a more efficient and cost-effective way of facilitating cross-border settlements.’
The best blockchain for governments and businesses
Global adoption of blockchain technology requires enterprises and lawmakers to become comfortable with blockchain technology. To ensure the development of a regulatory environment that both fosters lawful conduct and facilitates innovation, the BSV ecosystem regularly engages with leading policymakers to raise awareness of legislative issues and advise on the development of positive policy.
With its massive scaling, micropayments, greater data capacity and reliably low fees, BSV is the best distributed data ledger for enterprise-grade applications and services. BSV is already being used to build applications for diverse industry sectors.
You can read more about the various enterprise and government use cases here.