Blockchain is the future of technology, and companies have recognised its use, but not all of them understand how to execute it effectively. To solve the problem of execution, blockchain-as-a-service comes in.
In straightforward terms, blockchain is a technology that stores data using a decentralised system. As a result, it is more efficient than other traditional databases, increasing its demand. Furthermore, businesses across all relevant industries, including health, finance, education, manufacturing, technology, entertainment and other sectors, are looking to embrace blockchain for effective productivity.
However, these companies understand that building a blockchain service from scratch will be challenging and expensive. Hence, there is a need for third-party platforms that can leverage existing blockchain infrastructure to create business solutions for companies enthusiastic about blockchain.
What is Blockchain-as-a-service?
Blockchain-as-a-service (BaaS) is a third-party platform that provides cloud-based networks to other businesses to build, utilise and host their blockchain apps, smart contracts and functions on an established blockchain framework. In simpler terms, BaaS provides blockchain hosting services for companies to improve day to day business operations.
Companies, however big or small, are ready to explore blockchain technology. Still, it requires lots of technicality and finances to create and operate a blockchain network from the start, which may not seem feasible.
On the other hand, BaaS platforms help bridge the gap between the business industry and blockchain, even as the world is developing quickly. Therefore, Blockchain-as-a-service allows companies to save time and money and enjoy quality blockchain solutions.
How BaaS Works
A blockchain-as-a-service company manages a blockchain network for a client. The client could be an individual or a business that pays the BaaS to set up and handle the technicalities of the blockchain on their behalf.
Part of the responsibilities of the BaaS company include:
- Keeping the blockchain technology running.
- Taking care of hosting requirements and management.
- Assisting with hardware and software installations.
- Monitoring the security of blockchain technology.
- Providing consulting services and guiding in-house teams.
Using other software-as-a-service (SaaS) models where third-party platforms help companies use relevant technologies, BaaS ensures that organisations can easily use blockchain services without neglecting their primary functions.
Top Five Blockchain-as-a-service Companies to Watch
IBM Blockchain Platform is one of the oldest blockchain-as-a-service companies, and businesses trust their services due to its success rate. It uses Hyperledger Fabric as an open-source blockchain infrastructure.
Furthermore, IBM is mainly known to excel in the manufacturing industry by creating a Food Trust blockchain to promote transparency in the food supply chain. However, the platform also specialises in helping businesses in different sectors, including finance, health, insurance, government, entertainment, etc.
Amazon Web Services
Amazon Web Services (AWS) is another top BaaS company to watch in 2022. Amazon manages the Blockchain service and allows businesses to enter a public network or create a privately managed network.
AWS makes blockchain easy for users by offering services for companies to create blockchain networks across pre-existing AWS accounts. This process allows users to share data and transact with ease. Lastly, AWS surpasses its competitors by running on the Hyperledger Fabric or Ethereum blockchain frameworks.
Oracle Blockchain Platform
Oracle renders two Baas. The first service is the Blockchain Platform Cloud Service that allows businesses to create Hyperledgr Fabric blockchain. In contrast, the second service is an on-premises version that works as software.
One of the unique selling points of Oracle is the distributed ledger transactions. It offers real-time recording and controls in smart contracts. As a result, Oracle is expected to create big things in the blockchain industry.
Alibaba Cloud is a Chinese technology company that has been around since 2014, making it one of the oldest in the blockchain business. The platform runs on Hyperledger fabric, Ant Blockchain and Quorum.
In addition, Users can easily access the rest of the platform’s suite and businesses can analyse and trade copyright data for images, videos, audio files by fusing with the Video DNA service. Furthermore, the blockchain services connect with the Alibaba Cloud Internet for better and more reliable cloud-based solutions.
Kaleido is one of the leaders of blockchain services in the industry. It is a multi-cloud platform that considers cross-cloud and hybrid deployments, and the platform allows businesses to manage cloud-based operations across Amazon Web Services and Microsoft Azure.
The main objective of Kaleido is to connect the ecosystem of B2B. This goal will help companies and societies to interact and transact with each other easily by fully utilising the blockchain features. The Baas company is one of the most advanced platforms. However, it has a user-friendly interface for new users.
Investors have seen blockchain as the future, and many companies are exploring new opportunities to take their operations to the next level at a cheaper and faster rate. Because there is a high demand for blockchain services, you can expect that more blockchain-as-a-service companies will rise in 2022.