Corda is a solution to any and all the friction in the blockchain business through not only delivering on the great early promise of the blockchain technology but also addressing business needs for interoperability as well as privacy. For instance, it enables businesses to transact directly by removing the costly frictions that are involved in any business transactions. Besides, it guarantees all the business parties that they are always in sync, which in turn enables dramatic efficiency benefits for operations in the complex business.
In order to understand what the Corda project is all about, let’s dig deeper looking at what it entails, its benefits, and how it achieves the privacy it promises.
What is Corda?
Briefly, Corda is an open source project in the blockchain business designed by the R3 community. With it being an outcome of the collaboration between technology partners and financial institutions, Corda was designed specifically targeting business from the start to serve various purposes. These include:
- Directly integrate into organizations systems.
- Facilitate a rapid deployment of new process.
- Enable a smooth transition to new processes.
As a platform, Corda lacks any cryptocurrency built in it, but rather it is one that controls existing and proven infrastructure and technology. As such, Corda does not require mining style consensus. Such results to the presence of great cost related with little business benefit.
Benefits of Corda in the Blockchain World
Based on its above mentioned designed purpose, the blockchain world ought to celebrate Corda-for has brought into existence more positive impacts in the blockchain world. The major ones are:
- Enabling parties to transact directly- Through its modern cryptographic techniques, Corda has ensured that direct transfer of value can effectively occur as well as systems are in agreement. These in turn help in removing costs which consequently facilitates and initiates the presence of direct transactions between parties involved.
- Ensuring and retaining privacy over transaction history- With the retention of privacy and assurance of integrity and validity being a major challenge in the blockchain world, Corda has another reason to be celebrated for its offers a solution to the challenge. Through its various techniques, Corda provides assurance both of a transactions validity and integrity- confirming of competing and conflicting transactions in the transaction history. When doing the above, Corda also ensures that it retains privacy.
Ways That Corda Achieve Privacy
With ensuring and retaining privacy as one of its major benefit of Corda in the blockchain world, it does so through:
- Full encryption- For this, it targets peer-to-peer network.
- Key randomization and rotation- It will do so in conjunction with automatic identity management when aiming at de/ anonymizing transactions.
- Intel Software Guard Extensions- Through these, Corda will enclave technology and consequently allows records to be verified at the same time remaining encrypted to all the parties involved.
- Structuring Transactions- Corda will structure transactions in a Merkle tree which in turn helps it to allow only revealing of selective information.
With costly friction being a popular and common phenomenon and a challenge in business, there is the need for the blockchain world to embrace Corda as the solution if only they need to witness great performance. Corda will remove such frictions and in turn will have aligned benefits to the blockchain world such as the presence of direct transaction between parties and retention of privacy over transaction history. As such, there is no doubt that Corda is the real solution in the blockchain world.