According to Moody’s, the American business and financial services company, blockchain technology will be standardized by 2021. Likely to emerge by then, blockchain standards will be positive for securitizations using the technology, fostering benefits such as better interoperability and other operational efficiencies.
Published at the beginning of September, the report states that these standards will translate into several advantages. Standardization could save time and cost via, for instance, faster data availability, elimination of transaction parties, and automation. Moody’s Investors Service believes that the industry standards could also bring better interoperability and other operational efficiencies. Frank Cerveny, Senior research analyst at Moody’s: “Standardization of blockchain technology would make its benefits more accessible for securitizations. Standardization would improve interoperability across systems and market participants, but also reduce counterparty concentration, operational and legal/regulatory risks for transactions that use blockchain technology.”
Improving interoperability between blockchains
The idea of interoperability has been spoken about many times until now, but never tackled in a true sense. At the moment, there are many independent blockchains on the market with a lack of standardization and interoperability, limiting operational efficiency gains and heightening risks. Many believe that the fragmented blockchain landscape creates operational, regulatory, and legal problems and – much to the consumers’ benefit – there needs to be seamless integration across niches, sectors and infrastructures. Primarily driven by the International Organisation for Standardisation (ISO), global standardization would improve interoperability between blockchains, applications built on the same blockchain, as well as between blockchains and legacy IT systems. It would facilitate the establishment of blockchain-based ecosystems, eventually reducing the need for lengthy and redundant reconciliation processes across transaction parties, and replacing sequential actions with parallel execution.
About Modex BCDB
Currently, the majority of blockchain solutions present on the market are oriented towards blockchain as a service, limiting themselves to a rigid view and application of the technology. A company or the CTO of a company can come to the realization, after a bit of study that their business can solve several issues and streamline back-end processes by implementing blockchain. The problem is that in order for a company to implement blockchain technology only through its own tech team, they need to invest a significant amount of time and resources to study what type of blockchain is most suited for their needs, and commence a lengthy process of learning the development specificity of the respective blockchain, as well as scouting for developers proficient in the technology.
Every enterprise is reserved and unwilling to make changes to its database, and for good reason, as data loss or data corruption constitute major risks. Modex BCDB doesn’t work by deleting the existing database, or data entries. The database is maintained intact throughout the process, data integrity is ensured by calculating the metadata of the records and storing it on the blockchain.
Moreover, the system does not restrict access to the blockchain or to the database, so when a developer needs to make a reporting or ETL transformations, they can always perform warehouse analytics by accessing the database directly. This is because Modex BCDB has been purposely designed to be agnostic. With our solution, clients are able to set up a network, regardless of the type of database employed. In a consortium, each company can maintain what type of database they prefer (Oracle, Microsoft, IBM, Mongo DB), and connect them through a blockchain-powered network to ensure cohesion, availability while protecting corporate interests.
Blockchain company Modex is promoting the adoption of blockchain technology and strongly believes in a future built around blockchain. Modex offers fully integrated services designed to solve the last mile adoption problem of the blockchain and aims to make blockchain user-friendly for every single device or person. At Modex, we can innovate thanks to our incredible team of experts and we offer services for the entire blockchain technology ecosystem: Marketplace for Smart Contracts, community tools for developers and blockchain as database services for enterprises. In over two years, using cutting-edge technologies and with a clear strategy, Modex has evolved from the world’s first app store for blockchain into a complex ecosystem designed for developers’ needs and enterprises looking for blockchain solutions. Our mission is to spread and facilitate the adoption of blockchain into society and to solve real-world problems using this revolutionary technology.