Ethereum connects a decentralized world with various enterprises. If you aren’t aware, Ethereum has its own cryptocurrency called ‘Ether,’ which is the world’s second-largest cryptocurrency. It is a popular platform for developing smart contracts and decentralized applications (dApps).
Undoubtedly, Ethereum is one of the best platforms used by any Blockchain development company. It offers diverse applications in domains such as finance, collectibles, identity, governance, exchanges, gaming, tokens, etc.
Here is a detailed explanation of various features offered by the Ethereum blockchain to enterprises.
Ethereum blockchain is open, inexpensive, and flexible. It helps to facilitate smoother communication between multiple parties. Meanwhile, no participants have to rely on any central authority to perform transactions or transfer data.
Instead of building a blockchain from scratch, the user can easily employ an all-in-one SaaS platform. This will help the enterprises to deploy and handle private blockchain efficiently.
Smart Contract Execution
As we already know, smart contracts play a huge role in blockchain technology. Ethereum is the first programmable blockchain that helps the nodes smoothly execute smart contracts. These contracts facilitate fast and secure transactions between network participants. They verify and execute transactions when the pre-defined conditions are met.
Privacy of Data
A restricted group of members can only take part in private and permissioned networks. Thereby allowing the data transfer only for selected participants. In the Ethereum blockchain, enterprises can form private consortia, so the sensitive data is not disclosed to others. At the same time, encrypted data will assure security and only be shared with relevant parties.
Ethereum blockchain stores each data in an immutable format and thereby facilitates the feature of traceability to the users. From a business point of view, enterprises can benefit from this feature as it allows them to easily track the transaction history and maintain a record of it. Transparency helps to highlight the inefficiencies, so we can rectify them in an early stage.
The Ethereum Improvement Proposal (EIP) welcomes the contribution to the code base in the Ethereum ecosystem. Using the plug and play feature, enterprises can link their private or permissioned blockchain to a public Ethereum mainnet. Various parts of the ecosystem will get profited from this integration. Ethereum provides enterprises with global expansion, a wider user network and DApps, and regular developments as well as upgrades.
Ethereum 2.0 is the updated version of the existing Ethereum blockchain. The main purpose of this version is to reduce gas fees and increase transaction capacity. Serenity or Ethereum 2.0 is experimenting with a POS consensus mechanism whereas Ethereum uses POW. It is set to release in various phases such as phase 0, phase 1, phase 1.5, and phase 2
With worldwide popularity, Ethereum has gained the trust of the people in the crypto world. Most importantly, it focuses on delivering real-time benefits to the participants. We have discussed various features that make enterprises go for Ethereum blockchain development services.