If you’re familiar with blockchain technology, you may also have heard of the term Blockchain-as-a-Service (BaaS). The concept is closely related to another one known as Software-as-a-Service (SaaS). By exploring both concepts a bit further, you can gain an understanding of how your business or organization might utilize BaaS as a platform.
Software-as-a-Service (SaaS) eradicates the need that an organization would otherwise have to install software applications and run them on their own computer networks. Instead, a software company licenses out the necessary software as a subscription service; the software company serves as a central host to the organizations that utilize its SaaS. This delivery model has been used to provide software applications related to payments, management, development, accounting, customer relations, and a variety of other organizational and business practices.
A blockchain provides an immutable ledger for a business or organization. Therefore, trust is not required and is thus useful in cases where a centralized authority is unwanted. One other significant benefit is that the technology allows organizations to implement micro-transactions (instead of charging customers for ongoing subscriptions via a traditional payment gateway service). As more businesses and organizations have begun to recognize the value that a blockchain may offer them, Blockchain-as-a-Service (BaaS) has become an invaluable version of SaaS. Eventually, BaaS will likely be embraced by a broad range of organizations, from charities to tech startups to major accounting firms.
In addition to providing a convenient means of performing micro-transactions, BaaS offers plenty of other advantages to organizations of all types. Blockchain technology provides an efficient way to secure creative and intellectual property. A blockchain may also be used to accurately account for and support customer loyalty programs. Billing and ordering services may be simplified and better secured via BaaS, as well. The possibilities are wide open in terms of how BaaS may increase the security, accuracy in reporting, and overall customer experience for countless businesses and brands.
A prime example of a platform accommodating the demand for BaaS is Microsoft Azure. This cloud computing platform and infrastructure was designed to build, deploy, and manage applications and services through a global network of Microsoft-managed data centers. The service also allows for the easy set-up of blockchain nodes, which are computers connected to the blockchain network. Numerous platforms are hosted on Azure, including the most recent addition of Nxt.
The Next Generation of BaaS
One of the newest BaaS platforms (to be launched in the third quarter of 2017) is Ardor. Ardor will enable businesses and organizations to utilize feature-rich blockchain technology for their project needs. The use of “child chains” will serve as a practical gateway for accessing the advanced blockchain technology of the Nxt platform as users will not need to set up nodes, among other necessities, when creating a blockchain.
Blockchain technology has created a welcome paradigm shift for businesses and organizations. This advancement provides an infinitely more secure and accurate way to record and implement transactions. BaaS will serve innumerable brands and companies well – now and in the future.