IBM’s Five Principles to Build Trust and Value in Blockchain
Here’s IBM’s report titled ‘Blockchain as a force for good: Five principles to build trust and value,’ let’s take a more intimate look at their blockchain principles that work.
1. Open is better – Blockchain networks should harvest various communities of open source contributors and organizations. This will provide for open innovation as well as extend the overall quality of code. Wheresoever possible, developers should circumvent proprietary technologies in favor of open-source frameworks with established approaches for sharing contributions. If done accurately, this can stimulate innovation, reduce time to maturity, and decrease cost.
2. Permissioned doesn’t mean private – Blockchains should be produced encompassing the principle of permissioned and trusted access. Permissioned blockchains have an access control layer to provide specific actions to be executed only by sure identifiable participants. Most organizations require the requirement to know what business they’re conducting business with as well as assuring no criminal activity is being transacted over the network.
3. Governance is a team sport – Enterprise blockchains should welcome distributed and transparent governance to allow networks to assist the demands of participants and check undue concentrations of influence. Enterprises should settle on a platform that automatically produces a democratic structure hardwired into the network, with built-in privacy and ‘permissioning’ features.
4. Common standards are common sense – Enterprise blockchains should be centered on common standards with interoperability in mind. This will allow “future-proof” networks, limit vendor lock-in, and encourage a strong ecosystem of innovators. Interoperability must include cloud platforms: vendors should engage participants where their data already is. With most blockchain networks recently sitting in silos, it is considered adequate that the technology is emerging to support a network of networks.
5. Privacy is paramount – Participants on an enterprise blockchain must be capable of controlling who can access data and under what conditions. This is important on a platform that shares data widely across various nodes. Notwithstanding no single participant holding a blockchain network, the rights to the data that remains on it should always belong to the creator. Any APIs should enlarge the same permissioned access programmatically. Blockchain platforms should also endure by privacy regulations, like GDPR (General Data Protection Regulation). This intends that, in most cases, personal data should be kept off-chain.