Solidity

● Solidity is a brand-new programming language created by Ethereumwhich is

the second-largest market of cryptocurrency by capitalization.
● Gavin Wood first proposed Solidity in August 2014; the Solidity team, under
Christian Reitwiessner, later developed the language in 2015.
● Solidity is an object-oriented programming language created specifically by the
Ethereum Network team for constructing and designing smart contracts on
Blockchain platforms.
● It's used to create smart contracts that implement business logic and generate a
chain of transaction records in the blockchain system.
● Some key features of solidity are listed below:
● Solidity is a high-level programming language designed for implementing smart
contracts.
● It is a statically typed object-oriented(contract-oriented) language.
● Solidity is highly influenced by Python, c++, and JavaScript which run on the
Ethereum Virtual Machine(EVM).
● Solidity supports complex user-defined programming, libraries, and inheritance.
● Solidity is the primary language for blockchains running platforms.
● Solidity can be used to create contracts like voting, blind auctions, crowdfunding,
multi-signature wallets, etc.

EVM or Ethereum Virtual Machine

● The Ethereum Virtual Machine (EVM) provides a runtime environment for

Ethereum smart contracts.
● It is primarily concerned with ensuring the security and execution of untrusted
programs through the use of an international network of public nodes.
● EVM is specialised in preventing Denial-of-Service attacks and certifies that the
programs do not have access to each other's state, as well as establishing
communication, with no possible interference.
● EVM or Ethereum Virtual Machine
● The Ethereum Virtual Machine (EVM) provides a runtime environment for
Ethereum smart contracts.
● It is primarily concerned with ensuring the security and execution of untrusted
programs through the use of an international network of public nodes.
● EVM is specialised in preventing Denial-of-Service attacks and certifies that the
programs do not have access to each other's state, as well as establishing
communication, with no possible interference.
Data Types of Solidity Programming

Solidity divides data into many types, just like other programming languages. However,

Solidity is relatively distinctive in that it offers several simple kinds that can be merged to

create more complicated types. Since Solidity is a statically typed language, it is

necessary to specify the type of each variable. The compiler can verify the proper

application of the variables thanks to data types. The Zero-State default values for the

declared types include some default values, such as False is the default value for the

bool type. Solidity has Value types and Reference types, which are specified below.

Value-type variables store their data. These are the fundamental data types that Solidity

offers. These variables are always passed by value. Whenever the variables are utilized

as function parameters or assignments, a copy is made of them. The following is a list

of value type data types in Solidity:

1. Boolean: Only the values True or False are supported by this data type.
2. Integer: This data type holds integer values; signed and unsigned integers are
denoted by int and uint.
3. Fixed Point Numbers: The Solidity documentation states that these data types
are not yet fully supported. Fixed and unfixed fixed-point numbers of different
sizes can be signed or unsigned.
4. Bytes and Strings: A fixed-sized character set is stored in bytes, but a character
set larger than or equal to a byte is stored in a string. When we know the length
of the data, it is better to utilize a byte because it takes less gas. While the length
of a byte can vary from 1 to 32, that of a string is constant.
5. Enums: These are used to generate user-defined data types and to give names
to integral constants in contracts, making them easier to read, manage, and
make them less prone to mistakes. Unsigned integer numbers beginning at 0 can
represent the options of enums.
 6. Address: The length of an Ethereum address is represented by a 20-byte
integer in addresses. An address can be used to receive or transfer a balance
using the balancing and transfer technique.

“Hello World” Smart Contract in Remix-IDE

// My First Smart Contract

pragma solidity >=0.5.0 <0.7.0;

contract HelloWorld {

function get()public pure returns (string memory){

return 'Hello Contracts';

Ethereum

Ethereum is a decentralized global software platform powered by blockchain

technology. It is most commonly known by investors for its native cryptocurrency, ether
(ETH), and by developers for its use in blockchain and decentralized finance application
development.
● Ethereum is a blockchain-based development platform known for its
cryptocurrency, ether (ETH).
● The blockchain technology that powers Ethereum enables secure digital ledgers
to be publicly created and maintained.
● Bitcoin and Ethereum have many similarities but different long-term visions and
limitations.
● Ethereum uses a proof-of-stake transaction validation mechanism.1
● Ethereum is the foundation for many emerging technological advances based on
blockchain.
● The consensus mechanism used in Ethereum is Proof of Stakes(PoS), which is
more energy efficient when compared to that used in the Bitcoin network, that is,
Proof of Work(PoW). PoS depends on the amount of stake a node holds.

History of Ethereum
 ● 2013: Ethereum was first described in Vitalik Buterin’s white paper in 2013
with the goal of developing decentralized applications.
● 2014: In 2014, EVM was specified in a paper by Gavin Wood, and the formal
development of the software also began.
● 2015: In 2015, Ethereum created its genesis block marking the official launch
of the platform.
● 2018: In 2018, Ethereum took second place in Bitcoin in terms of market
capitalization.
● 2021: In 2021, a major network upgrade named London included Ethereum
improvement proposal 1559 and introduced a mechanism for reducing
transaction fee volatility.
● 2022: In 2022, Ethereum has shifted from PoW( Proof-of-Work ) to PoS(
Proof-of-State ) consensus mechanism, which is also known as Ethereum
Merge. It has reduced Ethereum’s energy consumption by ~ 99.95%.

Features of Ethereum

1. Smart contracts: Ethereum allows the creation and deployment of smart

contracts. Smart contracts are created mainly using a programming language

called solidity. Solidity is an Object Oriented Programming language that is
comparatively easy to learn.
2. Ethereum Virtual Machine (EVM): It is designed to operate as a runtime

environment for compiling and deploying Ethereum-based smart contracts.

3. Ether: Ether is the cryptocurrency of the Ethereum network. It is the only

acceptable form of payment for transaction fees on the Ethereum network.

4. Decentralized applications (Daaps): Dapp has its backend code running on

a decentralized peer-to-peer network. It can have a frontend and user

interface written in any language to make calls and query data from its
 backend. They operate on Ethereum and perform the same function
irrespective of the environment in which they get executed.
5. Decentralized autonomous organizations (DAOs): It is a decentralized

organization that works in a democratic and decentralized fashion. DAO relies

on smart contracts for decision-making or decentralized voting systems within
the organization.

Type of Ethereum Accounts

Ethereum has two types of accounts: An externally owned account (EOA), and a
Contract account. These are explained as following below:
● Externally owned account (EOA): Externally owned accounts are controlled
by private keys. Each EOA has a public-private key pair. The users can send
messages by creating and signing transactions.
● Contract Account: Contract accounts are controlled by contract codes.
These codes are stored with the account. Each contract account has an ether
balance associated with it. The contract code of these accounts gets
activated every time a transaction from an EOA or a message from another
contract is received by it. When the contract code activates, it allows to
read/write the message to the local storage, send messages and create
contracts.

How Does Ethereum Work?

Ethereum implements an execution environment called Ethereum Virtual Machine

(EVM).
● When a transaction triggers a smart contract all the nodes of the network will
execute every instruction.
● All the nodes will run The EVM as part of the block verification, where the
nodes will go through the transactions listed in the block and runs the code as
triggered by the transaction in the EVM.
 ● All the nodes on the network must perform the same calculations for keeping
their ledgers in sync.
● Every transaction must include:
● Gas limit.
● Transaction Fee that the sender is willing to pay for the transaction.
● If the total amount of gas needed to process the transaction is less than or
equal to the gas limit then the transaction will be processed and if the total
amount of the gas needed is more than the gas limit then the transaction will
not be processed the fees are still lost.
● Thus it is safe to send transactions with the gas limit above the estimate to
increase the chances of getting it processed.

Real-World Applications of Ethereum

● Voting: Voting systems are adopting Ethereum. The results of polls are
available publicly, ensuring a transparent fair system thus eliminating voting
malpractices.
● Agreements: With Ethereum smart contracts, agreements and contracts can
be maintained and executed without any alteration. Ethereum can be used for
creating smart contracts and for digitally recording transactions based on
them.
● Banking systems: Due to the decentralized nature of the Ethereum
blockchain it becomes challenging for hackers to gain unauthorized access to
the network. It also makes payments on the Ethereum network secure, so
banks are using Ethereum as a channel for making payments.
● Shipping: Ethereum provides a tracking framework that helps with the
tracking of cargo and prevents goods from being misplaced.
● Crowdfunding: Applying Ethereum smart contracts to blockchain-based
crowdfunding platforms helps to increase trust and information symmetry. It
 creates many possibilities for startups by raising funds to create their own
digital cryptocurrency.
● Domain names: Ethereum name service allows crypto users to buy and
manage their own domain names on Ethereum, thus simplifying decentralized
transactions without putting users to remember long, machine-readable
addresses.

Benefits of Ethereum

● Availability: As the Ethereum network is decentralized so there is no

downtime. Even if one node goes down other computing nodes are available.
● Privacy: Users don’t need to enter their personal credentials while using the
network for exchanges, thus allowing them to remain anonymous.
● Security: Ethereum is designed to be unhackable, as the hackers have to get
control of the majority of the network nodes to exploit the network.
● Less ambiguity: The smart contracts that are used as a basis for trade and
agreement on Ethereum ensure stronger contracts that differ from the normal
traditional contracts which require follow-through and interpretation.
● Rapid deployment: On Ethereum decentralized networks, enterprises can
easily deploy and manage private blockchain networks instead of coding
blockchain implementation from scratch.
● Network size: Ethereum network can work with hundreds of nodes and
millions of users.
● Data coordination: Ethereum decentralized architecture better allocates
information so that the network participants don’t have to rely on a central
entity to manage the system and mediate transactions.

Drawbacks of Ethereum
 ● Complicated programming language: Learning solidity from programming
smart contracts on Ethereum can be challenging and one of the main
concerns is the scarcity of beginner-friendly classes.
● Volatile cryptocurrency: Ethereum investing can be risky as the price of
Ether is very volatile, resulting in significant gains as well as a significant loss.
● Low transaction rate: Bitcoin has an average transaction rate of 7TPS and
Ethereum has an average speed of 15 TPS which is almost double that of
bitcoin but it is still not enough.

Hyperledger

Hyperledger is a global enterprise blockchain project that offers the necessary

framework, standards, guidelines, and tools to build open-source blockchains and
related applications for use across various industries. Hyperledger's projects include a
variety of enterprise-ready permissioned blockchain platforms, where network
participants are known to one another and therefore have an intrinsic interest in
participating in the consensus-making process.
● Hyperledger is an open-source community focused on developing a suite of
stable frameworks, tools, and libraries for permissioned, enterprise-grade
blockchain deployments.
● It is a global collaboration, hosted by The Linux Foundation, and includes
member organizations that are leaders in finance, banking, Internet of Things,
supply chains, manufacturing, and technology.
● Several sub-projects exist, including Hyperledger Fabric, Sawtooth, Composer,
and Cello.
● Hyperledger varies from Bitcoin as it is not a cryptocurrency but instead used to
develop frameworks and tools.
● Hyperledger uses a consensus layer, smart contract layer, communication layer,
and API.

History of Hyperledger:
● Hyperledger was founded in 2016 by 30 business members.
● The Linux Foundations created Hyperledger, a platform where developers
and businesses can connect and collaborate to construct a blockchain
foundation.
 ● Hyperledger currently has over 200 members, including IBM, Intel, Cisco,
SAP, Baidu, and others.
● The Linux Foundations have also founded more than 70 open-source
organizations based on Hyperledger, which Intel developed.

Hyperledger Fabric

Hyperledger Fabric is an open source, permissioned blockchain framework, started in

2015 by The Linux Foundation. It is a modular, general-purpose framework that offers
unique identity management and access control features, which make it suitable for a
variety of industry applications such as track-and-trace of supply chains, trade finance,
loyalty and rewards, as well as clearing and settlement of financial assets.

Hyperledger Fabric is designed for use in enterprise-level applications, and it is

characterized by its modular architecture, permissioned network, and smart contract
functionality, known as “chaincode”.
● The platform provides a high degree of security, privacy, and scalability, and it
supports the development of custom blockchain solutions for various use
cases across industries such as finance, supply chain, and healthcare.
● Hyperledger Fabric operates as a network of nodes, where each node
performs a specific function, such as validating transactions, maintaining the
ledger, and executing chaincode.
● Transactions are validated and ordered by a consensus mechanism, which
ensures the integrity and consistency of the ledger.

Hyperledger Architecture
1. Consensus Layer:

● Creates an agreement on the ordering and confirms the accuracy of the

transaction database that comprises a block.
● The communication layer is used by the consensus layer to communicate
with the client and other network peers.
● Confirms that all transactions in a proposed block are correct according to
approval and consensus policies.
 ● Interfaces with the smart-contract layer and relies on it to validate the
accuracy of an ordered transaction database in a block.
● They’re also widely utilized to synchronize data across a decentralized
network and assure transaction consistency and transparency.

2. Smart Contract Layer:

● The smart contract layer verifies each transaction by guaranteeing that it

adheres to the transaction’s policy and contract and invalid transactions are
denied and may be removed from consideration for inclusion in a block.
● Smart contracts are classified into two types:
● installed smart contracts- Before the network is launched,
installed smart contracts implement business logic on the
validators.
● On-chain smart contracts– On-chain smart contracts implement
business rules in the form of a transaction that is committed to the
blockchain and then invoked by subsequent transactions. The code
that describes the business logic forms part of the ledger with
on-chain smart contracts.
● Responsible for executing transaction requests and determining transaction
validity through the use of business logic.
● In Hyperledger Fabric, a smart contract is a program known as chaincode.
Chaincode can be developed in Go, JavaScript (node. js), and, in the future,
additional programming languages such as Java that define a predefined
interface. Chaincode is run in a secure Docker container that is separate from
the endorsing peer process.

3. Communication Layer:

● Communication Layer is in charge of peer-to-peer message transfer between

nodes in a shared ledger instance.
 ● The communication layer is used by the consensus layer to communicate
with the client and other network peers.
● The algorithm must function exactly like a single node system, executing each
transaction atomically one at a time.
● If communication does not fail, then each non-faulty node will finally get every
submitted transaction.
● TLS is used for secure communication among nodes in the Fabric. TLS
communication can employ both one-way (server only) and 2 different (server
and client) authentication.

4. Data Store Abstraction:

● Allows other modules to use alternative data stores.

● the actual private data is kept in a private database on authorized
organizations’ peer nodes and accessed via chaincode on these authorized
peers; and a hash of the secret data, which has been endorsed, sorted, and
recorded to the ledgers of every peer on the channel.
● As state databases, the Hyperledger fabric supports LevelDB and CouchDB.
LevelDB is the default state database integrated into the peer activity and
stores chaincode data as key-value pairs.
● CouchDB is an optional external state database that adds query capability
when your chaincode data is modeled as JSON, allowing for rich queries of
the JSON content.
● When a deploy transaction succeeds, the chaincode is installed “on” the
blockchain.

5. Crypto Abstraction:

● Allows for the substitution of alternative crypto techniques or modules without

disrupting other modules.
 ● Because Fabtoken, a new functionality in Hyperledger Fabric version 2.0
(alpha), allows you to generate native cryptocurrencies or coins.
● Besu Hyperledger is a public Ethereum codebase that is open source and
may run on individual permissionless platforms or the Ethereum public
network. The Ethereum Virtual Machines (EVM), consensus mechanisms,
user-facing APIs, and monitoring are all included.
● CPU and GPU mining is supported by Hyperledger Besu and can be enabled
using command-line arguments. Ethminer with both the stratum+tcp and
getwork schemes was utilized for GPU mining support testing.
● It does not support cryptocurrencies such as bitcoin, but it functions by
providing the infrastructure and standards required for the development of
various blockchain-based applications and systems for industrial usage.

6. Identity Service:

● Allows for the formation of a trusted root during the configuration of a

blockchain instance, the enrolment and registration of identities or systems
entities during network operation, and the administration of changes such as
drops, additions, and revocations. It also offers authentication and
permission.
● The smart contract layer employs the identity services layer to authenticate
and approve the entity requesting to execute the smart contract while
processing the transaction.
● Hyperledger Fabric provides a personal identity service that handles user IDs
and authenticates all network participants to enable permissioned networks.
Access control lists can be utilized to add layers of permission by authorizing
certain network actions.
● Certification Authorities are in charge of managing certificates (or CA). Fabric
CA is Hyperledger’s Certification Authority

7. Policy Service:
 ● Policy Services is in charge of policy management for the system’s numerous
policies, including the endorsement policy, consensus policy, and group
management policy. It communicates with and is dependent on another
module to enforce the different policies.
● Fabric policies reflect the process through which members agree to approve
or reject changes to the network, a route, or a smart contract. Policies are
agreed upon by channel members when the channel is first set up, but they
can also be changed as the channel evolves.
● Policies are one of the features that distinguish Hyperledger Fabric from other
blockchains such as Ethereum or Bitcoin. Transactions in those systems can
be generated and confirmed by any node in the network.

8. API: It enables clients and applications to interface with blockchains. there are three
types of API used in hyperledger they are:

● Admin API: This class establishes a management link to a Hyperledger

Composer runtime. The link can then be used to Install
BusinessNetworkDefinitions and deactivate Business network definitions
Refresh BusinessNetworkDefinitions and Ping the runtime to confirm it is up
and running and properly configured In the connection profile storage, save a
connection profile document.
● Common API: The Common API comprises the APIs that are used to access
information about the Business Network to which you are connected as well
as to establish new assets, participants, transactions, and events. It also
offers APIs for obtaining information about these resources.
● Runtime API: All transaction functions have access to the Runtime API. It
provides API access to build and issue queries, emit events, retrieve all forms
of registries, get the current participant, and get the serializer to produce
resources from JavaScript objects. – execute HTTP REST calls.

9. Interoperation:
 ● Allows separate blockchain instances to communicate with one another.
● Interoperability, supported by comprehensive data and transaction standards,
is required to capitalize on this powerful technology. The food industry, for
example, has made tremendous progress in leveraging data standards to
promote food safety and product visibility use cases.
● Interoperability and integration are currently top-of-mind challenges in the
blockchain sector.

Benefits Of Hyperledger Fabric

1. Open Source: Hyperledger fabric is an open-source blockchain framework hosted by

the Linux foundation. It has an active community of developers The code is designed to
be publicly accessible. Anyone in the community can see, modify, and distribute the
code as they see fit. People across the world can come and help to develop the source
code.

2. Private and Confidential: In a public blockchain network each and every node in the
network is receiving a copy of the whole ledger. Thus keeping privacy becomes a much
bigger concern as everything is open to everyone. In addition to this one, the identities
of all the participating members are not known and authenticated. Anyone can
participate as it is a public blockchain. But in the case of Hyperledger fabric, the
identities of all participating members are authenticated. And the ledger is only exposed
to the authenticated members. This benefit is the most useful in industry-level cases,
like banking, insurance, etc where customer data should be kept private.

3. Access Control: In the Hyperledger fabric, there is a virtual blockchain network on

top of the physical blockchain network. It has its own access rules. It employs its own
mechanism for transaction ordering and provides an additional layer of access control. It
is especially useful when members want to limit the exposure of data and make it
private. Such that it can be viewed by the related parties only. As an example when two
competitors are on the same network. The fabric also offers private data collection and
accessibility, where one competitor can control the access to its own data such that the
data do not get exposed to the other competitor.

4. Chaincode Functionality: It includes a container technology to host smart contracts

called chain code that defines the business rules of the system. And it’s designed to
support various pluggable components and to accommodate the complexity that exists
across the entire economy. This is useful for some of the specific types of transactions
like asset ownership change.

5. Performance: As the Hyperledger fabric is a private blockchain network, There is no

need to validate the transactions on this network so the transaction speed is faster,
resulting in a better performance.

Limitation of Hyperledger Fabric

Hyperledger Fabric is a robust and flexible platform for developing blockchain

applications, but like any technology, it has certain limitations:

1. Scalability: Hyperledger Fabric is designed for permissioned networks,

where the participants are known and trusted, which can limit its scalability for
large-scale public networks.
2. Performance: The performance of Hyperledger Fabric can be impacted by

factors such as network size, network configuration, and the complexity of

chaincode, which can limit its ability to handle high volumes of transactions.
3. Complexity: Setting up and configuring a Hyperledger Fabric network can be

complex, requiring a deep understanding of the technology and its

components.
4. Compatibility: Hyperledger Fabric is designed to be used with specific

programming languages, such as Go and JavaScript, which can limit its

compatibility with other technologies and programming languages.
 5. Cost: Running a Hyperledger Fabric network requires infrastructure and

resources, which can add costs to the deployment and operation of

blockchain applications.
6. Interoperability: Hyperledger Fabric is designed to be used within a single

network, and its interoperability with other blockchain platforms is limited.

Blockchain Technology and Cloud Computing

The applications of blockchain in cloud computing are linked to the Cloud of Things
(CoT), a combination of cloud computing and the Internet of Things (IoT). So, before we
dive into blockchain cloud computing and blockchain-based cloud, let’s first discuss
what exactly the Cloud of Things is.

Cloud of Things provides a powerful and flexible cloud computing environment to

manage IoT services more efficiently. This means CoT enhances the performance of an
IoT system.

IoT is a system of numerous interconnected devices, such as sensors, home

appliances, vehicles, etc. The devices in an IoT system can connect and exchange data
over the internet without any human intervention.

Many industries use IoT systems to collect data from surroundings and store and
analyze it to get valuable information for taking the right action. However, IoT devices
have limited storage capacity, so they use the cloud to store large sensor data, and this
is what forms CoT. There are different cloud service options available, such as public
clouds, private clouds, and hybrid clouds.

If you want to learn about IoT and cloud computing in detail, check out Ridge’s article on
IoT and the Cloud.

Need for Blockchain Cloud

Cloud computing and CoT infrastructure have a few risks and limitations that blockchain
can help eliminate. These risks and limitations include:

● With cloud computing, users have limited control over their data, processes, and
code once they upload them to the cloud servers.
● With cloud computing, users don’t know much about the internal operation
mechanisms, and they have to trust cloud providers for data processing, which
can lead to security and privacy concerns.
● CoT uses centralized communication models, which makes it difficult to scale the
service operation and expand the IoT networks to a larger deployment.
Centralized network infrastructure also increases communication latency and
increases power consumption for IoT devices due to large data transmissions.

How Blockchain Cloud Works

In blockchain-based cloud computing, blockchain can be used for secure network

management by hosting the blockchain network as Blockchain as a Service (BaaS) in a
cloud environment.

BaaS supports IoT applications by offering different blockchain-enabled services, such

as smart contract services, verification services on user transactions, and cloud
blockchain storage.

Benefits of Blockchain in Cloud Computing

1. Decentralization: In IoT and cloud computing commuting a major problem is a

dependency on a centralized server for the purpose of managing data and for taking
decisions. Problems arise like a failure of the central server may disturb the whole
system and also may cause loss of important data which was stored on a central server.
Also, the central server is prone to be attacked by hackers. The blockchain can provide
a solution to this problem as in the decentralized system multiple copies of the same
data are stored on multiple computer nodes which removes the possibility of failure of
the complete system if one server fails. Also, the loss of data can’t be a problem as
multiple copies of the data are present on multiple nodes.
2. Increased Data Security: Storage of data on the cloud in the field of IoT is a big
challenge as IOT stored data is generally related to personal information of the house
owner like their video footage, their voice recordings, their household items, their
property, their personal habits, and leak of these data can harm the personal security
including robbery, attacks, and illegal selling of the personal details for money. These
conditions pose a threat to the cloud infrastructure. The solution to this problem is the
use of blockchain in cloud computing, which has the potential of providing enhanced
security to the whole architecture.

3. More Efficient Ownership Tracking of Goods and Services: A major challenge of

the logistics industry is to regularly keep track of all vehicles in its network, their current
locations, time for which a vehicle stayed at a place, to establish communication
between several vehicles. In the same manner tracking services like parcels, software
products also face problems due to the centralized approach of their architecture.
Blockchain has enough potential for tracking these goods and services.

3. Fault Tolerance: Cloud can help replicate blockchain data across a network of
computing servers that are interconnected with each other robustly by collaborative
clouds. This will minimize the single-failure risks because of the disruption of any cloud
node so they enable uninterrupted services.

4. Scalability: On largescale blockchain applications, the number of transactions in

blockchain networks can be huge. So, it is very important to have powerful data
processing services to have high transaction execution for enabling scalable blockchain
services. In this field, the cloud can give on-demand computing resources for blockchain
operations. due to its scalability capabilities. So, the combination of cloud computing
and blockchain can provide a highly scalable integrated system.

Applications of blockchain in cloud computing

Advantages of blockchain are numerous. Blockchain in cloud computing allows for

secure data sharing, efficient resource allocation, and decentralized application hosting.
It enables tamper-proof data storage, smart contracts, and decentralized identity
management, providing a trustless and transparent ecosystem.

Supply chain management

Blockchain technology provides immutable, transparent, and secure supply chain

management. It enables end-to-end traceability, reduces fraud, enhances accountability,
and streamlines transactions. Blockchain helps efficient inventory management,
reduces counterfeiting, and improves consumer trust.

Identity and access management

Blockchain technology enables decentralized identity and access management. It
provides secure, transparent, and efficient identity verification, eliminates
intermediaries, and reduces data breaches. Users can have a greater control over their
data and privacy.

Data management and storage

Blockchain technology provides secure and decentralized data management and

storage. It enables efficient data sharing, reduces data breaches, and eliminates
intermediaries. Blockchain also ensures data immutability and integrity, enhances
transparency, and reduces costs.

Payment processing and financial transactions

Blockchain technology provides secure, transparent, and efficient payment processing

and financial transactions. It enables peer-to-peer transfers, eliminates intermediaries,
and reduces transaction costs. Blockchain enhances financial privacy and security and
allows micropayments.

Multichain Blockchain

Multichain is a blockchain platform that supports independent chains in the same

network. In a multichain system, each chain can have its own set of rules, permissions,
and assets. However, they are interconnected and able to interact with each other. In
the multichain system, all the individual chains can connect on a peer-to-peer basis,
using blockchain nodes. Data can be transferred between chains, allowing for seamless
integration and interoperability. The platform is geared towards creating customizable
enterprise blockchains.
How Does Multi-Chain Work?

Multi-chain is the result of blockchain fragmentation. Because each blockchain is

effectively an island with little to no connectivity with other blockchains or the outside
world, an application on one blockchain can’t be accessed by a user on another
blockchain.

In a multi-chain application, developers configure a separate and isolated instance of

their smart contracts for each different blockchain. This is because the immediate goal
for any application after its launch is to garner more users, and so multi-chain expansion
is the natural next step.
In a multi-chain application, there are separate and isolated smart contracts on each
blockchain.
Multi-chain applications are needed because decentralized applications (dApps) that
exist solely on one blockchain may be missing out on millions of users on another
blockchain. A user who’s already onboarded onto a different blockchain must take many
steps to access that application—for example, adding a new network or downloading a
new wallet, bridging funds from one blockchain to another, and then acquiring the native
gas token to transact. Multi-chain expansions solve this problem by meeting users on
the blockchain environments they’re already familiar with.

Problems With Multi-Chain

Multi-chain applications are a solution for developers to access the widest possible net
of users, but they come with their own set of limitations.

Technical Burden

The effort to build, maintain, and update a multi-chain application is immense, especially
because new blockchains are constantly emerging. For each new blockchain,
developers must change their code to fit the blockchain’s specific technical
requirements, ensure the code is well-written and secure, and maintain each instance
separately.
This is why multi-chain applications often stay within a certain ecosystem, reducing the
technical complexity of launching a new application. Applications on Ethereum are far
more likely to expand to EVM-compatible chains, for example.

Isolated Liquidity

Increasing liquidity results in a self-reinforcing cycle. A decentralized exchange (DEX)

with the highest liquidity can offer the lowest slippage for transactions, the most
expansive liquidity rails, and the highest yields to liquidity providers. It is one of the
largest competitive differentiators between DeFi protocols.

The lack of connectivity between individual instances of a multi-chain application is a

large problem for decentralized finance (DeFi) applications specifically because it
fragments this liquidity. In the current paradigm, multi-chain DeFi applications have
separate liquidity pools for each blockchain, fragmenting the liquidity available to the
end user.

Benefits of Multichain in the Blockchain Ecosystem

Multichain technology offers several benefits in the blockchain ecosystem:

● Customization: Multichain allows for the customization of blockchain networks for

specific use cases. This enables developers to create specialized chains with
unique rules, permissions, and assets.
● Scalability: With multiple chains, the overall network can handle a greater volume
of transactions.
● Interoperability: Different chains within a multichain system can interact and
exchange data and assets, providing greater flexibility and interoperability.
● Cost-effectiveness: Multichain reduces the cost of blockchain development and
deployment. It allows for multiple applications to share a single network
infrastructure.
● Faster transactions: With multiple chains running in parallel, transactions can be
processed faster.

Comparison of Multichain Architecture with Traditional Blockchain Architecture

Here are some key differences between Multichain and traditional blockchains:

● Scalability: Traditional blockchain architectures rely on a single blockchain that

stores all transaction data. Meanwhile, Multichain technology uses many
blockchains that can be tailored to specific use cases or applications.
● Customization: Multichain technology allows for developer customization.
Individual blockchains can be configured to meet specific business requirements
or use cases. Standard platforms require developers to meet their specifications.
● Interoperability: Multichain technology enables different blockchains to
communicate and exchange data with each other. Traditional blockchain
architectures typically operate in isolation from each other.
● Privacy: Multichain technology allows for greater privacy and confidentiality than
traditional blockchain architectures. It enables the creation of private blockchains
that restrict access to sensitive data.

Geth Blockchain

Geth (go-ethereum) is a Go implementation of Ethereum - a gateway into the

decentralized web.
Geth has been a core part of Ethereum since the very beginning. Geth was one of the
original Ethereum implementations making it the most battle-hardened and tested client.
Geth is an Ethereum execution client meaning it handles transactions, deployment and
execution of smart contracts and contains an embedded computer known as the
Ethereum Virtual Machine.
Running Geth alongside a consensus client turns a computer into an Ethereum node.

Go Ethereum is a very important part of the successful operation of the Ethereum

network. Because it provides the easiest way to run a full Ethereum node, a lot of
node-operators rely on Geth to be able to perform their tasks as validators. Without the
Geth interface, the Ethereum network might not have been as successful as it is at the
moment. Running full nodes is an essential requirement for the blockchain to be
successful and active. Node operators are the ones who validate transactions and make
sending and receiving ETH possible. Without software like Geth operating a full
Ethereum node might not have been as easy, or accessible.

Stellar Blockchain
Stellar is a blockchain network developed by Stellar Development Foundation. The
organization's currency, called the lumen, is traded under the symbol XLM on various
cryptocurrency exchanges.

Lumens are designed to be used on the Stellar network to pay transaction and account
initialization fees. The network was created to connect banks, payment systems, and
people to facilitate low-cost, cross-border, cross-asset financial transactions.

● Stellar is a decentralized protocol on open-source code to transfer value

domestically and across borders.
● The Stellar blockchain's cryptocurrency is called the lumen, a token that trades
under the symbol XLM.
● Stellar is one of the best-performing altcoins, with a market cap of just over $3.3
billion
Stellar, an open-source decentralized protocol, facilitates the creation and transaction of
digital representations of money. With a secure financial workflow, our Stellar PoCs
allow easy money movement and access to new markets. With Stellar Blockchain
development, we offer:

● Robust, secure, and high-performant FinTech applications

● Custom payment apps and micropayment apps for fast transactions
● Solutions for cross-border payments and digital asset exchanges
● P2P lending applications that facilitate borrowers and lenders to interact
History of Stellar
Stellar is operated by the Stellar Development Foundation, a nonprofit organization
founded by Jed McCaleb. The Stellar project received initial funding from the payments
startup Stripe and other organizations' donations. Stellar also covers its operational
costs by accepting tax-deductible public donations.

In 2018, Stellar signed a deal with TransferTo for cross-border payments to more than
70 nations. It also became the first distributed technology ledger to obtain a
Shariah-compliance certificate for payments and asset tokenization and was selected
as a partner by IBM (IBM) for a double-pegged stablecoin project.

Ripple Blockchain
Ripple is a blockchain-based digital payment network and protocol that uses its own
cryptocurrency, XRP. Ripple's main focus is as a payment settlement asset exchange
and remittance system, similar to the SWIFT system for international money and
security transfers used by banks and financial intermediaries dealing across currencies.

The token used for the cryptocurrency is premined and uses the ticker symbol XRP.
Ripple is the name of the company and the network, and XRP is the cryptocurrency
token. The purpose of XRP is to serve as an intermediate mechanism of exchange
between two currencies or networks—as a sort of temporary settlement layer
denomination. Ripple was first released in 2012 and was co-founded by Chris Larsen
and Jed McCaleb.

● Ripple is a blockchain-based digital payment network and protocol with its own
cryptocurrency, XRP.
● Rather than use blockchain mining, Ripple uses a consensus mechanism, via a
group of bank-owned servers to confirm transactions.
● Ripple transactions use less energy than Bitcoin, are confirmed in seconds, and
cost very little, whereas Bitcoin transactions use more energy, take longer to
confirm, and include higher transaction costs.
● Ripple (XRP) ranks among the most valuable blockchain-based tokens by market
capitalization.
● The Ripple payment system is intended to be used primarily by banks, but
individual investors can speculate on the price of XRP.

History of Ripple

● Chris Larsen and Jed McCaleb launched Ripple in 2012 with the intention of
developing a quicker, more affordable, and more dependable payment
mechanism for international trade. The company initially launched the Ripple
payment protocol, which was designed to provide a secure and efficient way
for banks and other financial institutions to transfer funds internationally.
● In 2013, the company introduced the XRP token, which was later used to
power the RippleNet network. Over the years, Ripple has expanded its
partnerships and collaborations with various financial institutions and payment
providers, with the aim of making it easier for its customers to send and
receive money across borders.
 ● Ripple has faced some controversy and regulatory hurdles along the way,
including concerns about the centralization of its network and the status of
XRP as a security. Despite these difficulties, the business has persisted in
expanding and growing, becoming one of the top blockchain-based services
for international payments.
● As of 2022, Ripple is one of the largest cryptocurrencies by market
capitalization and has a significant presence in the global financial industry,
with partnerships with major banks and financial institutions around the world.

Working of Ripple

Below are the steps followed for transactions on Ripple Blockchain:

● The XRP crypto uses a consensus protocol to confirm transactions.
● Validators compare the proposed transactions to the most recent versions of
the XRP ledger to determine whether they are valid.
● The majority of the validators must accept the transaction to be verified.
Uses of Ripple

Ripple has several uses, including:

● Cross-border payments: Ripple is primarily used as a platform for fast,
secure, and low-cost cross-border payments. Using XRP as a bridge
currency, financial institutions and payment providers can transfer funds
across borders in real-time, without pre-funding or intermediaries.
● Remittances: Ripple can also be used for remittances, allowing individuals to
send money to their families and friends in other countries in a fast and
efficient manner.
● E-commerce: Ripple can be used for e-commerce transactions, providing a
secure and efficient way for online merchants to accept payments from
customers around the world.
● Smart contracts and decentralized applications: Ripple supports smart
contracts and decentralized applications, allowing financial institutions and
 payment providers to offer a wide range of financial services to their
customers, such as escrow services, digital wallets, and more.
● Liquidity management: Financial institutions and payment providers can use
Ripple to manage their liquidity, reducing the costs and risks associated with
cross-border payments and financial transactions.

Limitations of Ripple

Some of the main limitations of Ripple include:

● Centralization: Despite being a blockchain-based solution, Ripple is
considered to be highly centralized, with a small number of nodes controlling
the majority of the network. This has led to concerns about the security and
decentralization of the RippleNet network.
● Regulatory uncertainty: The status of XRP as a security has been a matter
of debate and regulatory uncertainty, which has led to concerns about the
future of the token and the Ripple network. In some countries, XRP has been
banned or restricted, which has limited its use and adoption.
● Competition: Ripple faces stiff competition from other blockchain-based
solutions and traditional financial institutions, which may impact its growth and
adoption in the long term.
● Scalability: RippleNet can currently handle a limited number of transactions
per second, which may limit its use for large-scale transactions and
applications.

R3 Corda Blockchain

R3 Corda is a distributed ledger technology (DLT) platform that was specifically

designed for financial services. R3 Corda is built on the principles of privacy, security,
and interoperability. It allows for the secure and efficient exchange of data and value
between parties. The platform is also modular, so it can be easily customized to meet
the specific needs
R3 Corda is a distributed ledger technology (DLT) platform specifically designed for
financial services. It is an open-source project launched in 2016 by a consortium of over
200 banks, financial institutions, and technology companies.

R3 Corda is built on privacy, security, and interoperability principles. It allows for the
secure and efficient exchange of data and value between parties. The platform is also
modular, so it can be easily customized to meet the specific needs of each user.

Many major financial institutions have used R3 Corda to streamline their operations and
reduce costs. Some of the world's largest banks, such as HSBC, ING, and J.P. Morgan,
have all built applications on top of R3 Corda.

How Does R3 Corda Work?

R3 Corda uses a "shared ledger" approach to DLT, e.g., there is no central database to
which all users have to connect. Instead, each user has a copy of the ledger that they
keep updated with the latest transactions.

When a transaction occurs, it is only shared with the parties involved, ensuring that
sensitive data remains private and confidential. Once all parties involved in that
transaction have verified and agreed to it, it is then added to each user's ledger.

This approach has several advantages over other DLT platforms, such as Bitcoin's
blockchain:

1. It significantly reduces the amount of data that needs to be stored and

processed.
2. It makes it much more difficult for malicious actors to tamper with or delete data.
3. It allows for much more granular control over who has access to which data.

R3 Corda also uses "smart contracts" to automate certain aspects of transactions. A

smart contract is a piece of code that defines the terms of an agreement between two
parties. Once all parties have agreed to the terms of the contract, the code is executed
automatically. In other words, manual processes, such as paperwork and signatures,
can be replaced with automated ones.
Smart contracts can be used for a wide variety of transactions, from simple things like
transferring money from one account to another to more complex activities such as
issuing bonds or Syndicated loans.

Conclusion: R3 Corda is a DLT platform that was specifically designed for financial
services. It uses a "shared ledger" approach to DLT and "smart contracts" to automate
certain aspects of transactions. Several major financial institutions have already built
applications on top of R3 Corda.

Blockchain API

Blockchain APIs offer a number of benefits for developers. They can help to streamline
the process of developing applications and make it easier to integrate with other
systems. In addition, Blockchain APIs can provide access to data that is stored on the
blockchain, making it easier for developers to create applications that make use of this
crypto data.

Blockchain APIs can also help to reduce the costs associated with developing
applications. By making it easier to access data stored on the blockchain, developers
can avoid the need to build their own infrastructure to support their decentralized
application. This can lead to significant savings in both time and money.

In addition, Blockchain APIs can provide developers with a way to monetize their
applications. By charging for access to data or functionality provided by an API,
developers can generate revenue from their applications. This can help to offset the
costs of developing and maintaining a decentralized application.

Finally, Blockchain APIs can help to create a more open and accessible ecosystem for
applications. By making it easier for developers to access data and functionality
provided by other applications, Blockchain APIs can help to create an environment
where applications can interoperate with each other. This can lead to new and
innovative app development being created that would not be possible without the use of
APIs.

The Best Blockchain APIs for Blockchain Development

There are a number of different blockchain APIs available for developers, each with its
own advantages and disadvantages. In this article, we’ll take a look at some of the best
blockchain APIs currently available and provide a brief overview of each one.

● BlockCypher API
The BlockCypher API is one of the most popular blockchain APIs available
today. It offers a simple interface that makes it easy to get started with blockchain
development. allowing the developer to interact with Bitcoin, Etherum, Litecoin,
and Dogecoin on a variety of platforms. The versatile development tools gives
you the ability to interact with a smart contract, get notified about an unconfirmed
transaction or create a multi signature transaction. Other features include:

● Data Addresses. Transactions, Blocks, Smart contracts.

● Interactions. Create Transactions. Decode transactions. Interact with
contracts. Deploy contracts.
● Notifications. Transactions webhook. Block webhook. Double spend
webhook. Websocket.
● Advanced Features, Multisig. Segwit Support. Confidence factor.
● Chain API
The Chain API is another popular option for blockchain developers. It offers a
more comprehensive set of features than BlockCypher, making it a good choice
for more experienced developers. Chain also has good documentation and
support for multiple programming languages. ChainAPI has a user-friendly
interface that will allow API providers ro set up first-party oracles easily. Interface
is used by the API2 employees to do integrations on behalf of API providers with
necessary greatly improving their efficiency and correctness. Chain API will make
it easier for API providers and requesters to interact with the Airnode protocol
across multiple chains, including a node dashboard.

● CoinBase API
The CoinBase API can be a great alternative option for blockchain development.
Coinbase Pro provides an API that makes it easy to carry out various tasks. This
includes sourcing real-time prices, storing digital currency safely, buying or selling
cryptocurrencies, and processing digital wallets. They also offer a premium
option with a much more advanced API for your blockchain solution. Some of the
features CoinBase API offers:

● Generate bitcoin cash wallets and addresses.

 ● Securely store the coins.
● Obtain real-time and/pr historical price data.
● Get notified when the payments arrive.
● Send/receive or sell/buy bitcoin cash, bitcoin, litecoin and ethereum.
● Crypto API
Crypto APIs is a blockchain infrastructure provider that makes developing and
managing Web 3 solutions easy and efficient. They provide Wallet as a Service
(WaaS), Blockchain Data, Blockchain Events, Blockchain Automations,
Blockchain Tools, and Market Data to make development easier. Developers use
their SDK to access over 100 end points from a single provider for diverse
solutions including digital banks, exchanges, wallets, custodians, lending
products and more. Chainlink, Ledger, Nexo and Paypal have already tried
Crypto APIs’ company’s REST APIs. They love the white-glove support and
features that are effective fast. Blockchain developers appreciate how reliable
they are. Some features include….

● MPC’s Wallet as a Service is the best digital wallet on the market - it

incorporates the top features, protection, and authorization process currently
available.
● Blockchain Data- Unified access to complex and dynamic data from a single
point using REST APIs.
● With Node as a Service, you’ll be able to quickly deploy your blockchain
technology with shared or dedicated node infrastructure. Utilizing JSON-RPC,
it can be plugged into existing infrastructure and allows for an easy
development environment in Javascript.
● Blockchain Automations - automatically forward any coins or tokens that are
received to a preferred main deposit address.
● Blockchain API
The Blockchain API is an additional option worth considering for blockchain
development. Blockchain API is the perfect solution for providing cryptocurrency
payments to your projects. The high quality of their services and capabilities
make it easy to integrate. Blockchain API has been successful in integrating with
over 25,000 developers. They offer many different APIs that are tailored to satisfy
the needs of different customers. They have APIs for wallets, payment
processing, querying data, exploring the blockchain network, analyzing crypto
data and more.

It has several aspects that make it a competitive provider in the market. This
includes data storage in blockchain, which is done in block form. The result of
 this is JSON data, which deals with transactions. Blockchain’s offline-first
approach also means that they don’t need additional cryptocurrency storage
services. It has a vast developer community and low timeouts, as well as an
accessible JSON data format. You can also access the blockchain network
through e-wallet accounts.

● Block.io API
The Block.io API offers a simple interface that makes it easy to get started with
blockchain development. Block.io also provides support for multiple programming
languages, making it a good choice for developers who want to write code in
their language of choice. Don’t forget to test your application thoroughly and
always keep your private key confidential.

● BitPay API
The BitPay API an international digital asset, BitPay’s API allows you to perform
a wide range of tasks. BitPay provides a standards-based REST interface that
enables application developers to interact in powerful and secure ways with their
BitPay account. Using the BitPay API, clients can manage invoices, issue
refunds, view merchant records, and more.Developers may choose to call the
API over HTTPS using the language of their choice, or take advantage of our
code libraries. And, if their preferred language isn’t listed, they can still customize
the integration.

● GetBlock API
The GetBlock API is another popular choice for a blockchain developer to
explore. GetBlock provides a simple, easy way to use the power of blockchains.
Discover their high-speed running nodes and secured access to API for bitcoin
and Binance’s Smart Chain on blockchains, like Bitcoin, that allow you to run a
decentralized app efficiently. GetBlock offers API, smart contract, and explorer
data services. It also provides a blockchain development program which has
access to raw data. When you use our service, you are guaranteed speedy
access over blocks, transactions, and contracts that can be achieved by simply
using the base API data. GetBlock API has helpful technical guides and
documents and offers custom SLAs that are tailored solutions to suit your
business needs.

Blockchain Sandbox
A crypto regulatory sandbox is a live-like testing environment used to ensure regulatory
compliance and security checks for financial operations, including cryptocurrencies and
blockchain networks.
● A sandbox refers to an isolated—but fully functional—testing environment where
software, applications (apps), and programs can be tested.
● A crypto regulatory sandbox allows governments and companies to test whether
cryptocurrencies can be effectively adopted and how to implement regulations.
● In November 2020, the government of Spain signed a law creating a sandbox for
the cryptocurrency and fintech ecosystem.
● In February 2023, the European Commission launched a regulatory sandbox for
innovative use case for blockchain solutions.
● European Commission. "Launch of the European Blockchain Regulatory
Sandbox."
The European Blockchain Sandbox has been set up and is being operated to facilitate
the dialogue between regulators and innovators for private and public sector use cases.
Legal advice and regulatory guidance will be provided in a safe and confidential
environment. The dialogues will be held across industry sectors and geographic
regions, which will help to identify and communicate best practices in the interest of the
wider EU/EEA blockchain community. The sandbox is open to use cases based on any
blockchain infrastructure.

The European Blockchain Regulatory Sandbox for innovative use cases involving
Distributed Ledger Technologies (DLT) is an initiative of the European Commission. The
sandbox establishes a pan-European framework for regulatory dialogues to increase
legal certainty for innovative blockchain technology solutions.

Blockchain and other Distributed Ledger Technologies are innovative developments and
are deployed across industry sectors such as energy & utilities, education, healthcare,
mobility, finance & insurance, and logistics & supply chains.

The European Blockchain Sandbox has been set up and is being operated to facilitate
the dialogue between regulators and innovators for private and public sector use cases.
Legal advice and regulatory guidance will be provided in a safe and confidential
environment. The dialogues will be held across industry sectors and geographic
regions, which will help to identify and communicate best practices in the interest of the
wider EU/EEA blockchain community. The sandbox is open to use cases based on any
blockchain infrastructure.

The regulatory Sandbox aims to provide legal certainty through facilitating regulatory
dialogue and cooperation between innovators and regulators at the national and the EU
level. Blockchain companies participating in the Sandbox have the opportunity to
demonstrate their innovative solutions and highlight their needs regarding regulatory
guidance and legal certainty to regulators and supervisors in a safe and confidential
environment. They will receive legal advice from legal experts and be part of a
constructive dialogue with national and EU regulators. Also, they will be able to develop
their regulatory understanding and extend their network and reputation through their
participation in this pan-European project. No fee will be charged for the application and
participation in the Sandbox but there will not be reimbursement of costs.

Starting in 2023, the sandbox will annually accept cohorts of 20 blockchain use cases.
They will be matched with relevant national and EU regulators for a safe and
constructive dialogue on the most relevant regulatory issues. Use cases will be selected
on the basis of the maturity of the business case, legal/regulatory relevance and their
contribution to the EU’s wider policy priorities. Every year, the most innovative regulator
participating in the sandbox will be awarded a prize.