Corda is the solution to any blockchain business problem by not only fulfilling the great promise of blockchain technology, but also meeting business needs for interoperability as well as privacy. For example, it allows businesses to transact directly, eliminating the costly friction associated with any business transaction. In addition, it ensures that all business parties are always in sync, which in turn provides a significant increase in operational efficiency in a complex business.
To understand what the Corda project is, let’s dive into what it entails, its benefits, and how it achieves the privacy it promises.
What is Corda?
Briefly, Corda is an open source blockchain business project developed by the R3 community. The result of a collaboration between technology partners and financial institutions, Corda was designed from the ground up specifically for businesses to serve a variety of purposes. These include:
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Direct integration into the organization’s systems.
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Facilitating the rapid deployment of a new process.
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Enable a smooth transition to new processes.
As a platform, Corda lacks an embedded cryptocurrency, but it oversees an existing and proven infrastructure and technology. Therefore, Corda does not require mining-style consensus. This results in high costs associated with little business benefit.
Advantages of Corda in the blockchain world
Based on its above intended purpose, the blockchain world should celebrate Corda as it has brought more positive effects to the blockchain world. The main ones are:
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Allowing parties to transact directly – Through advanced cryptography techniques, Corda ensures that direct value transfers can take place efficiently, as well as systems consistency. This, in turn, helps eliminate costs, which, accordingly, facilitates and initiates the presence of direct transactions between participants.
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Ensuring and maintaining privacy in transaction history. Since maintaining privacy and ensuring integrity and authenticity is a major challenge in the world of blockchains, Corda has another reason to be celebrated for offering a solution to this problem. Through a variety of methods, Corda ensures both the authenticity and integrity of transactions by confirming competing and conflicting transactions in the transaction history. By doing the above, Corda also ensures privacy.
Ways in which Corda enforces privacy
Ensuring and maintaining privacy as one of Corda’s main advantages in the blockchain world does this through:
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End-to-end encryption – it targets a peer-to-peer network for this.
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Randomize and rotate keys – This will be done in conjunction with automatic identity management if the goal is to de/anonymize transactions.
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Intel Software Guard Extensions – With these, Corda will enclave the technology and thus allow verification of records encrypted for all parties involved.
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Transaction Structuring – Corda will structure transactions in a Merkle tree, which in turn allows only selective information to be exposed.
Parting shot
With expensive conflicts being a popular and common phenomenon and problem in business, the blockchain world needs to adopt Corda as a solution if they want to see high performance. Corda will eliminate such frictions and in turn will have corresponding advantages for the blockchain world, such as having direct transactions between parties and preserving the privacy of transaction history. So there is no doubt that Corda is the real solution in the blockchain world.