Microsoft Corp. has recently announced that it is developing a new technology that will enhance the speed and privacy of blockchain-based systems. The
Microsoft Corp. has recently announced that it is developing a new technology that will enhance the speed and privacy of blockchain-based systems. The multinational technology giant aims at boosting the adoption of the new technology by enterprises.
The Coco framework which stands for Confidential Consortium, is supposed to be incorporated into the different blockchain networks. According to Reuters, it will sort out fundamental challenges that have decelerated their adoption. The framework will solve speed, privacy concerns and governance issues of the distributed database software for commercial adoption by enterprises. All this will be possible through utilization of advanced algorithms and a trusted Execution Environment (TEE).
This is how it works: you first need to put your blockchain in a trusted area. A trusted area is established using tools such as Windows’ Virtual Secure Mode (VSM) and Intel’s Software Guard Extensions (SGE) that later backs other compatible TEEs. The result is the creation of a trusted network that supports both the ledger and the Coco code. There is no longer need for performing proof of work, resulting in faster transaction speed.
In its prototype setup, the company further said that Coco and Ethereum, which have been used to integrate with the framework, had the ability to handle approximately 1600 transactions every second. Ethereum is a popular blockchain and Microsoft can make it 100 times faster. Payment card provider Visa can perform 24,000 transactions within a second.
Some of the adopters that are expected to incorporate with the new Coco platform include JPMorgan Chase and Company’s Quorum, Intel’s Hyperledger Sawtooth and R3’s Corda. The technology will make it easier for enterprises to control who can see what on a network without compromising the speed of the system.
According to Mark Russinovich, the CTO of Microsoft’s Cloud Computing Division Azure, they believe this is the foundation for blockchain for enterprises. They also believe that blockchain has the potential to revolutionize every industry. Blockchain has previously been adopted by reputable banks with the aim of reducing costs and simplifying transaction processes.
Microsoft expects Coco to be complete and made open source by early next year.