In a shifting marketplace where the obvious potentials of blockchain applications are now being recognized, all signs are directing toward a great level of adoption as this new technology keeps gaining unprecedented traction. And, to secure seats at the table shaping the blockchain industry, individuals, governments, and broader business communities are already dabbling with this technology and experimenting with their own blockchain-based services.
However, the lack of proper education, usage complication, operational overhead, technical complexities, shortage of in-house blockchain developers, and high setup and maintenance cost especially for smaller companies often act as a hindrance to its mass adoption. To address these concerns, a handful of startups along with the world’s biggest cloud companies are now offering a wide array of platforms through Blockchain-as-a-Service (BaaS) model to make blockchain technology more accessible and affordable to a broader audience.
What is Blockchain-as-a-Service (BaaS)?
Essentially, Blockchain-as-a-Service (BaaS) is having an external service provider to set-up all the necessary blockchain infrastructure for an enterprise to enable them to take advantage on blockchain-based applications without the capital expenses or risk of developing it in-house. This includes the creation, customization, operation, and maintenance of the blockchain-based platform. BaaS model would allow companies to scale up and focus on its core business function without the need to worry about technical behind-the-scene issues in running the blockchain applications. Moreover, it offers low-cost access to technology, increased efficiency and speed, greater transparency and data security, high productivity, scalability, and better software and compatibility.
Some of the top BaaS platforms for enterprise solutions are the big hitters in the tech industry such as Oracle, IBM, and Amazon. These organizations have already launched their own dedicated BaaS platform offerings that utilize blockchain framework for Ethereum and Hyperledger Fabric, which allow users to build and customize their own blockchain-powered decentralized applications across industry segments such as financial services, healthcare, and supply chain management. While IBM Baas is an enterprise-ready blockchain platform which is focused on private consortium blockchains, Amazon and Oracle have their own blockchain cloud hosting services.
These companies have been pushing to be on the forefront of a new technological wave enabling customers and partners to streamline operations, automate day-to-day processes, increase business velocity, create new revenue streams, and build consortiums and business networks. Moreover, BaaS platform opens up vast blockchain opportunities beyond cryptocurrency and fuels the rapid growth and adoption of blockchain for businesses.
The potential uses for blockchain in the real world are enormous and the range of this new technology is still something that is yet to be discovered. And because of its capability to build trustless networks, blockchain makes sense for all types of transactions especially high value assets that are prone to corruption and falsification. However, in-house blockchain development may not be a practical approach at the moment especially for smaller enterprises due to high provision costs and maintenance. Therefore, instead of starting from scratch, companies should seek realistic development solution with the help of Blockchain-as-a-Service platform that will help them create competitive advantage and allow them to access the top-of-the-range development tools that are being used by the world’s biggest industries today while saving both time and money.