Please tell me the benefits of using a private blockchain


#1

I don’t know the merit of using a private blockchain for the old system (distributed DB etc).

I think that the approval speed etc.
is said to be earlier than the public blockchain.
If approval speed is important, I think it is better to devise existing system and devise it.

Please tell me the merit of using a private blockchain.


#2

I am not too savy but I will give three things and hope someone can elaborate.
i) It’s cheaper than conventional databases.
ii) It’s more secure than conventional databases.
iii) A private chain is better than a public chain if a company wants to keep their customer details or company transactions private from public (unauthorized) access.

Cheers


#3

i) It’s cheaper than conventional databases.
ii) It’s more secure than conventional databases.

Does this make it possible to build a less expensive and secure one than the traditional ones?
Does using a private block chain make it more secure than traditional systems?

iii) A private chain is better than a public chain if a company wants to keep their customer details or
company transactions private from public (unauthorized) access.

Again, private blockchains will be compared to public blockchain.

Many thanks


#4

Private is for companies that do not want their transaction details or their customers transaction details freely available in the public space.
The reasons for this should be glaringly obvious.
Dan


#5

Think about the term ‘distributed ledger’, added to that that blockchain is write-only. Now imagine a large distributed system like banking or supply chain, you can have a private blockchain that is only visible to your partners where you can write transactions that everybody in the system can then know for certain have taken place and all at the same time with much less overhead than having the interfacing departments of each company communicating to one another. Simple example: I send a package to from the US China. As soon as I send the package, every party in the chain is notified that the package is en route and can begin planning transportation at the same time. Each delay is likewise telegraphed to each link in the chain. Banks have already been using this technology for five years.


#6

@xemnewbie
How about choosing options other than blockchains in the first place?
With distributed DBs, you can limit the disclosure range of information to a limited range.


#7

@corporal_clegg
This is implemented in a consortium type blockchain.
I believe that this pure private type can not enjoy this merit.


#8

I’m not really sure the type of chain your talking about then. If you don’t need to communicat to external parties then best to use a spreadsheet. Can you give an example of a chain doing what you think doesn’t make sense?


#9

As the title suggests, I would like to know the advantages of using “private blockchain” compared to conventional systems.
Many companies in the world use private blockchains in demonstration experiments.
Is this just meaning that using the new technology, block chain, itself?
I think that you should use public block chains if you pay attention to block chains, such as non-tampering.


#10

Can you tell one company that is using a private blockchain as you envision it? If you mean a private chain meaning that it does not have any outsiders participating in it then I believe that this does not exist. I think of blockchains more as either permissioned or permissionless, rather than public/private. Plenty of use cases for both. It seems to me that you are talking about a chain that is neither permissioned nor permissionless because there is only one party using it. In this case I don’t think that blockchain has any meaning at all. That’s just a spreadsheet.


#11

Because I am not a native speaker of English, it may make you misunderstand.

I know that a company has created a system that uses blockchains to manage all nodes.
I think that it can not be said that this is superior to non-tampering.
This is because it is possible to modify the transaction record (= Can be tampered with) if you are managing all the nodes.

However, it is useful in a sense that it can construct a secure system to some extent at a low price.

Another company is trying to replace some existing systems with those using blockchains.
I know a lot of such companies

There should be a purpose to use blockchains on system that don’t need renovation.

That’s what I want to know.
I think that there is only the social meaning of using a new technology called a blockchain.

Do you think that there is something merit also in the blockchain that manages all nodes in one organization?


#12

Which company is that?


#13

I got a lot of search results in a blockchain demonstration experiment, but many of them think that one company manages all the nodes.
What you want to say is, “There is no blockchain system that manages all nodes at one company”?


#14

Well the discussion is pretty much the same permission (pub)and permissionless (priv) BC. Blockchain will refer to a big master spreadsheet or ledger. Everyone can write a piece in a row for permissionless BC. However. only authorised or vetted users can do the writing in a permission BC. In all i.e in permission and permissionless BC, you have genesis blocks containing transaction information as unique hashes. They are row like in a spreadsheet connected to each like one is chained to another following the first or genesis row. Albeit a collection of these transactions makes a block -->50mb or more. The blocks overlaps other blocks for continuity: Vis-a-vis mining constraints of 10 mins to confirm all transaction making up a block.
Permission BC allows the use public and private key for its crypto implementation on row level. So there is security and non tampering. Parties can only access transaction they took part in. In permissionless network all have access to all regions o ledger. The communication between nodes is p2p in both BC modes, making it server less or decentralized.
Users could be nodes or miners who confirm transactions.