The first phase of the much-anticipated Ethereum blockchain update, Ethereum 2.0, is expected to launch by the end of this year. These moves promise to increase bandwidth and reduce latency on the Ethereum network and are likely to bring wider adoption in business and commerce.
Teku owner Ben Edgington, an Ethereum 2.0 client designed for corporate and corporate players, told Cointelegraph that Ethereum 2.0 would actually remove important barriers for companies looking to distribute consumer goods on the Ethereum network. “We expect this to accelerate the convergence of private networks with the public network, as well as enable new cases with enhanced bandwidth,” he said.
Of course, Ethereum 2.0 will use a combination of technologies to address the current challenges of high gas taxes, performance, privacy, and licensing. When it comes to companies integrating the Ethereum public network into IT clusters, the underlying protocol will play an important role in this evolution.
The Baseline Protocol Initiative, announced in March, was formally launched as an open source project OASIS. The open source OASIS initiative enables open source efforts to enhance the interoperability of blockchain applications. The baseline protocol was launched with the support of 14 parent companies. Today, 700 members and eight sponsoring organizations make up the Baseline Protocol community.
Accenture adds baseline protocol support
Of particular note is that global professional services company Accenture has added baseline protocol support as one of eight sponsoring organizations. The announcement was made in a recent tweet.
Michael Klein, director of blockchain technology at Accenture, told Cointelegraph that the company sees huge potential in the Baseline protocol. Specifically, Klein mentioned its ability to provide privacy and protect dual use on unauthorized networks like Ethereum, as well as on permitted public and private networks:
“Companies have been consistent in their large operational requirements for multilateral systems, and we continue to see innovations in and around blockchain technologies that strive to meet these requirements.”
As such, Klein hopes other major organizations will see the capabilities of the underlying protocol and the goals of the Ethereum OASIS project. This is extremely important, as Klein noted that corporate sponsorship of open standards and source code is important for the widespread adoption of the technology in various industries.
It is still in the early stages
While other major organizations are likely to become new sponsors of the Baseline Protocol initiative, the project is still in its infancy. Nevertheless, Klein stated that the basic protocol already demonstrates the potential to transform the current understanding of public state apparatus:
“Instead of focusing on state resilience in a distributed network, the baseline protocol seeks only to demonstrate the consistency of states that business partners maintain. By doing so, it sees the blockchain network as an intermediary between companies rather than a general government machine.”
Interestingly, the idea of a blockchain network acting as a middleman looks attractive to companies who are starting to experiment with this technology.
Paul Brody, blockchain manager at Ernst & Young, Big Four accounting and founder of Baseline Protocol, told Cointelegraph that with the Baseline protocol, companies are using Ethereum in the same way as middleware to facilitate complex multi-party transactions. In these special cases, the different parties who already know and trust each other can cooperate to some extent:
“Most companies and their suppliers make multiple deals: they cheat on me today – tomorrow you will lose my business. For this reason, no small mistake in Ethereum will destroy a group whose members, who work with one another, have years of experience and confidence.”
Brody further commented that customer interest in the underlying protocol is very high, even in the early and early stages of Ethereum 2.0 development: “I see the adoption of Ethereum memory being extremely rapid without slowing the transition to Eth 2.0.” He went on to add: “The underlying protocol contains the tools you need. Companies trade with one another without creating a private blockchain.