One of Web3’s fundamentals is its underlying technology built around decentralization. Blockchain technology is what’s making cryptocurrencies, NFTs, and decentralized data storage happen. This newfound and revolutionary database act as a peer-to-peer network that doesn’t require intermediaries or third parties. And thus, it’s one of the most secure technologies for data storing and sharing. However, maintaining a blockchain is very complex, time-consuming, and isn’t very cost-effective. This is where solutions like Blockchain as a Service come into play.
In order to witness a mass Web3 adoption, the underlying technology must be accessible and easy for businesses to implement. Blockchain solutions are emerging amidst the new era of the internet as a service that allows businesses to utilize the distributed ledger effectively.
The “X as a Service” Solutions
First, we need to understand the X as a Service model. XaaS is a term used to describe the cloud service delivery model. It basically means a technology-enabled service that could be accessed through the internet. Moreover, it’s a particular technical and cloud-based solution that you can get for a certain fee.
For example, in traditional IT models, companies purchase hardware and software, install them, and manage them themselves. However, using XaaS solutions such as Platform as a Service (PaaS), Infrastructure as a Service (IaaS), and Software as a Service (SaaS), companies can outsource these functions to these third-party providers who deliver the service through the cloud.
These types of services are a great way for small businesses to manage their hardware and software without having a dedicated IT staff. Outsourcing these services can also offer services considerable cost savings compared to traditional in-house models.
To illustrate it better, here’s an example. Consider a business subscribing to a web hosting service. Instead of having the company host the website itself, which will require extensive resources and skill sets, the web hosting service will enable the publishing of the website fast and with little cost.
“X as a Service” models are usually subscription-based, and therefore, businesses can opt-out easily without the hefty termination fees.
What is Blockchain as a Service?
Blockchain as a Service is thus a third-party service that facilitates the implementation of blockchain technology for companies. Businesses that utilize a BaaS can build and operate blockchain-based networks with cloud technology. Since blockchain applications have developed beyond its financial crypto trade, the need for a blockchain hosting service is very much needed.
BaaS providers offer businesses a low-cost method to employ blockchain technology within their networks. Instead of companies going through all the trouble of self-hosting their own distributed database, BaaS offer the setting up of blockchain infrastructure in return for fees. Think of it like when you pay someone to do your homework, but with more integrity than that.
Part of the BaaS is to provide companies with the allocation of resources, data security features, hosting requirements, and bandwidth management. The great thing about Blockchain as a Service is that can allow companies to focus on their main business plans instead of taking the time to figure out the complexities of blockchain operations.
Why Opt for BaaS?
What makes Blockchain as a Service so important? And why should you care in the first place? Well, blockchain networks are a great way for companies to store and manage their data. Blockchain technology offers immediate shared, transparent and secure information that gets written into an immutable ledger.
What stops many enterprises from adopting this newfound technology is its technical complexities. Web3 is still a new territory with few who fully explored it. The lack of domain expertise and the operational costs that the blockchain needs are not always accessible. And thus, businesses will always opt for traditional databases like cloud storage.
What Blockchain as a Service solution offers is the immediate transition to blockchain technology. BaaS providers offer Blockchain developers and experts in blockchain infrastructure. In addition, BaaS providers will have the right expertise and source of knowledge that can be used in order to upgrade the database’s security without falling into the risks that a company might face if opted for in-house deployment.
Features and Benefits of BaaS
Let’s go over the main features of the Blockchain as a Service model:
- Security Service: BaaS will provide businesses who opt to transition to a blockchain database with cryptographic algorithms and SGX security protection.
- Fast Deployment: With Blockchain as a Service, companies no longer have to concern themselves with complex blockchain configurations and operations.
- Ease of Access: The service will grant users and businesses seamless access to blockchain applications.
- Application Access: Baas offers its users and managing enterprises blockchain SDKs, built-in connection information, and many other blockchain facilitators.
- Real-time Monitoring: BaaS provides real-time updates and offers automatic alerts of the state of the blockchain.
- Smart Contract Deployment: The service allows businesses to implement smart contracts within the network and the ability to further update them.
Top BaaS Providers
Major Blockchain as a Service providers include:
- Microsoft: On the Azure platform, companies can create, deploy, and manage blockchain applications provided by Microsoft’s blockchain solution. Some of the features that the service provides are templates for blockchain frameworks, integration with Azure services, and support for various programming languages.
- Amazon: Amazon Web Service AWS provides various tools to support blockchain implementation. Many customers prefer AWS for the reputation of its Web service. In fact, a good portion of Ethereum’s workloads operates on AWS.
- R3: Corda Enterprise is a Blockchain as a Service solution that is launched by the R3 consortium. As the rest, the service helps with the deployment of blockchain technology but specifically targets enterprises such as banking and other regulated industries.
Are We Getting Near to Mass Web3 Adoption?
Seeing such platforms that facilitate the deployment of blockchain technology might make us believe that the reality of Web3 being mainstream is near. Blockchain as a Service might be the very catalyst for the mass adoption of blockchain across various industries. Outsourcing the technological complexities that blockchain requires opens the door for a lot of major industries to jump into the decentralization pool.
So, Blockchain as a Service can help you take your business to a new level of technological advancements. And if you aren’t that interested in deploying a blockchain yourself, you can appreciate the wide-spread adoption of Web3 technologies.