A new report from Goldman Sach’s Investment Research projects arm has praised the bitcoin blockchain – the most prominent and largest blockchain around – for its public, open nature.
A newly released report by investment banking firm Goldman Sachs makes an effort to dissect through the hype surrounding blockchain by explaining and itemizing the innovation has lauded the public nature of the Bitcoin blockchain.
The report proclaims the public distributed ledger used by Bitcoin as the “ideal vehicle” for public transactions and settlements between individuals who don’t know each other. The report adds:
In fact, the public nature of the Bitcoin ledger is one of the most appealing and novel features of the distributed database.
While the report points to the Bitcoin blockchain as the ideal platform for individuals’ transactions between each other, it sees private or “permissioned” blockchains to take root among most commercial applications, specifically in capital markets.
Blockchain in its “Purest Form” is Use of Bitcoin
The report explains how central data repositories were historically controlled by its owner, with the very notion of a distributed database to be “practically impossible” due to technological limitations.
In today’s world, blockchain technology as an innovation bore fruit due to advances in technology, communication, and encryption. The report then states:
In its purest form – as used by Bitcoin to create and track units of the crypto-currency – blockchain is a shared digital ledger of transactions recorded and verified across a network of participants in a tamper-proof chain that is visible to all.
Backing Bitcoin Blockchain
It is notable that Goldman Sachs has, beyond its endeavor to shine a spotlight on distributed ledger innovation, filed a patent in the past for its own cryptographic currency.
In December 2015, it was revealed that the New York-based bank had filed with the US Patent and Trademark Office for a cryptocurrency called SETL Coin. The technology developed by the bank provides a virtual, multi-asset wallet for a traditional cash and securities account belonging to an investor or trader.
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